CoStar Group (NASDAQ:CSGP) Price Target Lowered to $70.00 at Citigroup

Key Points

• Citigroup cut its price target on CoStar from $100 to $70 while maintaining a Buy rating, implying roughly an 89% upside; analysts have broadly trimmed targets but the consensus remains a $66.47 price target with a "Moderate Buy" average.
• Shares fell 4.5% to $37.04, trading well below a 52‑week high of $97.43; CoStar beat Q4 EPS estimates and revenue rose 26.9% but the company reported a very thin net margin (0.23%).
• The board approved a $1.5 billion share buyback (about 5.3% of shares), an insider recently added to their position, and institutional investors own roughly 96.6% of the stock.

CoStar Group (NASDAQ:CSGP - Get Free Report) had its target price decreased by Citigroup from $100.00 to $70.00 in a report released on Thursday,Benzinga reports. The brokerage currently has a "buy" rating on the technology company's stock. Citigroup's price objective would suggest a potential upside of 89.00% from the company's previous close.

Several other equities research analysts have also weighed in on the stock. Needham & Company LLC cut their target price on shares of CoStar Group from $80.00 to $60.00 and set a "buy" rating on the stock in a report on Wednesday, February 25th. BTIG Research lowered their price objective on shares of CoStar Group from $60.00 to $55.00 and set a "buy" rating for the company in a research report on Wednesday, April 15th. BMO Capital Markets lowered their price target on shares of CoStar Group from $72.00 to $53.00 and set a "market perform" rating on the stock in a research note on Thursday, February 26th. Keefe, Bruyette & Woods lowered their price target on shares of CoStar Group from $75.00 to $70.00 and set an "outperform" rating on the stock in a research note on Wednesday, February 25th. Finally, Royal Bank Of Canada decreased their price objective on shares of CoStar Group from $75.00 to $57.00 and set a "sector perform" rating for the company in a research report on Wednesday, February 25th. Twelve research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, CoStar Group has an average rating of "Moderate Buy" and a consensus price target of $66.47.

CoStar Group Stock Down 4.5%

Shares of CSGP stock traded down $1.73 on Thursday, hitting $37.04. The company's stock had a trading volume of 4,532,803 shares, compared to its average volume of 6,752,454. The company has a debt-to-equity ratio of 0.12, a current ratio of 2.84 and a quick ratio of 2.84. CoStar Group has a fifty-two week low of $34.75 and a fifty-two week high of $97.43. The firm's fifty day moving average price is $43.06 and its 200-day moving average price is $58.69. The stock has a market capitalization of $15.55 billion, a price-to-earnings ratio of 3,705.81, a P/E/G ratio of 1.01 and a beta of 0.92.

CoStar Group (NASDAQ:CSGP - Get Free Report) last released its earnings results on Tuesday, February 24th. The technology company reported $0.31 earnings per share for the quarter, topping analysts' consensus estimates of $0.27 by $0.04. The firm had revenue of $899.90 million during the quarter, compared to analyst estimates of $892.22 million. CoStar Group had a net margin of 0.23% and a return on equity of 2.53%. The business's revenue was up 26.9% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.26 EPS. CoStar Group has set its Q1 2026 guidance at 0.160-0.190 EPS. Research analysts anticipate that CoStar Group will post 0.96 EPS for the current year.

CoStar Group declared that its board has initiated a share buyback plan on Wednesday, January 7th that authorizes the company to buyback $1.50 billion in outstanding shares. This buyback authorization authorizes the technology company to buy up to 5.3% of its stock through open market purchases. Stock buyback plans are often a sign that the company's leadership believes its shares are undervalued.

Insider Activity

In other CoStar Group news, Director Louise S. Sams acquired 1,000 shares of the stock in a transaction on Friday, March 6th. The shares were purchased at an average price of $48.36 per share, for a total transaction 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 position. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 1.09% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Lansforsakringar Fondforvaltning AB publ boosted its position in CoStar Group by 1.7% during the first quarter. Lansforsakringar Fondforvaltning AB publ now owns 138,317 shares of the technology company's stock worth $5,580,000 after purchasing an additional 2,291 shares during the period. Skylands Capital LLC boosted its position in shares of CoStar Group by 88.0% in the first quarter. Skylands Capital LLC now owns 32,050 shares of the technology company's stock valued at $1,293,000 after acquiring an additional 15,000 shares during the period. Louisbourg Investments Inc. boosted its position in shares of CoStar Group by 93.8% in the first quarter. Louisbourg Investments Inc. now owns 175,086 shares of the technology company's stock valued at $7,063,000 after acquiring an additional 84,764 shares during the period. Pictet Asset Management Holding SA boosted its position in shares of CoStar Group by 30.0% in the first quarter. Pictet Asset Management Holding SA now owns 1,372,159 shares of the technology company's stock valued at $55,359,000 after acquiring an additional 316,651 shares during the period. Finally, Waterway Wealth Management LLC boosted its position in shares of CoStar Group by 142.2% in the first quarter. Waterway Wealth Management LLC now owns 27,670 shares of the technology company's stock valued at $1,116,000 after acquiring an additional 16,246 shares during the period. Institutional investors and hedge funds own 96.60% of the company's stock.

About CoStar Group

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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