CoStar Group (NASDAQ:CSGP) Overview: A Leader in Real Estate Analytics

• CoStar Group, Inc. (NASDAQ:CSGP) is expected to report a 6.67% decline in EPS from the previous year.
• Revenue is projected to see a 14% increase, driven by growth in Apartments.com and contributions from Matterport.
• The company's high valuation is evident with a P/E ratio of 296.67 and a price-to-sales ratio of 12.71.

CoStar Group, Inc. (NASDAQ:CSGP), a leading provider of commercial real estate information, analytics, and online marketplaces, operates well-known platforms such as Apartments.com, LoopNet, and Homes.com. These platforms are integral to its business model, setting CoStar apart from competitors like Zillow and Redfin with its comprehensive data offerings and marketplace platforms.

CoStar is set to release its quarterly earnings on July 22, 2025. Analysts expect the company to report earnings per share (EPS) of $0.14. This represents a 6.67% decline from the previous year. Despite this, CoStar's revenue is projected to be around $772 million, marking a 14% increase from the same period last year, as highlighted by Zacks.

The company's revenue growth is driven by its diverse portfolio. Apartments.com is expected to grow by 10% in the second quarter, thanks to increased traffic and higher advertising spending. Additionally, Matterport is anticipated to contribute $40 million in revenues, enhancing CoStar's marketplace offerings. These factors are expected to positively impact the company's top-line results.

CoStar's financial metrics reveal a high valuation. The price-to-earnings (P/E) ratio is approximately 296.67, indicating a high valuation relative to its earnings. The price-to-sales ratio is about 12.71, suggesting investors are willing to pay $12.71 for every dollar of sales. The enterprise value to sales ratio is around 11.80, reflecting the company's total valuation compared to its sales.

Despite the high valuation, CoStar maintains a strong financial position. The debt-to-equity ratio is 0.13, indicating a relatively low level of debt compared to equity. The current ratio is 6.01, showing strong liquidity with the company having more than enough assets to cover its short-term liabilities. These metrics suggest that CoStar is well-positioned to manage its financial obligations.

• CoStar Group, Inc. (NASDAQ:CSGP) is expected to report a 33.33% decline in EPS but a 9% growth in revenue for the fourth quarter.
• The company's high valuation is evident with a P/E ratio of 171.79 and a price-to-sales ratio of 11.38, indicating strong investor confidence.
• CoStar maintains a conservative capital structure, with a low debt-to-equity ratio of 0.15 and a current ratio of 9.63, showcasing its financial stability.

CoStar Group, Inc. (NASDAQ:CSGP) is a leading provider of commercial real estate information, analytics, and online marketplaces. The company operates well-known platforms such as Apartments.com, LoopNet, and Homes.com, which contribute significantly to its revenue. As a major player in the real estate data industry, CoStar competes with firms like Zillow and Redfin.

On February 18, 2025, CoStar is set to release its fourth-quarter earnings. Analysts expect earnings per share (EPS) to be $0.22, a 33.33% decline from the previous year. Despite this drop, the company anticipates revenues between $693 million and $703 million, marking a 9% growth at the midpoint. The Zacks Consensus Estimate aligns with these projections, suggesting stable analyst expectations.

CoStar's financial metrics reveal a high valuation, with a price-to-earnings (P/E) ratio of 171.79. This indicates that investors are paying a premium for the company's earnings. The price-to-sales ratio of 11.38 shows that investors are willing to pay over 11 times the company's sales per share. These figures suggest strong investor confidence in CoStar's future growth prospects.

The company's enterprise value to sales ratio is 9.95, reflecting its total valuation compared to sales. Additionally, the enterprise value to operating cash flow ratio stands at 59.88, indicating the cost investors are willing to pay for each dollar of cash flow from operations. CoStar's earnings yield is 0.58%, providing insight into the return on investment.

CoStar maintains a conservative capital structure with a low debt-to-equity ratio of 0.15. This suggests limited reliance on debt financing. The company's current ratio of 9.63 indicates a strong ability to cover short-term liabilities with short-term assets, highlighting its financial stability.

• CoStar Group, Inc. (NASDAQ:CSGP) is expected to report a 33.33% decline in EPS but a 9% growth in revenue for the fourth quarter.
• The company's high valuation is evident with a P/E ratio of 171.79 and a price-to-sales ratio of 11.38, indicating strong investor confidence.
• CoStar maintains a conservative capital structure, with a low debt-to-equity ratio of 0.15 and a current ratio of 9.63, showcasing its financial stability.

CoStar Group, Inc. (NASDAQ:CSGP) is a leading provider of commercial real estate information, analytics, and online marketplaces. The company operates well-known platforms such as Apartments.com, LoopNet, and Homes.com, which contribute significantly to its revenue. As a major player in the real estate data industry, CoStar competes with firms like Zillow and Redfin.

On February 18, 2025, CoStar is set to release its fourth-quarter earnings. Analysts expect earnings per share (EPS) to be $0.22, a 33.33% decline from the previous year. Despite this drop, the company anticipates revenues between $693 million and $703 million, marking a 9% growth at the midpoint. The Zacks Consensus Estimate aligns with these projections, suggesting stable analyst expectations.

CoStar's financial metrics reveal a high valuation, with a price-to-earnings (P/E) ratio of 171.79. This indicates that investors are paying a premium for the company's earnings. The price-to-sales ratio of 11.38 shows that investors are willing to pay over 11 times the company's sales per share. These figures suggest strong investor confidence in CoStar's future growth prospects.

The company's enterprise value to sales ratio is 9.95, reflecting its total valuation compared to sales. Additionally, the enterprise value to operating cash flow ratio stands at 59.88, indicating the cost investors are willing to pay for each dollar of cash flow from operations. CoStar's earnings yield is 0.58%, providing insight into the return on investment.

CoStar maintains a conservative capital structure with a low debt-to-equity ratio of 0.15. This suggests limited reliance on debt financing. The company's current ratio of 9.63 indicates a strong ability to cover short-term liabilities with short-term assets, highlighting its financial stability.

Costar Group (NASDAQ:CSGP) reported Q3 earnings with an EPS of $0.30 and revenues of $625 million, reflecting a 12% increase year-over-year, aligning with market expectations. However, the company's shares saw a decline of over 8% in pre-market today due to its guidance not meeting anticipated numbers.

For Q4/23, Costar Group predicts an EPS between $0.31-$0.32, while market estimates stand at $0.35. The company also forecasts Q4 revenues to be between $630-$635M, whereas market consensus is at $644.5M.

For the entire year, Costar Group's anticipated EPS is between $1.21-$1.22, against the market expectation of $1.24. The company expects its annual revenues to lie between $2.445-$2.45 billion, slightly short of the market's prediction of $2.461B.

RBC Capital analysts provided their outlook on CoStar Group (NASDAQ:CSGP) ahead of the company’s Q2/23 earnings, scheduled to be reported on July 25.

The company’s stock rallied around 30% in the second quarter due to a combination of improved fundamentals (CRE weakness offset by triple-digit bookings growth in Apartment.com and LoopNet) and technical (index reclassification and rebalancing).

In Q1, bookings grew 17% year-over-year. The analysts anticipate mid-teens growth in Q2/23, driven by Apartment.com and LoopNet, despite weakness in the CoStar suite. The analysts expect Q2 results and Q3 guidance to align with the Street estimates, and the company to reiterate its full 2023-year guidance. The analysts raised their price target on the stock to $95 from $85 while maintaining their Outperform rating.

RBC Capital analysts provided their outlook on CoStar Group (NASDAQ:CSGP) ahead of the company’s Q2/23 earnings, scheduled to be reported on July 25.

The company’s stock rallied around 30% in the second quarter due to a combination of improved fundamentals (CRE weakness offset by triple-digit bookings growth in Apartment.com and LoopNet) and technical (index reclassification and rebalancing).

In Q1, bookings grew 17% year-over-year. The analysts anticipate mid-teens growth in Q2/23, driven by Apartment.com and LoopNet, despite weakness in the CoStar suite. The analysts expect Q2 results and Q3 guidance to align with the Street estimates, and the company to reiterate its full 2023-year guidance. The analysts raised their price target on the stock to $95 from $85 while maintaining their Outperform rating.