Principal Financial Group Inc. Trims Stake in CoStar Group, Inc. $CSGP

Key Points

• Principal Financial Group trimmed its stake in CoStar by 5.7%, selling 1,057,296 shares and leaving it with 17,566,074 shares (about 4.14% of the company) worth roughly $1.18 billion.
• CEO Andrew C. Florance bought 71,430 shares (~$2.51M) and a director also purchased shares, while CoStar beat Q1 EPS estimates ($0.23 vs. $0.18) and provided Q2 and FY2026 EPS guidance, a combination seen as a near‑term catalyst.
• CoStar’s board authorized a $1.5 billion stock repurchase program (up to ~5.3% of outstanding shares) and institutional investors own about 96.6% of the stock, underscoring heavy institutional interest.

Principal Financial Group Inc. lowered its stake in shares of CoStar Group, Inc. (NASDAQ:CSGP - Free Report) by 5.7% during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 17,566,074 shares of the technology company's stock after selling 1,057,296 shares during the quarter. Principal Financial Group Inc. owned about 4.14% of CoStar Group worth $1,181,146,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds and other institutional investors also recently modified their holdings of CSGP. Baillie Gifford & Co. increased its position in shares of CoStar Group by 56.9% during the fourth quarter. Baillie Gifford & Co. now owns 12,933,185 shares of the technology company's stock valued at $869,627,000 after buying an additional 4,691,543 shares during the period. Viking Global Investors LP purchased a new position in shares of CoStar Group during the second quarter valued at about $258,773,000. Vanguard Group Inc. increased its position in shares of CoStar Group by 1.8% during the third quarter. Vanguard Group Inc. now owns 70,056,441 shares of the technology company's stock valued at $5,910,662,000 after buying an additional 1,208,958 shares during the period. Capital Research Global Investors increased its position in shares of CoStar Group by 27.0% during the third quarter. Capital Research Global Investors now owns 4,993,854 shares of the technology company's stock valued at $421,330,000 after buying an additional 1,062,452 shares during the period. Finally, Ion Asset Management Ltd. increased its position in shares of CoStar Group by 730.3% during the second quarter. Ion Asset Management Ltd. now owns 1,169,833 shares of the technology company's stock valued at $94,055,000 after buying an additional 1,028,933 shares during the period. Hedge funds and other institutional investors own 96.60% of the company's stock.

Key Headlines Impacting CoStar Group

Here are the key news stories impacting CoStar Group this week:

• Positive Sentiment: CEO insider buy — Chief executive Andrew C. Florance bought 71,430 shares at an average ~$35.20 (about $2.51M), raising his holding by ~4.33%. Insider buying is read as a sign of management confidence and can help prop the share price. CoStar Group CEO Andrew Florance buys $2.51 million in company stock
• Positive Sentiment: Earnings beat and activist exit context — Coverage notes the CEO boosted his stake after the departure of an activist investor and following the April earnings beat (EPS $0.23 vs. $0.18 consensus). Management also provided Q2 and FY2026 EPS guidance (Q2: $0.270–0.300; FY: $1.320–1.390), which frames near-term expectations. That combination (insider buying + better-than-expected results + guidance) is a catalyst for the stock. CoStar CEO boosts stake after activist exit and earnings beat
• Positive Sentiment: Analyst consensus is constructive — Aggregated analyst coverage still shows a bullish tilt (consensus “Moderate Buy”), supporting demand from institutional buyers even as individual targets shift. CoStar Group receives consensus rating of "Moderate Buy"
• Neutral Sentiment: Industry outlook — CoStar’s U.S. retail forecast is described as “balanced through 2026,” implying stable commercial real‑estate fundamentals but not a strong near-term growth surge; this supports a steady revenue backdrop for CoStar’s data/subscription business. CoStar’s U.S. Retail Forecast Remains Balanced Through 2026
• Negative Sentiment: Price-target cut by Stephens — Stephens trimmed its price target from $50 to $42 (still an Overweight rating). A lower target can weigh on sentiment and limit near-term upside, even if the rating remains positive. Stephens lowers CoStar price target to $42 (Benzinga)

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. BNP Paribas Exane assumed coverage on shares of CoStar Group in a research report on Wednesday, January 14th. They issued a "neutral" rating and a $64.00 target price on the stock. BTIG Research reissued a "buy" rating and set a $55.00 price objective on shares of CoStar Group in a research note on Wednesday, April 29th. BMO Capital Markets cut their price objective on shares of CoStar Group from $72.00 to $53.00 and set a "market perform" rating on the stock in a report on Thursday, February 26th. Royal Bank Of Canada cut their price objective on shares of CoStar Group from $75.00 to $57.00 and set a "sector perform" rating on the stock in a report on Wednesday, February 25th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of CoStar Group in a report on Friday, March 27th. 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 company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $58.12.

Insider Activity at CoStar Group

In other news, Director Louise S. Sams bought 1,000 shares of the company's stock in a transaction dated 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 purchase, 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 transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Andrew C. Florance bought 71,430 shares of the company's stock in a transaction dated Friday, May 1st. The stock was purchased at an average price of $35.20 per share, for a total transaction of $2,514,336.00. Following the purchase, the chief executive officer owned 1,722,865 shares of the company's stock, valued at approximately $60,644,848. This represents a 4.33% increase in their position. The SEC filing for this purchase provides additional information. Corporate insiders own 1.09% of the company's stock.

CoStar Group Price Performance

Shares of CSGP opened at $35.38 on Tuesday. The stock has a market cap of $14.45 billion, a PE ratio of 589.76, a price-to-earnings-growth ratio of 0.89 and a beta of 0.75. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.20 and a current ratio of 2.20. CoStar Group, Inc. has a fifty-two week low of $33.31 and a fifty-two week high of $97.43. The firm's 50-day simple moving average is $41.78 and its two-hundred day simple moving average is $56.78.

CoStar Group (NASDAQ:CSGP - Get Free Report) last announced its quarterly earnings data on Tuesday, April 28th. The technology company reported $0.23 earnings per share for the quarter, topping analysts' consensus estimates of $0.18 by $0.05. The business had revenue of $897.00 million for the quarter, compared to analysts' expectations of $896.73 million. CoStar Group had a net margin of 0.74% and a return on equity of 2.90%. The business's revenue was up 22.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.04) earnings per share. 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. Analysts anticipate that CoStar Group, Inc. will post 1.03 earnings per share for the current fiscal year.

CoStar Group declared that its Board of Directors has initiated a stock repurchase program on Wednesday, January 7th that permits the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization permits the technology company to reacquire up to 5.3% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company's board believes its stock is undervalued.

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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