Zillow Group (NASDAQ:ZG) Price Target Cut to $31.00 by Analysts at Wells Fargo & Company

Key Points

• Wells Fargo lowered Zillow Group’s price target from $35 to $31 while maintaining an “equal weight” rating, implying 6.35% upside from the prior close.
• Analyst sentiment is mixed, with Zillow carrying an overall “Hold” rating and an average price target of $51.19; recent firms including Zacks Research, Susquehanna and Piper Sandler also reduced their targets or ratings.
• Zillow shares fell 2.4% to $29.15 and remain well below their 52-week high of $76.32. The company’s latest quarterly results exceeded estimates, with $0.52 EPS and $772 million in revenue, up 17.9% year over year.

Zillow Group (NASDAQ:ZG - Get Free Report) had its price objective reduced by equities research analysts at Wells Fargo & Company from $35.00 to $31.00 in a note issued to investors on Monday, Benzinga reports. The brokerage currently has an "equal weight" rating on the technology company's stock. Wells Fargo & Company's price target indicates a potential upside of 6.35% from the company's previous close.

Several other equities analysts have also recently issued reports on ZG. Zacks Research cut Zillow Group from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 4th. Susquehanna cut their price objective on Zillow Group from $50.00 to $38.00 and set a "neutral" rating for the company in a report on Thursday, August 6th. Piper Sandler cut their price objective on Zillow Group from $55.00 to $46.00 and set an "overweight" rating for the company in a report on Friday, August 7th. Deutsche Bank Aktiengesellschaft set a $80.00 target price on Zillow Group in a research note on Monday, August 24th. Finally, Evercore set a $40.00 target price on Zillow Group and gave the stock an "in-line" rating in a report on Thursday, August 6th. Ten investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Zillow Group currently has an average rating of "Hold" and an average price target of $51.19.

Zillow Group Trading Down 2.4%

NASDAQ ZG traded down $0.72 during trading hours on Monday, reaching $29.15. The company's stock had a trading volume of 302,971 shares, compared to its average volume of 1,153,258. The business has a 50-day simple moving average of $33.06 and a 200 day simple moving average of $35.73. Zillow Group has a 52 week low of $27.25 and a 52 week high of $76.32. The stock has a market cap of $6.55 billion, a PE ratio of 132.60, a PEG ratio of 1.30 and a beta of 2.02.

Zillow Group (NASDAQ:ZG - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The technology company reported $0.52 EPS for the quarter, topping the consensus estimate of $0.44 by $0.08. Zillow Group had a net margin of 1.96% and a return on equity of 2.32%. The business had revenue of $772.00 million during the quarter, compared to analyst estimates of $758.25 million. During the same quarter in the prior year, the firm earned $0.40 earnings per share. The company's quarterly revenue was up 17.9% on a year-over-year basis. As a group, equities analysts predict that Zillow Group will post 0.89 EPS for the current year.

Insiders Place Their Bets

In other Zillow Group news, CFO Jeremy Hofmann sold 5,661 shares of the business's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $34.18, for a total transaction of $193,492.98. Following the sale, the chief financial officer owned 59,144 shares in the company, valued at approximately $2,021,541.92. The trade was a 8.74% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Errol G. Samuelson sold 3,154 shares of the business's stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $34.24, for a total value of $107,992.96. Following the sale, the insider owned 130,885 shares in the company, valued at approximately $4,481,502.40. The trade was a 2.35% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 38,539 shares of company stock worth $1,323,800 over the last three months. Company insiders own 29.88% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in ZG. Kahn Brothers Group Inc. acquired a new position in shares of Zillow Group in the 2nd quarter valued at about $22,560,872,000. Independent Franchise Partners LLP grew its position in Zillow Group by 1.1% during the fourth quarter. Independent Franchise Partners LLP now owns 2,024,556 shares of the technology company's stock valued at $138,135,000 after purchasing an additional 21,862 shares in the last quarter. Technology Crossover Management XI Ltd. acquired a new position in Zillow Group in the 2nd quarter valued at approximately $73,694,895. Dimensional Fund Advisors LP increased its stake in Zillow Group by 18.2% in the 1st quarter. Dimensional Fund Advisors LP now owns 554,460 shares of the technology company's stock valued at $22,947,000 after buying an additional 85,367 shares during the period. Finally, Quantinno Capital Management LP increased its stake in Zillow Group by 106.6% in the 1st quarter. Quantinno Capital Management LP now owns 176,052 shares of the technology company's stock valued at $7,287,000 after buying an additional 90,858 shares during the period. 20.32% of the stock is currently owned by institutional investors and hedge funds.

Zillow Group Company Profile

Zillow Group, Inc is a digital real estate company that operates online marketplaces and technology platforms designed to help consumers buy, sell, rent and finance homes. Founded in 2006 and headquartered in Seattle, Washington, the company serves the U.S. residential real estate market through a portfolio of well-known brands.

Its flagship Zillow platform provides home listings, property information, estimated home values through its Zestimate tool, rental listings, mortgage resources and connections to real estate professionals.

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