CoStar Group (NASDAQ:CSGP) Hits New 1-Year Low - Here's What Happened

Key Points

• CoStar Group shares fell to a new 52-week low, trading as low as $31.78 after closing previously at $33.05. The decline came despite heavy volume of more than 8.4 million shares.
• Analysts remain cautiously positive overall, with 12 Buy ratings, 5 Hold ratings, and 2 Sell ratings. The stock currently carries a consensus “Moderate Buy” and an average target price of $58.12, though several firms recently cut their price targets.
• The company’s latest earnings beat estimates, posting $0.23 EPS versus $0.18 expected and 22.5% revenue growth year over year. CEO Andrew C. Florance also bought 71,430 shares, signaling insider confidence even as the stock weakened.

Shares of CoStar Group, Inc. (NASDAQ:CSGP - Get Free Report) reached a new 52-week low on Thursday . The company traded as low as $31.78 and last traded at $31.97, with a volume of 8481970 shares changing hands. The stock had previously closed at $33.05.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the stock. BNP Paribas Exane assumed coverage on shares of CoStar Group in a report on Wednesday, January 14th. They issued a "neutral" rating and a $64.00 target price for the company. Keefe, Bruyette & Woods cut their target price on shares of CoStar Group from $57.00 to $50.00 and set an "outperform" rating for the company in a report on Wednesday, April 29th. Needham & Company LLC cut their target price on shares of CoStar Group from $60.00 to $50.00 and set a "buy" rating for the company in a report on Wednesday, April 29th. BTIG Research reaffirmed a "buy" rating and set a $55.00 price objective on shares of CoStar Group in a research note on Wednesday, April 29th. Finally, The Goldman Sachs Group cut their price objective on shares of CoStar Group from $63.00 to $54.00 and set a "buy" rating on the stock in a research report on Thursday, April 30th. Twelve equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, CoStar Group presently has a consensus rating of "Moderate Buy" and an average target price of $58.12.

CoStar Group Price Performance

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.20 and a quick ratio of 2.20. The firm has a market cap of $13.06 billion, a P/E ratio of 532.92, a PEG ratio of 0.85 and a beta of 0.75. The stock's 50-day simple moving average is $39.94 and its two-hundred day simple moving average is $54.70.

CoStar Group (NASDAQ:CSGP - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The technology company reported $0.23 earnings per share for the quarter, beating analysts' consensus estimates of $0.18 by $0.05. CoStar Group had a net margin of 0.74% and a return on equity of 2.90%. The business had revenue of $897.00 million for the quarter, compared to analysts' expectations of $896.73 million. During the same quarter in the previous year, the business posted ($0.04) earnings per share. The business's revenue was up 22.5% compared to the same quarter last year. CoStar Group has set its Q2 2026 guidance at 0.270-0.300 EPS and its FY 2026 guidance at 1.320-1.390 EPS. Equities research analysts forecast that CoStar Group, Inc. will post 1.03 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Andrew C. Florance bought 71,430 shares of the stock in a transaction dated Friday, May 1st. The stock was purchased at an average cost of $35.20 per share, with a total value of $2,514,336.00. Following the completion of the purchase, the chief executive officer owned 1,722,865 shares of the company's stock, valued at $60,644,848. This trade represents a 4.33% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Louise S. Sams bought 1,000 shares of the stock in a transaction dated Friday, March 6th. The shares were bought at an average cost of $48.36 per share, with a total value of $48,360.00. Following the completion of the purchase, the director directly owned 20,409 shares of the company's stock, valued at approximately $986,979.24. This trade represents a 5.15% increase in their position. The SEC filing for this purchase provides additional information. Insiders own 1.09% of the company's stock.

Institutional Trading of CoStar Group

A number of large investors have recently made changes to their positions in CSGP. ING Groep NV raised its holdings in CoStar Group by 1,950.5% in the third quarter. ING Groep NV now owns 128,052 shares of the technology company's stock worth $10,804,000 after purchasing an additional 121,807 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. raised its holdings in CoStar Group by 14.1% in the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 171,380 shares of the technology company's stock worth $14,459,000 after purchasing an additional 21,225 shares in the last quarter. UMB Bank n.a. raised its holdings in CoStar Group by 51.6% in the third quarter. UMB Bank n.a. now owns 225,305 shares of the technology company's stock worth $19,009,000 after purchasing an additional 76,720 shares in the last quarter. Douglas Lane & Associates LLC raised its holdings in CoStar Group by 4.3% in the fourth quarter. Douglas Lane & Associates LLC now owns 683,061 shares of the technology company's stock worth $45,929,000 after purchasing an additional 28,279 shares in the last quarter. Finally, American Century Companies Inc. raised its holdings in CoStar Group by 682.3% in the third quarter. American Century Companies Inc. now owns 551,523 shares of the technology company's stock worth $46,532,000 after purchasing an additional 481,024 shares in the last quarter. 96.60% of the stock is owned by hedge funds and other institutional investors.

CoStar Group Company Profile

CoStar Group, Inc is a provider of information, analytics and online marketplaces for the commercial real estate industry. The company gathers property-level data, builds market analytics and supplies research tools used by brokers, owners, lenders, investors and other real estate professionals to evaluate markets, track inventory and manage listings. CoStar's offerings are delivered primarily through subscription-based platforms that combine proprietary databases, mapping and workflow applications to support decision-making across the property life cycle.

In addition to its core CoStar research service, the company operates prominent online listing and marketing platforms that connect buyers, sellers, tenants and brokers.

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