- FY Revenue Forecast Cut: CoStar Group revised its full-year revenue forecast to $2.74 billion to $2.75 billion from the previous $2.76 billion to $2.77 billion. Analysts estimated $2.77 billion.
- Adjusted EPS Forecast: Expected adjusted EPS for the full year is now 64 cents to 66 cents.
- Third Quarter Forecast:
- Adjusted EPS is expected to be 15 cents to 16 cents.
- Revenue is forecasted between $692 million to $697 million, below the analyst estimate of $703.6 million.
- Second Quarter Results:
- Revenue reached $677.8 million, increasing by 12% year-over-year and slightly beating the estimate of $677.3 million.
- Adjusted EPS stood at 15 cents, compared to 31 cents year-over-year.
- EBITDA Outlook: For Q3 2024, the company expects adjusted EBITDA to be in the range of $47 million to $52 million.
- Brand Awareness: Unaided brand awareness climbed to 27% in June 2024 due to aggressive marketing efforts.
- CEO Comments: Andy Florance, Founder and CEO, stated that the company achieved another strong quarter in terms of revenue, sales, and website traffic.
- Analyst Ratings: The company has 13 buy ratings, 4 hold ratings, and 0 sell ratings.
Costar Group on Smartkarma
Analysts on Smartkarma like those from Value Investors Club are bullish on Costar Group Inc (CSGP). In a report published on Friday, Mar 29, 2024, they highlighted the potential impact of a settlement that could disrupt the traditional US portal model. This settlement might lead to the unbundling of buy-side commissions, potentially driving CSGP stock higher. The analysts also see a significant opportunity for CSGP’s homes.com business due to rapid growth in traffic and monetization. Despite trading in-line with historical valuation, CSGP is considered a cheap option for further growth, particularly within the homes.com network.
A look at Costar Group Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
When looking at Costar Group‘s long-term outlook, it appears to have a positive trajectory based on its Smartkarma Smart Scores. With high marks in Growth and Resilience, the company seems well-positioned for future expansion and is showing strong ability to weather market challenges. Additionally, its Momentum score suggests a steady upward trend in performance. Although the Value and Dividend scores are not as high as other factors, the overall outlook for Costar Group seems promising.
CoStar Group Inc. is a company in the United States that specializes in providing detailed information on commercial real estate properties. Their database includes valuable information on office and industrial spaces, along with digitized photographs and floor plan images of individual buildings in their target markets. With a focus on serving the commercial real estate industry and related sectors, Costar Group plays a crucial role in facilitating informed decision-making within the real estate market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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