CoStar Group (NASDAQ:CSGP) Shares Gap Up - What's Next?

Key Points

• CoStar Group shares rose 7.8%, opening at $33.98 after closing at $32.90 and trading near $34.69.
• Analyst sentiment is mixed, with a consensus “Hold” rating and average price target of $40.11; estimates range from $29 to $40.
• The company exceeded quarterly EPS expectations, reporting $0.32 versus $0.29 expected, while revenue increased 18.4% year over year to $925 million.

CoStar Group, Inc. (NASDAQ:CSGP - Get Free Report) shares gapped up prior to trading on Thursday. The stock had previously closed at $32.90, but opened at $33.98. CoStar Group shares last traded at $34.6890, with a volume of 705,972 shares.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on CSGP shares. KeyCorp set a $33.00 price target on shares of CoStar Group in a research report on Monday, August 24th. Citizens Jmp lowered their price objective on CoStar Group from $44.00 to $35.00 and set a "market outperform" rating for the company in a report on Wednesday, July 29th. Royal Bank Of Canada set a $34.00 price objective on CoStar Group and gave the company a "sector perform" rating in a research note on Monday, July 13th. The Goldman Sachs Group reiterated a "buy" rating and issued a $40.00 target price on shares of CoStar Group in a research report on Wednesday, July 29th. Finally, Keefe, Bruyette & Woods downgraded CoStar Group from an "outperform" rating to a "market perform" rating and lowered their price target for the company from $41.00 to $29.00 in a report on Wednesday, July 29th. Nine analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $40.11.

CoStar Group Stock Up 7.8%

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.21 and a quick ratio of 2.21. The stock's fifty day simple moving average is $30.41 and its 200-day simple moving average is $31.82. The stock has a market cap of $14.36 billion, a P/E ratio of 186.59, a PEG ratio of 0.84 and a beta of 0.80.

CoStar Group (NASDAQ:CSGP - Get Free Report) last posted its earnings results on Tuesday, July 28th. The technology company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.29 by $0.03. The company had revenue of $925.00 million during the quarter, compared to analyst estimates of $928.81 million. CoStar Group had a return on equity of 3.74% and a net margin of 2.08%. The business's revenue was up 18.4% compared to the same quarter last year. During the same period in the prior year, the company earned $0.17 earnings per share. CoStar Group has set its Q3 2026 guidance at 0.310-0.340 EPS and its FY 2026 guidance at 1.320-1.390 EPS. On average, research analysts anticipate that CoStar Group, Inc. will post 1.07 earnings per share for the current year.

Insider Transactions at CoStar Group

In related news, CEO Andrew C. Florance acquired 83,300 shares of the business's stock in a transaction dated Tuesday, August 4th. The stock was bought at an average price of $29.89 per share, for a total transaction of $2,489,837.00. Following the transaction, the chief executive officer owned 1,806,165 shares of the company's stock, valued at approximately $53,986,271.85. The trade was a 4.83% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Cynthia Cammett Cann sold 4,788 shares of the firm's stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $30.78, for a total transaction of $147,374.64. Following the completion of the transaction, the chief accounting officer owned 18,822 shares of the company's stock, valued at approximately $579,341.16. The trade was a 20.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 1.18% of the company's stock.

Institutional Investors Weigh In On CoStar Group

A number of institutional investors have recently modified their holdings of the stock. Empirical Finance LLC increased its holdings in CoStar Group by 6.6% in the second quarter. Empirical Finance LLC now owns 8,770 shares of the technology company's stock worth $248,000 after buying an additional 545 shares during the last quarter. Mufg Securities Americas Inc. grew its position in CoStar Group by 4.9% in the 2nd quarter. Mufg Securities Americas Inc. now owns 12,300 shares of the technology company's stock worth $348,000 after purchasing an additional 573 shares during the last quarter. CYBER HORNET ETFs LLC raised its stake in shares of CoStar Group by 50.8% in the second quarter. CYBER HORNET ETFs LLC now owns 1,757 shares of the technology company's stock valued at $50,000 after purchasing an additional 592 shares in the last quarter. Aaron Wealth Advisors LLC raised its position in CoStar Group by 8.8% in the first quarter. Aaron Wealth Advisors LLC now owns 8,130 shares of the technology company's stock worth $328,000 after purchasing an additional 655 shares in the last quarter. Finally, Czech National Bank boosted its holdings in CoStar Group by 0.7% during the second quarter. Czech National Bank now owns 116,234 shares of the technology company's stock valued at $3,292,000 after purchasing an additional 808 shares in the last quarter. Institutional investors and hedge funds own 96.60% of the company's stock.

CoStar Group Company Profile

CoStar Group, Inc is a provider of information, analytics, and online marketplaces for the commercial and residential real estate industries. The company collects, analyzes, and distributes property and market data to real estate professionals, investors, lenders, and other businesses.

Its brands and services include CoStar, which offers commercial real estate data and research; LoopNet, a marketplace for commercial property listings; Apartments.com, a rental housing marketplace; and Homes.com, a residential real estate platform.

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