CoStar Group (NASDAQ:CSGP) Shares Gap Down After Analyst Downgrade

CoStar Group, Inc. (NASDAQ:CSGP) gapped down before the market opened on Tuesday after Keefe, Bruyette & Woods lowered their price target on the stock from $50.00 to $41.00. The stock had previously closed at $28.77, but opened at $27.00. Keefe, Bruyette & Woods currently has an outperform rating on the stock. CoStar Group shares last traded at $26.8740, with a volume of 2,111,656 shares changing hands.

Other analysts have also recently issued research reports about the company. BTIG Research reiterated a “buy” rating and set a $55.00 target price on shares of CoStar Group in a research report on Wednesday, April 29th. Weiss Ratings reiterated a “sell (d)” rating on shares of CoStar Group in a research report on Wednesday, June 24th. Wall Street Zen cut shares of CoStar Group from a “buy” rating to a “hold” rating in a research report on Sunday. The Goldman Sachs Group set a $46.00 price target on CoStar Group and gave the stock a “buy” rating in a report on Thursday, June 25th. Finally, Benchmark assumed coverage on shares of CoStar Group in a report on Thursday, June 4th. They set a “buy” rating and a $45.00 price objective for the company. Twelve analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $51.50.

Insiders Place Their Bets

In related news, CEO Andrew C. Florance bought 71,430 shares of the business’s stock in a transaction on Friday, May 1st. The shares were bought at an average price of $35.20 per share, for a total transaction of $2,514,336.00. Following the completion of the purchase, the chief executive officer directly owned 1,722,865 shares of the company’s stock, valued at approximately $60,644,848. This trade represents a 4.33% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.18% of the stock is currently owned by insiders.

Hedge Funds Weigh In On CoStar Group

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Reflection Asset Management purchased a new position in shares of CoStar Group in the fourth quarter worth $27,000. Lloyd Advisory Services LLC. purchased a new stake in CoStar Group in the 4th quarter worth approximately $29,000. DV Equities LLC purchased a new stake in CoStar Group during the fourth quarter worth $40,000. IFP Advisors Inc boosted its stake in shares of CoStar Group by 329.4% during the 4th quarter. IFP Advisors Inc now owns 614 shares of the technology company’s stock worth $41,000 after acquiring an additional 471 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd grew its holdings in CoStar Group by 25,650.0% in the third quarter. Caitong International Asset Management Co. Ltd now owns 515 shares of the technology company’s stock valued at $43,000 after purchasing an additional 513 shares during the period. 96.60% of the stock is owned by hedge funds and other institutional investors.

CoStar Group Stock Performance

The company has a market capitalization of $10.93 billion, a price-to-earnings ratio of 445.99, a price-to-earnings-growth ratio of 0.73 and a beta of 0.74. The firm has a fifty day simple moving average of $31.82 and a 200 day simple moving average of $43.57. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.20 and a quick ratio of 2.20.

CoStar Group (NASDAQ:CSGP) last announced its earnings results on Tuesday, April 28th. The technology company reported $0.23 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.18 by $0.05. The firm had revenue of $897.00 million for the quarter, compared to analyst estimates of $896.73 million. CoStar Group had a return on equity of 2.90% and a net margin of 0.74%.The business’s revenue was up 22.5% on a year-over-year basis. During the same quarter last year, the firm posted ($0.04) EPS. CoStar Group has set its Q2 2026 guidance at 0.270-0.300 EPS and its FY 2026 guidance at 1.320-1.390 EPS. On average, analysts anticipate that CoStar Group, Inc. will post 1.03 earnings per share for the current fiscal year.

About CoStar Group

CoStar Group, Inc is a provider of information, analytics and online marketplaces for the commercial real estate industry. The company gathers property-level data, builds market analytics and supplies research tools used by brokers, owners, lenders, investors and other real estate professionals to evaluate markets, track inventory and manage listings. CoStar’s offerings are delivered primarily through subscription-based platforms that combine proprietary databases, mapping and workflow applications to support decision-making across the property life cycle.

In addition to its core CoStar research service, the company operates prominent online listing and marketing platforms that connect buyers, sellers, tenants and brokers.