Zillow Group (NASDAQ:Z) Hits New 1-Year Low - Time to Sell?

Key Points

• Zillow Group shares hit a new 52-week low, trading as low as $28.89 compared with a previous close of $30.95. The stock remains well below its 50-day and 200-day moving averages.
• Analysts have recently lowered ratings and price targets, though the consensus remains “Moderate Buy” with an average target of $61.29. The stock has two Strong Buy, five Buy, eight Hold and one Sell rating.
• Zillow exceeded quarterly expectations, reporting $0.52 in earnings per share and $772 million in revenue, but insiders sold shares worth about $1.32 million over the past three months, primarily to cover tax obligations.

Zillow Group, Inc. (NASDAQ:Z - Get Free Report)'s stock price reached a new 52-week low on Wednesday . The stock traded as low as $28.89 and last traded at $28.9080, with a volume of 2903703 shares trading hands. The stock had previously closed at $30.95.

Analyst Upgrades and Downgrades

Several research firms have weighed in on Z. Wall Street Zen cut Zillow Group from a "buy" rating to a "hold" rating in a research note on Saturday, August 8th. Royal Bank Of Canada reduced their price objective on shares of Zillow Group from $95.00 to $70.00 and set an "outperform" rating for the company in a research note on Wednesday, June 10th. Jefferies Financial Group lowered their price objective on Zillow Group from $75.00 to $60.00 and set a "buy" rating on the stock in a report on Tuesday, July 14th. Keefe, Bruyette & Woods reduced their target price on Zillow Group from $37.00 to $34.00 and set a "market perform" rating for the company in a report on Friday, August 7th. Finally, Evercore cut Zillow Group from a "strong-buy" rating to a "hold" rating in a research report on Thursday, August 6th. Two equities research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $61.29.

Zillow Group Price Performance

The company has a market capitalization of $6.46 billion, a price-to-earnings ratio of 130.71, a price-to-earnings-growth ratio of 1.33 and a beta of 2.00. The business has a fifty day moving average price of $33.64 and a 200 day moving average price of $36.93.

Zillow Group (NASDAQ:Z - Get Free Report) last released its earnings results on Wednesday, August 5th. The financial services provider reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.07. Zillow Group had a net margin of 1.96% and a return on equity of 2.32%. The business had revenue of $772.00 million during the quarter, compared to analysts' expectations of $758.10 million. As a group, sell-side analysts predict that Zillow Group, Inc. will post 0.89 earnings per share for the current fiscal year.

Insider Buying and Selling at Zillow Group

In other Zillow Group news, CFO Jeremy Hofmann sold 5,661 shares of Zillow Group stock in a transaction on Monday, August 17th. The stock was sold at an average price of $34.18, for a total value of $193,492.98. Following the completion of the transaction, the chief financial officer owned 59,144 shares in the company, valued at approximately $2,021,541.92. The trade was a 8.74% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Errol G. Samuelson sold 3,154 shares of the stock in a transaction on Thursday, August 13th. The stock was sold at an average price of $34.24, for a total value of $107,992.96. Following the sale, the insider owned 130,885 shares in the company, valued at $4,481,502.40. The trade was a 2.35% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 38,539 shares of company stock worth $1,323,800 over the last three months. 23.76% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Zillow Group

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. L1 Capital Pty Ltd grew its stake in shares of Zillow Group by 24,803.7% in the fourth quarter. L1 Capital Pty Ltd now owns 1,729,313 shares of the financial services provider's stock valued at $117,974,000 after acquiring an additional 1,722,369 shares in the last quarter. Tiger Global Management LLC increased its stake in shares of Zillow Group by 21.7% in the 1st quarter. Tiger Global Management LLC now owns 7,368,957 shares of the financial services provider's stock valued at $304,927,000 after purchasing an additional 1,312,000 shares during the last quarter. Contour Asset Management LLC raised its holdings in shares of Zillow Group by 29.8% during the 4th quarter. Contour Asset Management LLC now owns 3,260,474 shares of the financial services provider's stock worth $222,430,000 after buying an additional 747,808 shares in the last quarter. Quantinno Capital Management LP lifted its position in shares of Zillow Group by 455.6% during the 1st quarter. Quantinno Capital Management LP now owns 641,618 shares of the financial services provider's stock worth $26,550,000 after buying an additional 526,142 shares during the last quarter. Finally, Dimensional Fund Advisors LP boosted its stake in Zillow Group by 21.8% in the first quarter. Dimensional Fund Advisors LP now owns 1,896,206 shares of the financial services provider's stock valued at $78,461,000 after buying an additional 338,803 shares in the last quarter. Institutional investors and hedge funds own 71.01% of the company's stock.

About Zillow Group

Zillow Group, Inc is a digital real estate company that operates online marketplaces and technology platforms designed to help consumers discover, buy, sell, rent and finance homes. Its websites and mobile applications provide property listings, home values, market data, search tools and connections to real estate professionals.

The company's portfolio includes Zillow, Trulia, StreetEasy and HotPads, which serve residential real estate consumers and professionals across the United States.

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