Is CoStar Stock a Good Investment?
CoStar Investment Advice | CSGP |
- Examine CoStar's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research CoStar's leadership team and their track record. Good management can help CoStar navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Research & Consulting Services space and any emerging trends that could impact CoStar's business and its evolving consumer preferences.
- Compare CoStar's performance and market position to its competitors. Analyze how CoStar is positioned in terms of product offerings, innovation, and market share.
- Check if CoStar pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about CoStar's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in CoStar Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if CoStar Group is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine CoStar Stock
Researching CoStar's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company shares are held by institutions such as insurance companies. The book value of CoStar was currently reported as 18.29. The company has Price/Earnings To Growth (PEG) ratio of 2.44. CoStar Group had not issued any dividends in recent years. The entity had 10:1 split on the 28th of June 2021.
To determine if CoStar is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding CoStar's research are outlined below:
| CoStar Group generated a negative expected return over the last 90 days | |
| CoStar Group has a strong financial position based on the latest SEC filings | |
| Over 99.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from benzinga.com: 1000 Invested In This Stock 20 Years Ago Would Be Worth This Much Today |
CoStar Quarterly Cost Of Revenue |
|
CoStar uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in CoStar Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to CoStar's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 20th of February 2024 Upcoming Quarterly Report | View | |
| 23rd of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 20th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact CoStar's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises CoStar's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2016-10-26 | 2016-09-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2016-07-27 | 2016-06-30 | 0.08 | 0.09 | 0.01 | 12 | ||
2015-10-28 | 2015-09-30 | 0.04 | 0.05 | 0.01 | 25 | ||
2015-04-29 | 2015-03-31 | 0.02 | 0.03 | 0.01 | 50 | ||
2014-10-29 | 2014-09-30 | 0.08 | 0.09 | 0.01 | 12 | ||
2014-07-23 | 2014-06-30 | 0.07 | 0.08 | 0.01 | 14 | ||
2014-04-23 | 2014-03-31 | 0.06 | 0.07 | 0.01 | 16 | ||
2014-02-19 | 2013-12-31 | 0.07 | 0.08 | 0.01 | 14 |
CoStar Target Price Consensus
CoStar target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. CoStar's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 14 | Strong Buy |
Most CoStar analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand CoStar stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of CoStar Group, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationCoStar Target Price Projection
CoStar's current and average target prices are 73.85 and 90.38, respectively. The current price of CoStar is the price at which CoStar Group is currently trading. On the other hand, CoStar's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Target Price
Analyst Consensus On CoStar Target Price
CoStar Analyst Ratings
CoStar's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about CoStar stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of CoStar's financials, market performance, and future outlook by experienced professionals. CoStar's historical ratings below, therefore, can serve as a valuable tool for investors.Know CoStar's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as CoStar is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading CoStar Group backward and forwards among themselves. CoStar's institutional investor refers to the entity that pools money to purchase CoStar's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Hhg Plc | 2024-09-30 | 6.6 M | Bank Of New York Mellon Corp | 2024-09-30 | 6 M | Artisan Partners Limited Partnership | 2024-09-30 | 5.6 M | T. Rowe Price Investment Management,inc. | 2024-09-30 | 5.1 M | Norges Bank | 2024-06-30 | 5.1 M | Vulcan Value Partners, Llc | 2024-09-30 | 4.4 M | Bank Of America Corp | 2024-09-30 | 4.2 M | Blair William & Co | 2024-09-30 | 3.9 M | Brown Advisory Holdings Inc | 2024-09-30 | 3.8 M | Vanguard Group Inc | 2024-09-30 | 65.8 M | Blackrock Inc | 2024-09-30 | 38.9 M |
CoStar's market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 30.1 B.Market Cap |
|
CoStar's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.05 | 0.06 | |
| Return On Capital Employed | 0.03 | 0.03 | |
| Return On Assets | 0.04 | 0.04 | |
| Return On Equity | 0.05 | 0.05 |
Determining CoStar's profitability involves analyzing its financial statements and using various financial metrics to determine if CoStar is a good buy. For example, gross profit margin measures CoStar's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of CoStar's profitability and make more informed investment decisions.
CoStar's Earnings Breakdown by Geography
Evaluate CoStar's management efficiency
As of 01/17/2025, Return On Tangible Assets is likely to grow to 0.06. Also, Return On Capital Employed is likely to grow to 0.03. At this time, CoStar's Total Current Liabilities is relatively stable compared to the past year. As of 01/17/2025, Liabilities And Stockholders Equity is likely to grow to about 10.8 B, while Change To Liabilities is likely to drop slightly above 4.3 M. CoStar's management efficiency ratios could be used to measure how well CoStar manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 16.30 | 17.11 | |
| Tangible Book Value Per Share | 10.30 | 10.82 | |
| Enterprise Value Over EBITDA | 92.38 | 87.76 | |
| Price Book Value Ratio | 5.55 | 4.84 | |
| Enterprise Value Multiple | 92.38 | 87.76 | |
| Price Fair Value | 5.55 | 4.84 | |
| Enterprise Value | 10 B | 10.5 B |
At CoStar Group, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.
Beta 0.823 |
Basic technical analysis of CoStar Stock
As of the 17th of January 2025, CoStar shows the mean deviation of 1.57, and Risk Adjusted Performance of (0.01). CoStar Group technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.CoStar's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific CoStar insiders, such as employees or executives, is commonly permitted as long as it does not rely on CoStar's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases CoStar insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
CoStar's Outstanding Corporate Bonds
CoStar issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. CoStar Group uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most CoStar bonds can be classified according to their maturity, which is the date when CoStar Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| COSTCO WHOLESALE P Corp BondUS22160KAM71 | View | |
| COSTCO WHOLESALE PORATION Corp BondUS22160KAN54 | View | |
| COSTCO WHOLESALE PORATION Corp BondUS22160KAP03 | View | |
| COSTCO WHOLESALE PORATION Corp BondUS22160KAQ85 | View | |
| International Game Technology Corp BondUS460599AD57 | View | |
| US22160NAA72 Corp BondUS22160NAA72 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand CoStar's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing CoStar's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.01) | |||
| Market Risk Adjusted Performance | (0.03) | |||
| Mean Deviation | 1.57 | |||
| Coefficient Of Variation | (5,646) | |||
| Standard Deviation | 2.07 | |||
| Variance | 4.27 | |||
| Information Ratio | (0.02) | |||
| Jensen Alpha | (0.04) | |||
| Total Risk Alpha | (0.04) | |||
| Treynor Ratio | (0.04) | |||
| Maximum Drawdown | 9.86 | |||
| Value At Risk | (3.41) | |||
| Potential Upside | 2.95 | |||
| Skewness | 0.028 | |||
| Kurtosis | 0.9654 |
| Risk Adjusted Performance | (0.01) | |||
| Market Risk Adjusted Performance | (0.03) | |||
| Mean Deviation | 1.57 | |||
| Coefficient Of Variation | (5,646) | |||
| Standard Deviation | 2.07 | |||
| Variance | 4.27 | |||
| Information Ratio | (0.02) | |||
| Jensen Alpha | (0.04) | |||
| Total Risk Alpha | (0.04) | |||
| Treynor Ratio | (0.04) | |||
| Maximum Drawdown | 9.86 | |||
| Value At Risk | (3.41) | |||
| Potential Upside | 2.95 | |||
| Skewness | 0.028 | |||
| Kurtosis | 0.9654 |
Consider CoStar's intraday indicators
CoStar intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of CoStar stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 60375.72 | |||
| Daily Balance Of Power | 0.2077 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 74.03 | |||
| Day Typical Price | 73.97 | |||
| Price Action Indicator | 0.04 | |||
| Period Momentum Indicator | 0.43 |
CoStar Corporate Filings
F4 | 12th of December 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 23rd of October 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 22nd of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F3 | 18th of July 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
CoStar Stock media impact
Far too much social signal, news, headlines, and media speculation about CoStar that are available to investors today. That information is available publicly through CoStar media outlets and privately through word of mouth or via CoStar internal channels. However, regardless of the origin, that massive amount of CoStar data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of CoStar news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of CoStar relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to CoStar's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive CoStar alpha.
CoStar Maximum Pain Price Across April 17th 2025 Option Contracts
CoStar's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of CoStar close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of CoStar's options.
CoStar Corporate Management
| Cyndi Eakin | Senior Controller | Profile | |
| Frank Simuro | Chief Officer | Profile | |
| Timothy Trainor | Communications Director | Profile | |
| Richard Simonelli | Head Relations | Profile | |
| Mark Ibbotson | Managing Canada | Profile | |
| Christian Lown | Chief Officer | Profile |
Additional Tools for CoStar Stock Analysis
When running CoStar's price analysis, check to measure CoStar's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CoStar is operating at the current time. Most of CoStar's value examination focuses on studying past and present price action to predict the probability of CoStar's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CoStar's price. Additionally, you may evaluate how the addition of CoStar to your portfolios can decrease your overall portfolio volatility.