With a market cap of $13.8 billion, CoStar Group, Inc. (CSGP) is a leading provider of information, analytics, and online marketplace services for the real estate industry, serving clients across the United States and several international markets. It offers a wide range of platforms and solutions for commercial and residential real estate, including property data, leasing and sales analytics, online marketplaces, and real estate management technology.
Shares of the Arlington, Virginia-based company have lagged behind the broader market over the past 52 weeks. CSGP stock has declined 57.4% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 24.1%. Moreover, shares of the company are down 51.6% on a YTD basis, compared to SPX’s 7.7% rise.
Zooming in further, the stock’s underperformance becomes more evident when compared to the State Street Real Estate Select Sector SPDR ETF’s (XLRE) 5% gain over the past 52 weeks.
Shares of CoStar Group fell 5.1% following its Q1 2026 results on Apr. 28 despite reporting strong performance, including 60th consecutive quarter of double-digit revenue growth, revenue of $897 million, and adjusted EBITDA of $132 million, which exceeded guidance. Investors appeared concerned about slowing bookings momentum, as analysts highlighted the company’s “third straight quarter of sequential decline” in bookings, while management declined to provide bookings guidance and acknowledged soft rental search demand trends.
For the fiscal year ending in December 2026, analysts expect CSGP’s EPS to surge 94.3% year-over-year to $1.03. Nevertheless, the company’s earnings surprise history is promising. It beat the consensus estimates in the last four quarters.
Among the 19 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 11 “Strong Buy” ratings, two “Moderate Buys,” five “Holds,” and one “Strong Sell.”
On Apr. 29, Needham analyst Mayank Tandon lowered the price target for CoStar Group to $50 while maintaining a “Buy” rating.
The mean price target of $49.59 represents a 48.5% premium to CSGP’s current price levels. The Street-high price target of $70 suggests a 109.6% potential upside.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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