CoStar Group (NASDAQ:CSGP) Hits New 52-Week Low - Time to Sell?

Key Points

• CoStar hit a new 52-week low, trading as low as $38.47 (last $38.82) on heavy volume of about 6.04 million shares, down from a prior close of $39.48.
• Analyst views are mixed: the consensus is a "Moderate Buy" with an average target of $72.76, but several firms recently cut price targets (e.g., BMO to $53, Wells Fargo to $44) and ratings vary from Strong Buy to Sell.
• Fundamentals and actions: CoStar beat quarterly EPS and revenue estimates (EPS $0.31 vs $0.27; revenue $899.9M, +26.9% YoY), set Q1 2026 EPS guidance of $0.16–0.19, announced a $1.5B share buyback (~5.3% of shares) and recorded insider buying.

CoStar Group, Inc. (NASDAQ:CSGP - Get Free Report) hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $38.47 and last traded at $38.82, with a volume of 6041113 shares. The stock had previously closed at $39.48.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on the stock. BMO Capital Markets decreased their price objective on shares of CoStar Group from $72.00 to $53.00 and set a "market perform" rating for the company in a report on Thursday, February 26th. Zacks Research upgraded shares of CoStar Group from a "strong sell" rating to a "hold" rating in a research report on Monday, March 9th. Wells Fargo & Company lowered their price objective on shares of CoStar Group from $48.00 to $44.00 and set an "underweight" rating on the stock in a research report on Wednesday, February 25th. Deutsche Bank Aktiengesellschaft set a $68.00 price objective on shares of CoStar Group in a research report on Thursday, January 8th. Finally, Robert W. Baird set a $73.00 price objective on shares of CoStar Group in a research report on Wednesday, February 25th. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $72.76.

CoStar Group Trading Down 1.7%

The firm has a market capitalization of $16.30 billion, a PE ratio of 3,885.89, a PEG ratio of 1.07 and a beta of 0.92. The company has a quick ratio of 2.84, a current ratio of 2.84 and a debt-to-equity ratio of 0.12. The stock's fifty day simple moving average is $46.67 and its 200 day simple moving average is $62.06.

CoStar Group (NASDAQ:CSGP - Get Free Report) last announced its earnings results on Tuesday, February 24th. The technology company reported $0.31 EPS for the quarter, beating analysts' consensus estimates of $0.27 by $0.04. CoStar Group had a net margin of 0.23% and a return on equity of 2.53%. The business had revenue of $899.90 million during the quarter, compared to analysts' expectations of $892.22 million. During the same period in the prior year, the company earned $0.26 earnings per share. The firm's revenue was up 26.9% on a year-over-year basis. CoStar Group has set its Q1 2026 guidance at 0.160-0.190 EPS. On average, sell-side analysts predict that CoStar Group, Inc. will post 0.94 earnings per share for the current year.

CoStar Group announced that its Board of Directors has approved a share buyback plan on Wednesday, January 7th that allows the company to buyback $1.50 billion in shares. This buyback authorization allows the technology company to purchase up to 5.3% of its shares through open market purchases. Shares buyback plans are typically an indication that the company's management believes its shares are undervalued.

Insider Buying and Selling

In other CoStar Group news, Director Louise S. Sams bought 1,000 shares of CoStar Group stock in a transaction on Friday, March 6th. The stock was acquired at an average cost of $48.36 per share, with a total value of $48,360.00. Following the completion of the acquisition, the director owned 20,409 shares in the company, valued at approximately $986,979.24. This represents a 5.15% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 1.09% of the company's stock.

Institutional Trading of CoStar Group

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Enhancing Capital LLC increased its stake in shares of CoStar Group by 2.2% in the third quarter. Enhancing Capital LLC now owns 7,030 shares of the technology company's stock worth $593,000 after purchasing an additional 150 shares in the last quarter. Rossby Financial LCC increased its stake in shares of CoStar Group by 47.5% in the third quarter. Rossby Financial LCC now owns 503 shares of the technology company's stock worth $42,000 after purchasing an additional 162 shares in the last quarter. Golden State Wealth Management LLC increased its stake in shares of CoStar Group by 4.8% in the third quarter. Golden State Wealth Management LLC now owns 3,626 shares of the technology company's stock worth $306,000 after purchasing an additional 166 shares in the last quarter. Zions Bancorporation National Association UT increased its stake in shares of CoStar Group by 41.8% in the third quarter. Zions Bancorporation National Association UT now owns 563 shares of the technology company's stock worth $48,000 after purchasing an additional 166 shares in the last quarter. Finally, United Capital Financial Advisors LLC increased its stake in shares of CoStar Group by 2.3% in the third quarter. United Capital Financial Advisors LLC now owns 7,545 shares of the technology company's stock worth $637,000 after purchasing an additional 167 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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