Zillow Group (NASDAQ:ZG) Raised to "Strong-Buy" at Mizuho

Key Points

• Zillow Group has been upgraded to a "strong-buy" rating by Mizuho, indicating strong confidence from analysts in the future performance of the stock.
• The company recently reported a 14.5% year-over-year revenue increase, despite posting earnings per share of $0.40, which was below the consensus estimate.
• Insider selling has been notable, with two executives selling substantial shares, leading to a decrease in their ownership stakes in the company.

Zillow Group (NASDAQ:ZG - Get Free Report) was upgraded by equities researchers at Mizuho to a "strong-buy" rating in a research note issued to investors on Monday,Zacks.com reports.

ZG has been the subject of several other reports. KeyCorp reiterated an "overweight" rating and issued a $92.00 price target (up from $90.00) on shares of Zillow Group in a research report on Thursday, August 7th. Evercore ISI lifted their target price on Zillow Group from $90.00 to $95.00 and gave the company an "outperform" rating in a report on Friday, August 8th. Canaccord Genuity Group increased their price target on shares of Zillow Group from $76.00 to $84.00 and gave the stock a "hold" rating in a report on Thursday, August 7th. Sanford C. Bernstein upgraded shares of Zillow Group from a "market perform" rating to an "outperform" rating and raised their price objective for the company from $75.00 to $105.00 in a research report on Wednesday, September 17th. Finally, Royal Bank Of Canada upped their target price on shares of Zillow Group from $88.00 to $95.00 and gave the stock an "outperform" rating in a report on Thursday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $86.78.

Zillow Group Stock Performance

Shares of Zillow Group stock opened at $74.44 on Monday. Zillow Group has a 52-week low of $55.08 and a 52-week high of $90.22. The stock's 50-day simple moving average is $80.41 and its 200 day simple moving average is $72.05. The stock has a market capitalization of $18.03 billion, a P/E ratio of -286.31, a P/E/G ratio of 21.71 and a beta of 2.02.

Zillow Group (NASDAQ:ZG - Get Free Report) last posted its earnings results on Wednesday, August 6th. The technology company reported $0.40 earnings per share for the quarter, missing the consensus estimate of $0.44 by ($0.04). The business had revenue of $655.00 million during 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%.Zillow Group's revenue for the quarter was up 14.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.39 EPS. Equities research analysts forecast that Zillow Group will post 0.32 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Dan Spaulding sold 100,000 shares of the firm's stock in a transaction on Thursday, August 7th. The shares were sold at an average price of $85.91, for a total transaction of $8,591,000.00. Following the sale, the insider owned 68,889 shares in the company, valued at approximately $5,918,253.99. This trade represents a 59.21% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Chairman Richard N. Barton sold 200,000 shares of the firm'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 sale, the chairman owned 843,248 shares in the company, valued at $71,608,620.16. The trade was a 19.17% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 657,087 shares of company stock worth $56,286,479. 17.14% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of ZG. National Bank of Canada FI lifted its stake in shares of Zillow Group by 79.4% in the 1st quarter. National Bank of Canada FI now owns 488 shares of the technology company's stock valued at $33,000 after acquiring an additional 216 shares during the last quarter. Salem Investment Counselors Inc. purchased a new position in Zillow Group in the 1st quarter worth approximately $42,000. CX Institutional bought a new stake in Zillow Group in the first quarter valued at approximately $46,000. PNC Financial Services Group Inc. boosted its stake in shares of Zillow Group by 33.0% during the first quarter. PNC Financial Services Group Inc. now owns 1,129 shares of the technology company's stock valued at $75,000 after purchasing an additional 280 shares during the period. Finally, Versant Capital Management Inc grew its holdings in shares of Zillow Group by 38.3% in the first quarter. Versant Capital Management Inc now owns 1,413 shares of the technology company's stock worth $94,000 after purchasing an additional 391 shares during the last quarter. 20.32% of the stock is owned by institutional investors.

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.

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