DA Davidson Cuts Zillow Group (NASDAQ:ZG) Price Target to $50.00

Zillow Group (NASDAQ:ZG) had its target price reduced by research analysts at DA Davidson from $60.00 to $50.00 in a report issued on Thursday,Benzinga reports. The brokerage currently has a “buy” rating on the technology company’s stock. DA Davidson’s price objective indicates a potential upside of 35.54% from the company’s previous close.

Several other equities research analysts also recently issued reports on ZG. Piper Sandler lowered their price objective on shares of Zillow Group from $70.00 to $55.00 and set an “overweight” rating on the stock in a research note on Thursday, May 7th. UBS Group decreased their price target on shares of Zillow Group from $75.00 to $50.00 and set a “buy” rating on the stock in a research report on Friday, July 31st. Weiss Ratings downgraded shares of Zillow Group from a “sell (d+)” rating to a “sell (d)” rating in a report on Friday, May 22nd. Wells Fargo & Company upped their price objective on shares of Zillow Group from $45.00 to $46.00 and gave the company an “equal weight” rating in a research report on Tuesday, July 7th. Finally, Mizuho cut their price objective on shares of Zillow Group from $65.00 to $53.00 and set a “neutral” rating for the company in a research report on Thursday, May 7th. Eleven investment analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $60.14.

Zillow Group Stock Down 0.4%

Shares of NASDAQ:ZG opened at $36.89 on Thursday. The business has a 50 day moving average price of $33.23 and a 200 day moving average price of $41.83. Zillow Group has a twelve month low of $29.03 and a twelve month high of $90.22. The company has a market cap of $8.44 billion, a price-to-earnings ratio of 147.56, a PEG ratio of 1.58 and a beta of 1.95.

Zillow Group (NASDAQ:ZG) last issued its quarterly earnings results on Wednesday, August 5th. The technology company reported $0.52 EPS for the quarter, topping the consensus estimate of $0.44 by $0.08. The company had revenue of $772.00 million for the quarter, compared to the consensus estimate of $758.25 million. Zillow Group had a return on equity of 1.41% and a net margin of 2.27%.The company’s revenue for the quarter was up 17.9% on a year-over-year basis. During the same period in the previous year, the business posted $0.40 EPS. Analysts anticipate that Zillow Group will post 0.9 EPS for the current year.

Insider Transactions at Zillow Group

In other Zillow Group news, insider Errol G. Samuelson sold 2,939 shares of the firm’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $37.97, for a total transaction of $111,593.83. Following the completion of the transaction, the insider owned 134,039 shares in the company, valued at $5,089,460.83. This trade represents a 2.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Jeremy Wacksman sold 9,072 shares of the company’s stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $36.54, for a total value of $331,490.88. Following the completion of the sale, the chief executive officer owned 153,699 shares in the company, valued at approximately $5,616,161.46. This represents a 5.57% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 42,910 shares of company stock valued at $1,605,732. Corporate insiders own 29.88% of the company’s stock.

Institutional Investors Weigh In On Zillow Group

Several institutional investors and hedge funds have recently made changes to their positions in ZG. Norges Bank acquired a new stake in shares of Zillow Group during the 4th quarter worth about $152,050,000. Independent Franchise Partners LLP grew its stake in Zillow Group by 1.1% during the fourth quarter. Independent Franchise Partners LLP now owns 2,024,556 shares of the technology company’s stock worth $138,135,000 after buying an additional 21,862 shares during the last quarter. M&T Bank Corp increased its holdings in shares of Zillow Group by 38,344.0% during the fourth quarter. M&T Bank Corp now owns 1,604,270 shares of the technology company’s stock worth $120,092,000 after buying an additional 1,600,097 shares in the last quarter. Tiger Global Management LLC raised its stake in shares of Zillow Group by 30.7% in the fourth quarter. Tiger Global Management LLC now owns 1,023,733 shares of the technology company’s stock valued at $69,849,000 after acquiring an additional 240,690 shares during the last quarter. Finally, UBS Group AG boosted its holdings in shares of Zillow Group by 44.5% in the 4th quarter. UBS Group AG now owns 1,018,448 shares of the technology company’s stock worth $69,489,000 after acquiring an additional 313,643 shares in the last quarter. Institutional investors and hedge funds own 20.32% of the company’s stock.

More Zillow Group News

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

• Positive Sentiment: Zillow reported second-quarter adjusted earnings of $0.52 per share, above the $0.44 analyst consensus, while revenue rose 17.9% year over year to $772 million, exceeding estimates of approximately $758 million. Zillow Group Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: KeyBanc maintained its Buy rating, signaling continued analyst support following the quarterly results. KeyBanc Maintains Buy Rating
• Neutral Sentiment: Zillow expanded Chief Financial Officer Jeremy Hofmann’s responsibilities to include chief operating officer and appointed Cassandra Knight as its first chief legal and policy officer. The changes are intended to support the company’s housing “super app” strategy but add to leadership-transition uncertainty. Zillow Strengthens Executive Leadership Team
• Negative Sentiment: Third-quarter revenue guidance of $745 million to $760 million fell below the $772.3 million consensus estimate. Full-year revenue guidance of $2.9 billion to $3.0 billion also only reached, rather than exceeded, the roughly $3.0 billion analyst forecast, raising concerns about slowing growth. Zillow Stock Sinks on Layoffs and Soft Guidance
• Negative Sentiment: Zillow recorded a $4 million net loss after $36 million in restructuring costs, contrasting with analysts’ expectation for approximately $21 million of net income. The company also eliminated more than 500 positions, or about 7% of its workforce, suggesting management is cutting costs amid operating challenges. Zillow Swings to Loss on Restructuring Costs
• Negative Sentiment: Several law firms reiterated notices about a securities-fraud class action and an August 10 lead-plaintiff deadline involving alleged anticompetitive agreements and regulatory risks. The legal announcements add reputational and potential financial-risk overhang, although they do not represent a final finding of wrongdoing. Zillow Securities Fraud Class Action Notice

About Zillow Group

Zillow Group (NASDAQ:ZG) is a U.S.-based online real estate marketplace that connects consumers, real estate professionals and mortgage lenders through a suite of digital products and advertising services. Founded in 2006 by Rich Barton and Lloyd Frink and headquartered in Seattle, Washington, the company operates a portfolio of consumer-facing brands and tools designed to simplify home search, rental discovery, valuation and mortgage shopping.

Zillow’s core products include its consumer websites and mobile apps that list homes for sale and rent, the Zestimate automated home value estimate, and marketplaces that connect buyers and renters with agents and lenders.