Costar Group Inc Stock Price, News & Analysis

CoStar Group's (NASDAQ: CSGP) subsidiaries Homes.com, Matterport, and VHT Studios have been recognized in T3 Sixty's 2025 Tech 200 list, which highlights the best technology products for real estate professionals. Homes.com, the second-largest residential real estate marketplace in the U.S., has achieved remarkable growth with 104 million average monthly unique visitors and increased consumer awareness from 4% to 36% in Q1 2025. The platform's Member agents are securing 61% more listings than non-members.

Matterport, acquired by CoStar in February 2025, is a global leader in 3D digital twin technology, operating in 177 countries. The acquisition aims to enhance property analytics through AI, computer vision, and machine learning, with 3D tours now integrated across CoStar's platforms including CoStar, LoopNet, Apartments.com, and Homes.com.

CoStar Group (NASDAQ: CSGP) CEO Andy Florance has been named to Commercial Observer's Power 100 list for the third consecutive year. The company demonstrated strong financial performance, reporting $2.74 billion in revenue for 2024, an 11% increase from 2023. In Q1 2025, CoStar achieved $732 million in revenue, up 12% year-over-year, marking its 56th consecutive quarter of double-digit growth.

Under Florance's leadership, Homes.com has become the second-largest residential real estate marketplace in the country. The company expanded through strategic acquisitions of Visual Lease and Matterport. Additionally, Apartments.com generated $282 million in revenue, up 11% year-over-year, adding 4,300 new properties in the quarter.

Homes.com, a CoStar Group company, reports that home price growth continued to slow for the fourth consecutive month in April 2025. The median home price increased by just 1.3% year-over-year to $385,000, up $5,000 from April 2024. This marks a significant deceleration from previous months' growth rates: 2.2% in March, 2.7% in February, and 3.9% in January.

The Northeast and Midwest markets led in price appreciation, while the number of major markets experiencing flat or declining prices increased from six to fifteen. These markets now include areas in Texas, North Carolina, California, Nashville, Phoenix, and parts of Ohio. Housing inventory has increased, which, combined with moderating prices, suggests improved conditions for homebuyers, particularly in Sun Belt metros.

CoStar Group (NASDAQ: CSGP) has entered a binding agreement to acquire Domain Holdings Australia Limited, a leading Australian property marketplace, in a deal valuing Domain at A$3.0 billion. CoStar will pay A$4.43 per share to acquire the remaining 83% stake, following its February 2025 purchase of a 17% stake at A$4.20 per share.

The total expected investment for the remaining shares is approximately A$2.3 billion ($1.5 billion). Domain's Board unanimously recommended shareholders vote in favor of the scheme, with Nine Entertainment Co. (60.1% shareholder) indicating support. The acquisition requires shareholder approval, Australian Government's Foreign Investment Review Board approval, and other conditions.

Domain reaches 6.6 million Australians monthly through its portfolio of property brands. The transaction is expected to close in Q3 2025, subject to conditions being met.

Homes.com, a CoStar Group company, has released a comprehensive report on the Washington D.C. housing market following the first 100 days of the Trump administration. The analysis reveals that the DMV (D.C.-Maryland-Virginia) region's housing market remains consistent with national trends.

Key findings include:

• Average time on market: 90 days in DMV, 95 days in D.C.
• Median home price in DMV: $595,000 (up from $575,000 last year)
• Over 400 luxury properties priced at $3M+ are currently available
• Current 30-year fixed mortgage rate: 6.83%

The luxury housing market shows strong momentum, with many buyers making cash purchases to avoid mortgage rates. While some agents report optimistic spring signs, others describe April as a "whiplash" due to fluctuating mortgage rates. The Homes.com Network reached 104 million average monthly unique visitors in Q1 2025, with brand awareness growing from 4% to 33% in one year.

CoStar Group reported Q1 2025 revenue of $732 million, up 12% year-over-year, marking its 56th quarter of double-digit growth. The company posted a net loss of $15 million ($0.04 per share), impacted by a $31 million charge from the Matterport acquisition.

Key highlights include:

• Apartments.com added 4,300 properties - highest quarterly addition since 2016
• Homes.com expanded to 370 sales representatives with 50%+ demo-to-close rate
• Commercial businesses showed strong performance: CoStar's net bookings up 68% and LoopNet up 200% year-over-year
• Adjusted EBITDA reached $66 million, a 429% increase from Q1 2024

Looking ahead, CoStar projects 2025 revenue between $3.115-$3.155 billion, representing 15% growth, with adjusted EBITDA forecast at $355-$385 million. The Matterport acquisition, completed in February 2025, is expected to enhance CoStar's digital real estate presentation capabilities.

Visual Lease, a CoStar Group (NASDAQ: CSGP) brand, has been named a Workday Innovation Partner. The partnership integrates Visual Lease's lease accounting and management platform with Workday Financial Management software to provide customers with a comprehensive view of their lease portfolios.

The integration features preconfigured solutions that enable bidirectional exchange of financial data, streamlined lease management, and support for FASB/IFRS and GASB 87/96 compliance standards. Following CoStar Group's recent acquisition of Visual Lease, this partnership aims to deliver real-time data across systems, enhance compliance, improve operational efficiencies, and reduce financial reporting risks while minimizing costs.

Homes.com's March 2025 housing market report reveals a continued slowdown in home price growth for the third consecutive month. The median home price increased 2.2% year-over-year to $380,000, compared to 2.7% in February and 3.6% in January.

Key findings include:

• Price appreciation has continued for 21 consecutive months, peaking at 5.6% in December
• The Northeast and Midwest markets showed the strongest price growth
• Cleveland led with over 10% price increase, followed by Chicago, New York, and Pittsburgh
• Four markets experienced price declines: Orlando, Jacksonville, San Francisco, and Tampa

The market shows signs of shifting from a seller's to a buyer's market, supported by increased housing inventory and slightly lower mortgage rates in March, which improve affordability and buyer leverage.

CoStar Group (NASDAQ: CSGP) has emerged victorious in a trade secrets lawsuit filed by Move Inc., operator of Realtor.com. The lawsuit, initiated in July 2024, accused CoStar and former Move employee James Kaminsky of trade secret misappropriation. Move initially claimed Kaminsky was hired to launch a news division using confidential information, but this was proven false as he was actually hired to write condominium descriptions for Homes.com.

The court denied Move's request for a preliminary injunction in September 2024, citing speculative allegations and lack of demonstrated harm. After CoStar's legal team threatened sanctions in March 2025, Move abruptly dismissed the case with prejudice. CoStar made no settlement payment, describing the lawsuit as a baseless PR stunt aimed at slowing down Homes.com's market progress.