Swedbank AB Lowers Stake in Zillow Group, Inc. $Z

Key Points

• Swedbank AB sharply reduced its Zillow stake in the fourth quarter, cutting its position by 92% after selling 110,000 shares. It ended the period with 9,529 shares valued at about $650,000.
• Zillow’s latest earnings beat expectations, reporting $0.53 EPS versus the $0.43 consensus and revenue of $708 million, slightly ahead of estimates. The company also cited strong for-sale growth, improved Rentals momentum, and nearly doubled mortgage originations.
• Analyst sentiment is mixed but generally constructive, with recent upgrades from Barclays and Zacks Research, while JPMorgan trimmed its price target to $76. The stock currently carries a consensus “Moderate Buy” rating and an average price target of $79.75.

Swedbank AB cut its position in shares of Zillow Group, Inc. (NASDAQ:Z - Free Report) by 92.0% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 9,529 shares of the financial services provider's stock after selling 110,000 shares during the quarter. Swedbank AB's holdings in Zillow Group were worth $650,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also modified their holdings of the company. Root Financial Partners LLC purchased a new stake in shares of Zillow Group during the third quarter worth about $27,000. Pilgrim Partners Asia Pte Ltd purchased a new stake in shares of Zillow Group during the third quarter worth about $29,000. V Square Quantitative Management LLC purchased a new stake in shares of Zillow Group during the fourth quarter worth about $28,000. Cullen Frost Bankers Inc. grew its holdings in shares of Zillow Group by 58.6% during the third quarter. Cullen Frost Bankers Inc. now owns 441 shares of the financial services provider's stock worth $34,000 after buying an additional 163 shares in the last quarter. Finally, Pittenger & Anderson Inc. grew its holdings in shares of Zillow Group by 32.8% during the third quarter. Pittenger & Anderson Inc. now owns 546 shares of the financial services provider's stock worth $42,000 after buying an additional 135 shares in the last quarter. 71.01% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of brokerages have recently commented on Z. Barclays upgraded shares of Zillow Group from a "strong sell" rating to a "hold" rating in a report on Thursday, January 29th. Needham & Company LLC reiterated a "hold" rating on shares of Zillow Group in a report on Wednesday, February 11th. Weiss Ratings upgraded shares of Zillow Group from a "sell (d)" rating to a "sell (d+)" rating in a report on Thursday. Zacks Research upgraded shares of Zillow Group from a "hold" rating to a "strong-buy" rating in a report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. lowered their target price on shares of Zillow Group from $84.00 to $76.00 and set an "overweight" rating for the company in a report on Thursday. Three investment analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $79.75.

Zillow Group Stock Performance

Zillow Group stock opened at $41.43 on Monday. Zillow Group, Inc. has a 1 year low of $39.05 and a 1 year high of $93.88. The firm has a 50 day moving average price of $43.70 and a 200 day moving average price of $58.72. The company has a market cap of $9.94 billion, a price-to-earnings ratio of 165.72, a PEG ratio of 2.03 and a beta of 2.07.

Zillow Group (NASDAQ:Z - Get Free Report) last released its earnings results on Wednesday, May 6th. The financial services provider reported $0.53 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.43 by $0.10. Zillow Group had a net margin of 2.27% and a return on equity of 1.41%. The firm had revenue of $708.00 million during the quarter, compared to the consensus estimate of $705.10 million. Sell-side analysts predict that Zillow Group, Inc. will post 0.82 EPS for the current year.

Insider Transactions at Zillow Group

In other Zillow Group news, insider Dan Spaulding sold 5,361 shares of Zillow Group stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $43.95, for a total transaction of $235,615.95. Following the transaction, the insider directly owned 41,080 shares of the company's stock, valued at $1,805,466. The trade was a 11.54% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CFO Jeremy Hofmann sold 7,786 shares of Zillow Group stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $43.73, for a total transaction of $340,481.78. Following the transaction, the chief financial officer directly owned 57,487 shares in the company, valued at approximately $2,513,906.51. This trade represents a 11.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 60,801 shares of company stock valued at $2,683,986 in the last quarter. Insiders own 25.03% of the company's stock.

Zillow Group News Summary

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

• Positive Sentiment: Zillow reported Q1 earnings of $0.53 per share, topping estimates, with revenue of $708 million also slightly ahead of expectations. The company also highlighted strong for-sale growth, faster Rentals momentum, and nearly doubled mortgage originations, reinforcing the case that its broader platform strategy is working. Article Title
• Positive Sentiment: Several commentators said Zillow’s earnings power remains intact, pointing to share gains, deeper monetization, and growth in new products such as AI tools, seller services, and pre-marketing initiatives. Article Title
• Positive Sentiment: Zacks Research upgraded Zillow from hold to strong-buy, which can support sentiment by signaling improving analyst confidence in the stock’s outlook. Article Title
• Positive Sentiment: Another bullish take argued that investors are underestimating Zillow’s AI-driven platform transformation and its ability to grow into a more integrated real-estate ecosystem. Article Title
• Neutral Sentiment: JPMorgan and KBW both trimmed price targets, but kept their broader ratings intact. That suggests Wall Street still sees upside, though the lowered targets may cap enthusiasm in the near term. Article Title
• Neutral Sentiment: Zillow’s Q1 report and related coverage also emphasized higher profit, but lower traffic and a mixed housing backdrop, leaving the market focused on whether growth can continue without sacrificing margins. Article Title
• Negative Sentiment: Multiple law firms, including Rosen and Pomerantz, announced or reiterated securities class action investigations tied to alleged misleading business information, adding legal risk and uncertainty for investors. Article Title
• Negative Sentiment: Despite the earnings beat, some market coverage said the stock slipped because Q2 guidance failed to impress, suggesting investors were looking for a stronger forward outlook than Zillow provided. Article Title

Zillow Group Company Profile

Zillow Group, Inc is an online real estate marketplace company that operates a portfolio of consumer-facing websites and mobile apps designed to connect buyers, sellers, renters, homeowners and real estate professionals. The company's platforms aggregate property listings, rental listings, and related information to help users search for homes, estimate property values and connect with agents and service providers. Zillow generates revenue primarily through advertising and lead-generation services for real estate professionals, property managers and mortgage lenders.

Key products and services include the Zillow and Trulia consumer websites and apps, which provide searchable listings, photos, neighborhood data and the company's automated home valuation tool known as the “Zestimate.” Zillow also offers a rentals marketplace, a mortgage marketplace and tools for home buying and selling such as Zillow Premier Agent for agent advertising and leads, as well as ancillary services designed to support transactions, including closing and title-related offerings.

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