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CoStar Group, Inc. (CSGP) Stock Analysis

By Nova Skye | AltStation.io | Updated February 07, 2026

Price

$49.56

Change

-2.79%

Market Cap

$21.01B

Avg Volume

5.4M

Company Overview

CoStar Group, Inc. provides real estate information and analytics services that cater primarily to commercial property markets. They offer a range of products, including databases for property listings, lease transactions, and sales transactions through multiple platforms such as CoStar Property and LoopNet.com. Their customers include real estate professionals like brokers, asset managers, and developers, as well as financial institutions and government agencies looking for detailed property data and market insights.

CoStar holds a strong competitive position and is considered a market leader in the real estate analytics space. Their extensive database and analytical tools give them an edge over competitors like Zillow, REIS, and CoreLogic. However, as the market shifts towards more data-driven decision-making, new entrants and technology-driven platforms could pose a threat. CoStar’s broad product offerings and established reputation mitigate this risk, but they must remain vigilant in keeping up with technological advancements and customer needs.

Currently, CoStar is in a growth phase. The company is expanding its international presence and continually enhancing its suite of tools, recently adding features like CoStar Benchmarking for hotel performance analysis. This aligns with their strategy to diversify and deepen their market penetration. Revenue for Q2 2023 was up 18% year-over-year, indicating strong demand for their services despite fluctuating market conditions in real estate.

Key Financials

Market Cap

$21.01B

Revenue

$3.06B

EBITDA

$157.80M

Gross Margin

79.3%

Profit Margin

0.7%

Revenue Growth

20.4%

Total Cash

$1.94B

Total Debt

$1.13B

Free Cash Flow

$113.80M

52-Week Price Performance Analysis

Price Statistics

P/E Ratio

826.08

Forward P/E

37.06

Beta

0.85

52-Week High

$97.43

52-Week Low

$48.76

EPS

$0.06

50-Day Avg

$64.73

200-Day Avg

$77.13

Price/Book

2.44

Technical Analysis

Over the 52-week period, CoStar Group, Inc. (CSGP) has exhibited a strong bearish trend, with a significant decline of 34.7%, dropping from approximately $92 to its current price of $49.56. Key support is identified around the $50.28 level, where the stock recently found temporary stability, while resistance is apparent near the $80 mark, which was previously tested multiple times but not sustained. The chart reveals a descending triangle pattern, indicating continuous lower highs and a consistent support level, suggesting weakening bullish sentiment. Recent momentum has shown a sharp downward movement, particularly in the last few weeks, breaking through key support levels and confirming selling pressure. Currently, at $49.56, the stock is trading significantly below its 52-week midpoint, suggesting continued weakness and potential for further declines unless a reversal occurs. Overall, the negative performance and proximity to support levels imply caution for investors considering a position in CSGP.

Recent News and Developments

Here’s a summary of the latest news and developments for CoStar Group, Inc

(CSGP) stock in the past week:

### D.E

Shaw Group Pushes for Board Changes at CoStar

Activist investor D.E

Shaw Group has reportedly initiated a push for changes to CoStar Group’s board of directors. News outlets reported on this development around February 3rd to February 6th, 2026. This move suggests potential pressure on CoStar’s strategic direction and corporate governance from a major shareholder.

Market Sentiment and Analyst Recommendations

Bull Case

CoStar is growing revenue at 20.4% annually with $3.06B in top-line sales and a fortress balance sheet: $1.94B in cash against just $1.13B in debt. The company is backing itself with a $1.5B share repurchase program, signaling management confidence despite recent weakness. Homes.com is the real story here — it’s a residential play in a massive addressable market that’s expected to reach positive adjusted EBITDA by 2030, which is a concrete milestone rather than vague promises. At $49.56, the stock has collapsed 34.7% from its 52-week high, overshooting downward on Homes.com investment concerns and activist pressure. Nineteen analysts maintain a buy rating with an $80.74 average target, implying 62.8% upside from current levels, and the stock is trading right at key support around $50.28. If Homes.com shows even modest early traction in residential market share or the activist situation resolves positively, this reprices higher quickly.

Bear Case

That P/E of 826 is a massive red flag — it tells you the company is barely profitable on a GAAP basis right now despite strong revenue growth, which means earnings power is severely constrained. Homes.com is a massive capital sink with profitability not expected until 2030, a nine-year wait that’s unrealistic to forecast with confidence. Q4 2025 net new sales came in below expectations according to Baron Funds, suggesting the growth narrative is losing steam where it matters most. The stock has already dropped 34.7% from highs and is trading at support, but that doesn’t mean it can’t break lower — descending triangles often resolve downward. Wells Fargo just cut its price target from $55 to $48, showing analyst sentiment is shifting negative, and D.E. Shaw’s board activism signals even insiders think something is broken strategically. Revenue guidance of $3.78-$3.82B for 2026 implies just 23.5-24.8% growth, a deceleration from the current 20.4%, which compounds the profitability problem.

What to Watch

Q1 2026 earnings will be critical — focus on net new sales trends and whether Homes.com’s burn rate is stabilizing or accelerating. Watch the D.E. Shaw activist campaign closely; if they win board seats or force strategic changes, that’s either a catalyst for turnaround or confirmation that management lost investor confidence. Monitor the $1.5B buyback execution; if management pulls back or slows repurchases, that’s a sign they’re losing faith in the stock price. Homes.com user growth and market share metrics matter more than the 2030 profitability target right now — any evidence of traction in residential will reset the narrative. The $80 resistance level is the next technical hurdle; if the stock can reclaim and hold above $80, the descending triangle breaks bullishly and targets the $97.43 high. Track analyst downgrades like the Wells Fargo cut; if more follow, the consensus $83.39 target gets repriced lower and the bull case weakens materially.

Analyst Consensus

BUY

Based on 19 analyst opinions

Low Target

$55.00

Mean Target

$80.74

High Target

$105.00

Earnings and Financial Data

Sector

Real Estate

Industry

Real Estate Services

Employees

6,593

Earnings & Dividends

Next Earnings

Feb 24, 2026

EPS (Trailing)

$0.06

Dividend Yield

None

Payout Ratio

Frequently Asked Questions

Is CSGP a good stock to buy?

Yes, analysts recommend CSGP as a “BUY” with a target price of $80.74. Given the current price of $49.56, this offers significant upside potential.

What is CSGP’s price target?

The consensus price target for CoStar Group, Inc. is $80.74. This target indicates nearly a 63% increase from the current price.

Does CSGP pay a dividend?

No, CoStar Group does not pay a dividend. Investors looking for income from dividends will need to consider alternative stocks.

What is the P/E ratio of CSGP?

CoStar Group has a P/E ratio of 826.08, which is extremely high and indicates the stock is overvalued relative to earnings. The forward P/E of 37.06 suggests expectations for improved earnings in the future.

What has been CSGP’s 52-week price range?

CSGP’s stock has traded between $48.76 and $97.43 over the past year. Currently sitting near the lower end of that range, it might represent a buying opportunity for investors.

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Disclaimer: This report is for informational purposes only and does not constitute financial advice. The analysis and opinions expressed are those of AltStation.io and should not be relied upon as the sole basis for investment decisions. Always conduct your own research and consult with a qualified financial advisor before making investment decisions. Past performance does not guarantee future results. Updated February 07, 2026.