CoStar Group (NASDAQ:CSGP) Sets New 12-Month Low Following Analyst Downgrade

Shares of CoStar Group, Inc. (NASDAQ:CSGP) reached a new 52-week low on Wednesday after Citigroup downgraded the stock from a market outperform rating to a neutral rating. The company traded as low as $26.39 and last traded at $27.4810, with a volume of 182581 shares. The stock had previously closed at $30.33.

CSGP has been the subject of several other research reports. Deutsche Bank Aktiengesellschaft set a $44.00 price objective on CoStar Group in a report on Thursday, April 30th. Royal Bank Of Canada set a $34.00 target price on CoStar Group and gave the stock a “sector perform” rating in a report on Monday, July 13th. JPMorgan Chase & Co. reduced their price target on shares of CoStar Group from $82.00 to $70.00 and set an “overweight” rating for the company in a research report on Wednesday, April 29th. Citizens Jmp decreased their price target on shares of CoStar Group from $73.00 to $44.00 and set a “market outperform” rating for the company in a research note on Wednesday, April 29th. Finally, Stephens lowered their price objective on shares of CoStar Group from $50.00 to $42.00 and set an “overweight” rating on the stock in a report on Monday, May 4th. Nine investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, CoStar Group currently has an average rating of “Hold” and a consensus price target of $45.17.

Insider Buying and Selling

In related news, CEO Andrew C. Florance acquired 71,430 shares of the firm’s stock in a transaction on Friday, May 1st. The stock was purchased at an average cost of $35.20 per share, with a total value of $2,514,336.00. Following the acquisition, the chief executive officer 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 position. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 1.18% of the company’s stock.

More CoStar Group News

Here are the key news stories impacting CoStar Group this week:

• Positive Sentiment: CoStar reported second-quarter adjusted earnings of $0.32 per share, ahead of the roughly $0.28–$0.29 consensus, while revenue increased 18.4% year over year to $925 million. Net income reportedly rose sharply and adjusted EBITDA more than doubled, suggesting improving profitability. CoStar Group Q2 Earnings Beat Estimates
• Positive Sentiment: Full-year 2026 adjusted EPS guidance of $1.32–$1.39 is above the approximately $1.29 analyst consensus, while net new bookings reached $69 million, up 3% from the prior quarter. CoStar Group Q2 2026 Results
• Neutral Sentiment: BTIG and Needham retained Buy ratings but lowered their price targets to $42 and $40, respectively. William Blair reaffirmed a Market Perform rating, indicating analysts see long-term potential but greater near-term execution risk.
• Negative Sentiment: Third-quarter guidance was the main concern: CoStar forecast adjusted EPS of $0.31–$0.34 versus a $0.36 consensus and revenue of $935–$945 million versus roughly $970 million expected. The disappointing outlook overshadowed the quarterly earnings beat. CoStar Q2 Earnings Results and Guidance
• Negative Sentiment: Keefe, Bruyette & Woods downgraded CSGP from Outperform to Market Perform and reduced its price target from $41 to $29. BTIG and Needham also cut their targets substantially, reinforcing concerns about valuation and the pace of growth.

Institutional Investors Weigh In On CoStar Group

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Douglas Lane & Associates LLC grew its stake in shares of CoStar Group by 4.3% in the 4th quarter. Douglas Lane & Associates LLC now owns 683,061 shares of the technology company’s stock worth $45,929,000 after acquiring an additional 28,279 shares in the last quarter. Barclays PLC raised its holdings in shares of CoStar Group by 83.4% in the fourth quarter. Barclays PLC now owns 2,321,700 shares of the technology company’s stock valued at $156,111,000 after purchasing an additional 1,055,584 shares during the last quarter. Envestnet Portfolio Solutions Inc. lifted its position in shares of CoStar Group by 100.3% during the fourth quarter. Envestnet Portfolio Solutions Inc. now owns 245,184 shares of the technology company’s stock valued at $16,486,000 after purchasing an additional 122,776 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. lifted its position in shares of CoStar Group by 22.6% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 210,095 shares of the technology company’s stock valued at $14,127,000 after purchasing an additional 38,715 shares in the last quarter. Finally, Baillie Gifford & Co. boosted its holdings in CoStar Group by 56.9% during the fourth quarter. Baillie Gifford & Co. now owns 12,933,185 shares of the technology company’s stock worth $869,627,000 after purchasing an additional 4,691,543 shares during the last quarter. 96.60% of the stock is owned by hedge funds and other institutional investors.

CoStar Group Trading Down 8.5%

The company has a debt-to-equity ratio of 0.13, a current ratio of 2.20 and a quick ratio of 2.20. The firm’s fifty day moving average is $30.83 and its two-hundred day moving average is $40.64. The firm has a market capitalization of $11.33 billion, a PE ratio of 459.56, a PEG ratio of 0.75 and a beta of 0.74.

CoStar Group (NASDAQ:CSGP) last posted its quarterly earnings data on Tuesday, July 28th. The technology company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.29 by $0.03. CoStar Group had a net margin of 0.74% and a return on equity of 2.90%. The firm had revenue of $925.00 million during the quarter, compared to analyst estimates of $928.81 million. During the same quarter last year, the business posted $0.17 EPS. The company’s revenue for the quarter was up 18.4% on a year-over-year basis. CoStar Group has set its Q3 2026 guidance at 0.310-0.340 EPS and its FY 2026 guidance at 1.320-1.390 EPS. On average, equities analysts predict that CoStar Group, Inc. will post 1.03 EPS for the current fiscal year.

CoStar Group Company Profile

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.