Prepare for the upcoming financial spectacle as CoStar Group (CSGP) is getting ready to unveil its third-quarter 2024 earnings on Oct 22.
Anticipation is high as the company forecasts revenues between $692 million and $697 million, an 11% year-over-year growth at the midway point. Earnings are projected to land between 15 and 16 cents per share.
Market analysts have maintained a stable Zacks Consensus Estimate for third-quarter earnings at 16 cents per share in the past month, signifying a 46.67% decline from the corresponding period the previous year.
Curious to keep track of all quarterly unveilings? Visit the Zacks Earnings Calendar platform.
CoStar Group, Inc. Price and EPS Surprise
Craving for some visual insights? Feast your eyes on the CoStar Group, Inc. Price and EPS Surprise.
Market projections predict revenues of $696.45 million for the third quarter, indicating an 11.49% climb from the same quarter last year.
History has seen CoStar Group consistently outperforming the Zacks Consensus Estimate in the past four quarters, with an average positive surprise of 34.12%.
Let’s peel back the layers to uncover the build-up to the impending financial reveal.
Factors to Consider
CoStar Group’s third-quarter performance is poised to reap the rewards of its robust marketplace portfolio, encompassing Apartments.com, LoopNet, and Homes.com.
Apartments.com is likely to deliver a significant contribution to CoStar Group’s top-line growth owing to enhanced traffic and augmented advertising spend.
Homes.com witnessed a soaring trajectory with its unique visitors surging to 148 million in the second quarter of 2024, marking a staggering 197% annual growth. This surge is expected to uplift user engagement and revenue opportunities for CoStar Group this quarter.
The introduction of the Owner module by CoStar Group in the second quarter of 2024 aspires to further enrich user engagement. This module, offering real estate portfolio insights, is anticipated to attract a larger audience and enhance consumer interaction in the current quarter.
In a similar vein, the international segment’s strength and the promising outlook for real estate marketplaces are presumed to amplify LoopNet’s performance in the quarter under review.
CoStar Group’s growth trajectory has been fired by a series of acquisitions, with the OnTheMarket acquisition expected to fuel revenue growth in the UK residential market.
The STR product, a benchmarking tool for the hospitality industry, is likely to experience robust revenue growth in the current quarter.
CoStar Group’s intensified focus on its residential strategies, particularly Homes.com, is predicted to spur revenue growth in the third quarter.
However, despondent inflation and escalating interest rates have cast a shadow on consumer confidence, potentially dampening CoStar Group’s performance this quarter amidst a challenging macroeconomic backdrop.
Evaluating Our Model
As per the Zacks model, a positive Earnings ESP coupled with a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) elevates the prospects of an earnings triumph. However, the stars don’t align in this scenario.
CoStar Group boasts an Earnings ESP of 0.00% and currently flaunts a Zacks Rank #1. Unveil the right investment opportunities before the earnings release through our Earnings ESP Filter.
Promising Stock Picks
Browse through some potential investment gems, handpicked based on their auspicious likelihood to outshine earnings expectations:
Ready to hop on the investing rollercoaster? Reddit (RDDT) displays an Earnings ESP of +72.10% alongside a Zacks Rank #2. Consult the full list of Zacks #1 Rank stocks for today.
Plunging into the pool of prospects, Carrier Global (CARR) dazzles with an Earnings ESP of +1.18% and a current Zacks Rank #2.
For those eyeing a calculated plunge, Advanced Micro Devices (AMD) showcases an Earnings ESP of +0.22% alongside a Zacks Rank #3.
Expert Stock Selections
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