CoStar Group (NASDAQ:CSGP) Cut to “Market Perform” at Keefe, Bruyette & Woods

Keefe, Bruyette & Woods downgraded shares of CoStar Group (NASDAQ:CSGP) from an outperform rating to a market perform rating in a report issued on Wednesday, Marketbeat.com reports. The firm currently has $29.00 price target on the technology company’s stock, down from their prior price target of $41.00.

A number of other equities research analysts have also issued reports on the company. JPMorgan Chase & Co. decreased their price target on CoStar Group from $82.00 to $70.00 and set an “overweight” rating for the company in a research note on Wednesday, April 29th. Bank of America cut their price objective on CoStar Group from $42.00 to $37.00 and set a “neutral” rating on the stock in a research report on Tuesday, May 19th. Robert W. Baird set a $34.00 target price on CoStar Group and gave the stock a “neutral” rating in a research note on Tuesday, July 14th. Deutsche Bank Aktiengesellschaft set a $44.00 target price on CoStar Group in a research note on Thursday, April 30th. Finally, Citizens Jmp decreased their target price on CoStar Group from $73.00 to $44.00 and set a “market outperform” rating for the company in a research report on Wednesday, April 29th. Nine investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, CoStar Group currently has a consensus rating of “Hold” and a consensus price target of $41.61.

CoStar Group Stock Performance

CoStar Group stock opened at $28.76 on Wednesday. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.21 and a quick ratio of 2.20. CoStar Group has a 1-year low of $25.89 and a 1-year high of $97.43. The firm has a market capitalization of $11.65 billion, a P/E ratio of 151.38, a price-to-earnings-growth ratio of 0.77 and a beta of 0.74. The company’s 50-day moving average is $30.55 and its 200 day moving average is $40.14.

CoStar Group (NASDAQ:CSGP) last announced its quarterly earnings data on Tuesday, July 28th. The technology company reported $0.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.03. CoStar Group had a net margin of 2.08% and a return on equity of 3.74%. The business had revenue of $925.00 million during the quarter, compared to the consensus estimate of $928.81 million. During the same quarter last year, the firm earned $0.17 earnings per share. The firm’s quarterly revenue was up 18.4% compared to the same quarter last year. 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. Research analysts forecast that CoStar Group will post 1.06 EPS for the current year.

Institutional Investors Weigh In On CoStar Group

Several hedge funds have recently made changes to their positions in the company. Bamco Inc. NY grew its position in shares of CoStar Group by 1.3% during the 4th quarter. Bamco Inc. NY now owns 19,498,099 shares of the technology company’s stock worth $1,311,052,000 after buying an additional 242,533 shares in the last quarter. State Street Corp raised its holdings in shares of CoStar Group by 1.9% in the fourth quarter. State Street Corp now owns 18,632,352 shares of the technology company’s stock valued at $1,252,839,000 after acquiring an additional 348,224 shares in the last quarter. Principal Financial Group Inc. raised its holdings in shares of CoStar Group by 0.7% in the first quarter. Principal Financial Group Inc. now owns 17,696,192 shares of the technology company’s stock valued at $713,866,000 after acquiring an additional 130,118 shares in the last quarter. Baillie Gifford & Co. raised its holdings in shares of CoStar Group by 56.9% in the fourth quarter. Baillie Gifford & Co. now owns 12,933,185 shares of the technology company’s stock valued at $869,627,000 after acquiring an additional 4,691,543 shares in the last quarter. Finally, Capital International Investors lifted its stake in CoStar Group by 59.7% in the fourth quarter. Capital International Investors now owns 10,842,010 shares of the technology company’s stock worth $729,020,000 after acquiring an additional 4,053,456 shares during the period. 96.60% of the stock is currently owned by hedge funds and other institutional investors.

Key CoStar Group News

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

• Positive Sentiment: CoStar’s second-quarter revenue increased 18.4% year over year, while adjusted earnings of $0.32 per share exceeded the $0.29 consensus estimate. The company also highlighted record revenue growth and maintained third-quarter and full-year 2026 earnings guidance. CoStar Group Q2 2026 Earnings Call Highlights
• Positive Sentiment: Zacks identified CoStar as a potentially attractive long-term growth stock, suggesting its growth profile and Style Scores remain supportive despite recent momentum concerns. Why CoStar Group Is a Top Growth Stock for the Long-Term
• Neutral Sentiment: CoStar data showed UK regional office construction starts fell below 5 million square feet in the second quarter, a 20-year low, while London dominated development. The report reinforces CoStar’s value as a real estate data provider, but weak office construction reflects challenging conditions for parts of the property market. CoStar Data Shows London Dominates UK Office Development
• Negative Sentiment: William Blair, Keefe, Bruyette & Woods and other analysts lowered their ratings, while JPMorgan cut its price target to $52, Citizens JMP reduced its target to $35, and BTIG issued a pessimistic forecast. The changes signal diminishing confidence in the near-term upside. Analyst Rating and Price Target Updates
• Negative Sentiment: Investor concerns include slower momentum, uncertainty around future earnings growth, soft guidance and the departure of Chief Financial Officer Scott Wheeler. CoStar’s quarterly revenue also came in slightly below consensus, and its high price-to-earnings ratio leaves the stock sensitive to any further slowdown. CoStar Group Near-Term Earnings Growth Uncertainty

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.