Founded in 1986, CoStar Group, Inc. (CSGP) has grown into one of the world's largest providers of commercial real estate data, analytics, online marketplaces, and digital property technology. The company focuses on helping businesses, investors, and property professionals make informed decisions through extensive real estate information, market insights, and technology-driven solutions. Its portfolio spans several well-known real estate platforms, including commercial property marketplace LoopNet, rental platform Apartments.com, residential real estate site Homes.com, and Australian property marketplace Domain.
The company also owns Matterport, hospitality analytics provider STR, commercial real estate auction platform Ten-X, and U.K. property portal OnTheMarket. With its digital platforms attracting more than 139 million average monthly unique visitors during the fourth quarter of 2025, CoStar has established a significant presence across the global real estate ecosystem.
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Headquartered in Arlington, the company continues to expand its reach through data-driven tools, marketplace platforms, and property technology solutions that support participants across the real estate industry. The company’s market capitalization sits at about $13.97 billion. Companies with market capitalizations above $10 billion are typically classified as large-cap stocks, and CoStar comfortably fits that category.
Yet despite its dominant position in the real estate data and marketplace industry, shareholders have had little to celebrate lately. The stock has been under intense pressure, tumbling roughly 65% from its 52-week high of $97.43 reached last August. The recent selloff has been particularly severe, with shares plunging 26.1% over the past three months, sharply underperforming the State Street Real Estate Select Sector SPDR ETF (XLRE), which gained 4.8% during the same period.
www.barchart.com The longer-term performance paints an equally challenging picture. CoStar shares have fallen 49.1% year-to-date, while XLRE has advanced 11.5%. Over the past 12 months, the stock has shed 57.8% of its value, dramatically lagging the ETF's 6.5% return and highlighting the widening gap between CoStar and the broader real estate sector.
Moreover, CoStar's technical picture also remains weak, with the stock trading below both its 50-day and 200-day moving averages since early October last year, reflecting sustained bearish momentum.
www.barchart.com While the stock's performance has left investors frustrated, CoStar's underlying business continues to show notable strength. The company delivered an impressive first-quarter 2026 earnings report on Apr. 28, with revenue surging 23% year over year to $897 million from $732 million in the prior-year quarter.
Profitability also improved significantly. Adjusted earnings came in at $0.23 per share, comfortably ahead of Wall Street's consensus estimate of $0.18 and up 53% from the adjusted figure reported a year earlier. Meanwhile, net income swung to a profit of $3 million, marking a sharp turnaround from the $15 million net loss recorded in the first quarter of 2025.
CoStar's operating performance was equally encouraging. Adjusted EBITDA more than doubled to $132 million, exceeding the midpoint of the company's own guidance by 26%. The strong results were fueled by solid business momentum, with annualized net new bookings rising 20% year over year to $67 million, reflecting continued demand across the company's real estate information and marketplace platforms.
Still, CSGP’s underperformance becomes even more apparent when compared to rival CBRE Group, Inc. (CBRE). While CoStar's shares have been hammered over the past year, CBRE has largely held its ground, delivering a slight positive return during the same period. Year-to-date, CBRE is down 16.6%, but that decline is far less severe than the rout experienced by CoStar investors.
Despite the stock's prolonged slump, Wall Street hasn't completely given up on CSGP. In fact, analysts remain broadly optimistic about its long-term prospects, with the stock currently carrying a consensus "Moderate Buy" rating. Among the 20 analysts covering CSGP, the average price target stands at $48.33, implying a potential upside of 41.2% from current levels.
On the date of publication, Anushka Mukherjee did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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