Needham & Company LLC Issues Pessimistic Forecast for CoStar Group (NASDAQ:CSGP) Stock Price

CoStar Group (NASDAQ:CSGP) had its target price dropped by Needham & Company LLC from $80.00 to $60.00 in a report released on Wednesday,Benzinga reports. The brokerage presently has a “buy” rating on the technology company’s stock. Needham & Company LLC’s price target points to a potential upside of 33.33% from the company’s previous close.

A number of other analysts have also weighed in on CSGP. Citigroup restated a “market outperform” rating on shares of CoStar Group in a research note on Thursday, January 8th. The Goldman Sachs Group reiterated a “buy” rating and set a $84.00 price target on shares of CoStar Group in a report on Wednesday, January 14th. Bank of America set a $74.00 price objective on shares of CoStar Group in a report on Wednesday, January 7th. BMO Capital Markets decreased their price objective on shares of CoStar Group from $77.00 to $72.00 and set a “market perform” rating for the company in a research report on Thursday, January 8th. Finally, BNP Paribas Exane initiated coverage on CoStar Group in a report on Wednesday, January 14th. They issued a “neutral” rating and a $64.00 target price on the stock. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, four have given a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $73.35.

CoStar Group Trading Up 0.5%

Shares of CSGP stock opened at $45.00 on Wednesday. CoStar Group has a fifty-two week low of $43.17 and a fifty-two week high of $97.43. The company has a 50 day moving average price of $58.83 and a 200 day moving average price of $71.26. The stock has a market capitalization of $19.07 billion, a P/E ratio of 4,504.50, a price-to-earnings-growth ratio of 1.18 and a beta of 0.84. The company has a debt-to-equity ratio of 0.12, a quick ratio of 3.12 and a current ratio of 2.84.

CoStar Group (NASDAQ:CSGP) last released its earnings results on Tuesday, February 24th. The technology company reported $0.31 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.27 by $0.04. The company had revenue of $900.00 million for the quarter, compared to analyst estimates of $892.22 million. CoStar Group had a net margin of 0.23% and a return on equity of 2.53%. The firm’s quarterly revenue was up 26.9% on a year-over-year basis. During the same period in the prior year, the business earned $0.26 EPS. CoStar Group has set its Q1 2026 guidance at 0.160-0.190 EPS. Equities research analysts predict that CoStar Group will post 0.94 EPS for the current fiscal year.

CoStar Group announced that its board has authorized a stock buyback plan on Wednesday, January 7th that permits the company to repurchase $1.50 billion in shares. This repurchase authorization permits the technology company to repurchase up to 5.3% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s board believes its shares are undervalued.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in CSGP. Norges Bank acquired a new stake in shares of CoStar Group in the fourth quarter valued at approximately $476,765,000. Baillie Gifford & Co. raised its position in CoStar Group by 56.9% in the 4th quarter. Baillie Gifford & Co. now owns 12,933,185 shares of the technology company’s stock valued at $869,627,000 after purchasing an additional 4,691,543 shares during the last quarter. Capital International Investors boosted its stake in CoStar Group by 59.7% during the 4th quarter. Capital International Investors now owns 10,842,010 shares of the technology company’s stock worth $729,020,000 after purchasing an additional 4,053,456 shares during the period. Viking Global Investors LP acquired a new stake in CoStar Group during the 2nd quarter worth $258,773,000. Finally, Goldman Sachs Group Inc. grew its position in CoStar Group by 70.9% during the 4th quarter. Goldman Sachs Group Inc. now owns 3,751,312 shares of the technology company’s stock worth $252,238,000 after purchasing an additional 1,556,100 shares during the last quarter. Institutional investors and hedge funds own 96.60% of the company’s stock.

More CoStar Group News

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

• Positive Sentiment: Q4 results and commentary: CoStar reported Q4 EPS of $0.31 (above the $0.27 consensus) and revenue of $900M (above estimates), with revenue up ~27% year‑over‑year and management highlighting strong bookings and digitization progress. This beat helped justify upside expectations for growth. Read More.
• Positive Sentiment: FY‑2026 guidance raised on headline figures: CoStar published FY‑2026 EPS guidance of $1.220–$1.330 and revenue guidance around $3.8B — both cited as above consensus in one release — which supports a constructive longer‑term revenue/margin trajectory if achieved. (Guidance entry provided by company filings/press materials.)
• Positive Sentiment: Data product traction: CoStar research showed meaningful market activity (e.g., London office yield compression in 2025), reinforcing the value of CoStar’s data/analytics franchises and monetization opportunities. Read More.
• Neutral Sentiment: Industry signals: Apartments.com released February rent data showing modest U.S. rent growth — useful macro context for CofStar’s marketplaces but not a direct catalyst. Read More.
• Neutral Sentiment: Short‑interest item looks unreliable: recent short‑interest lines in the feed show zero or NaN values and don’t present a clear short‑squeeze thesis at this time.
• Negative Sentiment: Analyst revisions and target cuts: Multiple firms trimmed price targets after the print (examples include BMO to $53 (market perform), RBC to $57 (sector perform), Wells Fargo to $44 (underweight), Needham to $60 (buy) and Goldman cut its target to $73 while keeping a buy). The wave of cuts and mixed ratings is pressuring sentiment despite the beat. Read More.
• Negative Sentiment: Shares dipped in some coverage despite the beat: several outlets noted the stock fell after the report even with double‑digit growth and a generally upbeat narrative, suggesting the market may be focused on margin/guidance nuance or valuation concerns. Read More.

About CoStar Group

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.