Zillow Group, Inc. (NASDAQ:ZG) Sees Significant Drop in Short Interest

Key Points

• Zillow Group's short interest decreased by 30.4% in July, totaling 953,600 shares as of July 31, with 1.9% of its shares currently sold short.
• The company reported $0.40 earnings per share for the last quarter, missing analyst expectations by $0.04, despite a 14.5% increase in revenue year-over-year.
• Analysts have mixed ratings on Zillow Group, with thirteen rating it as a Buy, while the consensus price target stands at $85.62.

Zillow Group, Inc. (NASDAQ:ZG - Get Free Report) was the recipient of a significant decline in short interest in the month of July. As of July 31st, there was short interest totaling 953,600 shares, adeclineof30.4% from the July 15th total of 1,370,000 shares. Based on an average trading volume of 541,300 shares, the short-interest ratio is presently 1.8 days. Currently,1.9% of the shares of the company are sold short. Currently,1.9% of the shares of the company are sold short. Based on an average trading volume of 541,300 shares, the short-interest ratio is presently 1.8 days.

Zillow Group Trading Up 7.7%

Zillow Group stock traded up $6.03 during midday trading on Friday, hitting $83.92. The stock had a trading volume of 714,340 shares, compared to its average volume of 559,756. The firm's fifty day moving average is $74.56 and its two-hundred day moving average is $70.70. The company has a market capitalization of $20.33 billion, a PE ratio of -322.77, a P/E/G ratio of 15.81 and a beta of 2.07. Zillow Group has a 52-week low of $51.16 and a 52-week high of $86.58.

Zillow Group (NASDAQ:ZG - Get Free Report) last issued its quarterly earnings data on Wednesday, August 6th. The technology company reported $0.40 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.44 by ($0.04). The firm had revenue of $655.00 million for the quarter, compared to analysts' expectations of $647.06 million. Zillow Group had a negative return on equity of 1.26% and a negative net margin of 2.60%.The firm's revenue was up 14.5% on a year-over-year basis. During the same period last year, the company earned $0.39 earnings per share. As a group, equities research analysts predict that Zillow Group will post 0.32 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Dan Spaulding sold 100,000 shares of the business's stock in a transaction dated Thursday, August 7th. The stock was sold at an average price of $85.91, for a total transaction of $8,591,000.00. Following the transaction, the insider directly owned 68,889 shares in the company, valued at $5,918,253.99. The trade was a 59.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Chairman Richard N. Barton sold 200,000 shares of the business's stock in a transaction dated Thursday, August 14th. The shares were sold at an average price of $84.92, for a total value of $16,984,000.00. Following the transaction, the chairman owned 843,248 shares in the company, valued at $71,608,620.16. This represents a 19.17% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 580,379 shares of company stock valued at $49,319,729. Corporate insiders own 17.14% of the company's stock.

Institutional Investors Weigh In On Zillow Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. boosted its stake in shares of Zillow Group by 0.8% during the 1st quarter. Vanguard Group Inc. now owns 7,002,693 shares of the technology company's stock worth $468,200,000 after acquiring an additional 57,693 shares in the last quarter. Norges Bank acquired a new position in shares of Zillow Group in the second quarter valued at approximately $159,770,000. Independent Franchise Partners LLP lifted its stake in Zillow Group by 1.8% in the first quarter. Independent Franchise Partners LLP now owns 2,060,399 shares of the technology company's stock worth $137,758,000 after acquiring an additional 36,046 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in Zillow Group by 6.5% in the fourth quarter. Dimensional Fund Advisors LP now owns 445,664 shares of the technology company's stock worth $31,578,000 after acquiring an additional 27,345 shares during the last quarter. Finally, Selkirk Management LLC raised its holdings in Zillow Group by 14.0% during the fourth quarter. Selkirk Management LLC now owns 365,800 shares of the technology company's stock worth $25,917,000 after purchasing an additional 45,000 shares in the last quarter. 20.32% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research firms have weighed in on ZG. Wedbush reiterated an "outperform" rating and issued a $90.00 target price (down from $100.00) on shares of Zillow Group in a report on Thursday, May 8th. Wells Fargo & Company upped their price target on shares of Zillow Group from $60.00 to $75.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 8th. Royal Bank Of Canada upped their price objective on shares of Zillow Group from $88.00 to $95.00 and gave the company an "outperform" rating in a report on Thursday, August 7th. Barclays reissued an "underweight" rating and issued a $66.00 target price (up previously from $60.00) on shares of Zillow Group in a research report on Thursday, August 7th. Finally, Evercore ISI boosted their target price on shares of Zillow Group from $90.00 to $95.00 and gave the company an "outperform" rating in a research report on Friday, August 8th. Thirteen equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $85.62.

Zillow Group Company Profile

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.