CoStar Group Sees Unusually Large Options Volume (NASDAQ:CSGP)

CoStar Group, Inc. (NASDAQ:CSGP) was the recipient of unusually large options trading on Friday. Investors purchased 43,731 call options on the stock. This represents an increase of 1,721% compared to the typical volume of 2,401 call options.

CoStar Group Trading Up 3.2%

Shares of CSGP stock traded up $2.06 on Friday, hitting $65.44. 1,824,753 shares of the stock traded hands, compared to its average volume of 7,144,583. The company has a debt-to-equity ratio of 0.12, a quick ratio of 3.12 and a current ratio of 3.12. CoStar Group has a twelve month low of $57.01 and a twelve month high of $97.43. The firm’s 50-day moving average price is $66.34 and its two-hundred day moving average price is $78.28. The stock has a market capitalization of $27.73 billion, a PE ratio of 1,309.14, a PEG ratio of 1.63 and a beta of 0.84.

CoStar Group (NASDAQ:CSGP) last issued its quarterly earnings data on Tuesday, October 28th. The technology company reported $0.23 earnings per share for the quarter, topping the consensus estimate of $0.19 by $0.04. The company had revenue of $833.60 million during the quarter, compared to analyst estimates of $823.62 million. CoStar Group had a return on equity of 2.45% and a net margin of 0.66%.The firm’s revenue for the quarter was up 20.4% compared to the same quarter last year. During the same period in the prior year, the business posted $0.22 earnings per share. CoStar Group has set its Q4 2025 guidance at 0.260-0.280 EPS and its FY 2025 guidance at 0.820-0.840 EPS. As a group, analysts anticipate that CoStar Group will post 0.94 EPS for the current year.

CoStar Group declared that its Board of Directors has approved a stock repurchase program on Wednesday, January 7th that authorizes the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization authorizes the technology company to repurchase up to 5.3% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s board believes its stock is undervalued.

Analyst Ratings Changes

A number of brokerages have issued reports on CSGP. BNP Paribas Exane initiated coverage on CoStar Group in a report on Wednesday. They issued a “neutral” rating and a $64.00 price target for the company. Wells Fargo & Company restated an “underweight” rating and set a $55.00 target price (down from $60.00) on shares of CoStar Group in a research report on Thursday, January 8th. Raymond James Financial set a $74.00 price target on CoStar Group in a research note on Wednesday, January 7th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of CoStar Group in a research note on Monday, December 29th. Finally, Jefferies Financial Group raised shares of CoStar Group to a “hold” rating in a report on Wednesday, October 29th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, seven have assigned a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $82.50.

Institutional Trading of CoStar Group

Several institutional investors have recently added to or reduced their stakes in the stock. Quent Capital LLC acquired a new position in CoStar Group during the 3rd quarter worth about $26,000. Rossby Financial LCC raised its holdings in CoStar Group by 315.9% in the second quarter. Rossby Financial LCC now owns 341 shares of the technology company’s stock valued at $27,000 after acquiring an additional 259 shares in the last quarter. Manning & Napier Advisors LLC acquired a new position in shares of CoStar Group during the third quarter worth $28,000. Westside Investment Management Inc. increased its holdings in shares of CoStar Group by 100.0% in the 3rd quarter. Westside Investment Management Inc. now owns 360 shares of the technology company’s stock valued at $30,000 after acquiring an additional 180 shares during the last quarter. Finally, Root Financial Partners LLC acquired a new position in shares of CoStar Group in the 3rd quarter valued at $31,000. Institutional investors and hedge funds own 96.60% of the company’s stock.

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.