Zillow Group (NASDAQ:Z) Shares Gap Down Following Weak Earnings

Zillow Group, Inc. (NASDAQ:Z - Get Free Report)'s share price gapped down prior to trading on Thursday following a dissappointing earnings announcement. The stock had previously closed at $41.89, but opened at $40.22. Zillow Group shares last traded at $39.13, with a volume of 2,061,614 shares trading hands.

The financial services provider reported ($0.06) earnings per share for the quarter, missing analysts' consensus estimates of $0.36 by ($0.42). Zillow Group had a negative net margin of 8.12% and a negative return on equity of 2.32%. The business had revenue of $529.00 million during the quarter, compared to analyst estimates of $509.30 million. During the same period in the previous year, the company posted ($0.06) earnings per share.

Analyst Upgrades and Downgrades

A number of analysts have commented on the stock. Jefferies Financial Group upped their price objective on shares of Zillow Group from $70.00 to $75.00 and gave the company a "buy" rating in a research note on Monday, March 4th. JPMorgan Chase & Co. dropped their target price on Zillow Group from $65.00 to $61.00 and set an "overweight" rating on the stock in a report on Thursday. Needham & Company LLC reiterated a "hold" rating on shares of Zillow Group in a report on Thursday. Finally, Wedbush dropped their target price on Zillow Group from $60.00 to $50.00 and set a "neutral" rating on the stock in a report on Thursday. Four investment analysts have rated the stock with a hold rating and two have given a buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $56.20.

Insiders Place Their Bets

In other news, insider Dan Spaulding sold 3,086 shares of the stock in a transaction that occurred on Wednesday, February 14th. The stock was sold at an average price of $58.00, for a total value of $178,988.00. Following the completion of the sale, the insider now directly owns 48,294 shares of the company's stock, valued at $2,801,052. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. In other news, insider Errol G. Samuelson sold 4,219 shares of the stock in a transaction that occurred on Tuesday, March 26th. The stock was sold at an average price of $49.60, for a total value of $209,262.40. Following the completion of the sale, the insider now directly owns 168,863 shares of the company's stock, valued at $8,375,604.80. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Dan Spaulding sold 3,086 shares of the firm's stock in a transaction on Wednesday, February 14th. The stock was sold at an average price of $58.00, for a total value of $178,988.00. Following the completion of the transaction, the insider now directly owns 48,294 shares of the company's stock, valued at $2,801,052. The disclosure for this sale can be found here. Insiders sold 171,289 shares of company stock valued at $9,642,508 over the last 90 days. 23.76% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. FMR LLC raised its stake in Zillow Group by 203.1% during the third quarter. FMR LLC now owns 3,450,713 shares of the financial services provider's stock worth $159,285,000 after acquiring an additional 2,312,241 shares in the last quarter. Assenagon Asset Management S.A. raised its stake in Zillow Group by 7,507.1% during the first quarter. Assenagon Asset Management S.A. now owns 1,133,685 shares of the financial services provider's stock worth $55,301,000 after acquiring an additional 1,118,782 shares in the last quarter. Norges Bank acquired a new position in Zillow Group during the fourth quarter worth $34,718,000. Ninety One UK Ltd raised its stake in Zillow Group by 29.4% during the fourth quarter. Ninety One UK Ltd now owns 1,899,383 shares of the financial services provider's stock worth $109,898,000 after acquiring an additional 431,070 shares in the last quarter. Finally, Nordea Investment Management AB raised its stake in Zillow Group by 688.9% during the third quarter. Nordea Investment Management AB now owns 426,611 shares of the financial services provider's stock worth $19,910,000 after acquiring an additional 372,532 shares in the last quarter. 71.01% of the stock is owned by institutional investors.

Zillow Group Stock Down 4.9 %

The company has a debt-to-equity ratio of 0.22, a current ratio of 3.24 and a quick ratio of 3.24. The firm has a 50 day simple moving average of $49.08 and a 200-day simple moving average of $48.91. The stock has a market capitalization of $9.30 billion, a price-to-earnings ratio of -58.59 and a beta of 1.79.

About Zillow Group

Zillow Group, Inc operates real estate brands in mobile applications and Websites in the United States. The company offers premier agent and rentals marketplaces, new construction marketplaces, advertising, display advertising, and business technology solutions, as well as dotloop and floor plans. It also provides mortgage originations and the sale of mortgages, and advertising to mortgage lenders and other mortgage professionals; and title and escrow services.