Zillow Group (NASDAQ:ZG) Issues Earnings Results, Beats Expectations By $0.10 EPS

Zillow Group (NASDAQ:ZG) announced its quarterly earnings data on Wednesday. The technology company reported $0.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.43 by $0.10, Briefing.com reports. Zillow Group had a return on equity of 1.37% and a net margin of 2.27%.The business had revenue of $708.00 million for the quarter, compared to analysts’ expectations of $705.17 million. During the same period in the previous year, the business posted $0.41 EPS. The firm’s quarterly revenue was up 18.4% compared to the same quarter last year.

Zillow Group Stock Performance

ZG traded down $2.10 during midday trading on Friday, hitting $41.94. The stock had a trading volume of 1,602,768 shares, compared to its average volume of 1,101,313. The company has a market cap of $10.06 billion, a P/E ratio of 167.76, a price-to-earnings-growth ratio of 2.20 and a beta of 2.04. The business has a fifty day moving average of $43.69 and a 200 day moving average of $57.86. Zillow Group has a 1 year low of $39.14 and a 1 year high of $90.22.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on ZG. Canaccord Genuity Group decreased their price target on Zillow Group from $72.00 to $52.00 and set a “hold” rating on the stock in a research report on Thursday. Robert W. Baird cut their price objective on Zillow Group from $67.00 to $55.00 and set a “neutral” rating for the company in a report on Wednesday, March 18th. DA Davidson set a $75.00 price objective on Zillow Group in a report on Thursday, February 12th. Benchmark reissued a “buy” rating on shares of Zillow Group in a report on Wednesday, February 11th. Finally, Sanford C. Bernstein cut their price objective on Zillow Group from $105.00 to $95.00 and set an “outperform” rating for the company in a report on Monday, January 12th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $71.71.

Insiders Place Their Bets

In other Zillow Group news, General Counsel Bradley D. Owens sold 2,602 shares of the company’s stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $44.42, for a total value of $115,580.84. Following the completion of the sale, the general counsel owned 33,355 shares of the company’s stock, valued at $1,481,629.10. This represents a 7.24% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CTO David A. Beitel sold 3,966 shares of the company’s stock in a transaction that occurred on Thursday, February 12th. The stock was sold at an average price of $44.22, for a total value of $175,376.52. Following the completion of the sale, the chief technology officer directly owned 136,690 shares of the company’s stock, valued at approximately $6,044,431.80. This represents a 2.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 60,801 shares of company stock valued at $2,683,986 over the last 90 days. Company insiders own 29.88% of the company’s stock.

Institutional Trading of Zillow Group

A number of institutional investors have recently made changes to their positions in ZG. Tiger Global Management LLC boosted its stake in shares of Zillow Group by 30.7% during 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 purchasing an additional 240,690 shares during the period. Virtu Financial LLC boosted its stake in shares of Zillow Group by 271.9% during the third quarter. Virtu Financial LLC now owns 293,718 shares of the technology company’s stock valued at $21,864,000 after purchasing an additional 214,743 shares during the period. Wellington Management Group LLP boosted its stake in shares of Zillow Group by 60.1% during the third quarter. Wellington Management Group LLP now owns 557,735 shares of the technology company’s stock valued at $41,518,000 after purchasing an additional 209,312 shares during the period. Voloridge Investment Management LLC purchased a new stake in shares of Zillow Group during the fourth quarter valued at approximately $11,652,000. Finally, Millennium Management LLC boosted its stake in shares of Zillow Group by 110.8% during the first quarter. Millennium Management LLC now owns 290,999 shares of the technology company’s stock valued at $19,456,000 after purchasing an additional 152,955 shares during the period. Hedge funds and other institutional investors 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 beat Q1 estimates, reporting EPS of $0.53 versus $0.43 expected and revenue of $708 million versus $705.17 million, with revenue up 18.4% year over year. Mortgage originations surged 96% and rental revenue climbed 42%, supporting the growth story. Zillow Group (ZG) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: The company also issued Q2 revenue guidance of $750 million to $765 million, which brackets Wall Street expectations and signals continued growth.
• Neutral Sentiment: Several analysts lowered price targets after the earnings release, including Wells Fargo, KeyCorp, Piper Sandler and Mizuho, reflecting a more tempered outlook even as some firms maintained constructive ratings. Analyst target revisions
• Neutral Sentiment: A Rosen Law Firm securities class action investigation notice added another headline for investors, but it does not by itself prove wrongdoing. Rosen Law Firm investigation notice
• Negative Sentiment: WSJ reporting that first-quarter traffic fell 3% to 220 million average monthly unique users may be pressuring sentiment because it suggests softer audience engagement despite stronger profitability. Zillow Posts Higher Profit, Lower Traffic in First Quarter

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.