Costar Group Inc Stock Price, News & Analysis

CoStar Group (NASDAQ: CSGP) reported strong Q2 2025 results with revenue reaching $781 million, up 15% year-over-year. The company achieved record-breaking quarterly net new bookings of $93 million, a 65% increase from Q1. Key highlights include a 56% increase in Homes.com Members from Q1 2025, with agents demonstrating 62% higher listing success rates compared to non-members.

Financial performance showed net income of $6.2 million ($0.01 per diluted share) and adjusted EBITDA of $85 million, up 108% from Q2 2024. The company's commercial information and marketplace brands achieved a 43% profit margin. The Homes.com Network emerged as the second-largest in the U.S. with 111 million average monthly unique visitors.

CoStar raised its 2025 guidance, now expecting full-year revenue between $3.135-$3.155 billion (15% YoY growth) and adjusted EBITDA of $370-$390 million.

Homes.com, a CoStar Group (NYSE:CSGP) company, released its June housing market report showing muted price growth nationwide. The national median home price increased by just 1.3% year-over-year to $395,000, representing a modest $5,000 increase from June 2024.

The report highlights that townhomes and condos experienced price declines compared to last year. The Midwest and Northeast regions showed the strongest price appreciation, with 5 of the top 10 performing metros located in the Midwest. Notably, about 25% of the 40 largest metros saw year-over-year price declines, particularly in Sun Belt markets facing high inventory and weak demand.

The moderate price growth is attributed to increased housing inventory and persistent affordability challenges, with elevated mortgage rates continuing to impact buyer demand.

CoStar Group (NASDAQ:CSGP) released its Q2 2025 multifamily rent growth report showing national year-over-year asking rent growth of 0.9%, down from 1.2% in Q1. The national average rent reached $1,773 per unit, with a quarter-over-quarter increase of 0.6%.

The vacancy rate remained stable at 8.2% for three consecutive quarters. Q2 recorded 151,440 units of absorption, up 21% from Q1 but down 9% year-over-year. New supply additions totaled 175,655 units, exceeding absorption. Among top markets, San Francisco led with 5.1% rent growth, while Austin saw the largest decline at -4.3%.

The luxury segment showed weaker performance with 0.5% rent growth and 11.5% vacancy, while mid-priced properties performed better with 1.1% rent growth and 7.5% vacancy. The market is projected to add 485,000 new units in 2025, 30% fewer than 2024.

CoStar Group (NASDAQ: CSGP), a leader in commercial real estate information and analytics, has appointed Alexa-Maria Rathbone Barker as Head of CoStar Europe. This strategic appointment aims to strengthen the company's European presence, with planned expansions into France, Spain, and Germany.

Rathbone Barker, who previously served as Head of European Sales at CoStar and held senior leadership positions at Bloomberg, brings multilingual capabilities and extensive industry expertise. In her expanded role, she will oversee UK operations while spearheading European expansion initiatives, focusing on deepening relationships with key commercial real estate players and fostering client growth through partnerships.

CoStar Group (NASDAQ: CSGP), a leading provider of real estate marketplaces and analytics, has scheduled its second quarter 2025 financial results announcement for Tuesday, July 22, 2025 after market close. The company will host a conference call at 5:00 PM EDT the same day to discuss the results and outlook.

The company's websites, which include prominent brands such as CoStar, LoopNet, Apartments.com, and Homes.com, attracted over 130 million average monthly unique visitors in Q1 2025. Founded in 1986, CoStar Group operates globally, offering services including commercial real estate data, analytics, and 3D digital twin technology through its subsidiary Matterport.

CoStar Group (NASDAQ:CSGP) has secured a significant legal victory as a federal court in Los Angeles found that rival CREXi deliberately infringed on thousands of CoStar's copyrighted photographs. The court determined that CREXi implemented a systematic "copy and crop" policy, using offshore teams in India to harvest images from CoStar's LoopNet platform and remove CoStar watermarks.

The court made several key findings against CREXi, including that it cannot claim Digital Millennium Copyright Act safe harbor protection for the copied images. The case will proceed to trial to determine the value of CoStar's images and assess damages. The ruling validates CoStar's 2020 lawsuit against CREXi for industrial-scale copyright infringement.

Homes.com's latest report reveals a continued slowdown in home price growth, with May marking the fifth consecutive month of deceleration. The median home price increased by just 1.0% year-over-year to $388,829, down from previous months' growth rates of 1.3% in April, 2.2% in March, 2.7% in February, and 3.9% in January. This represents a significant cooling from the peak 5.6% growth rate in late 2024. Housing inventory saw a substantial 17.2% increase compared to May 2024, reaching levels not seen since October 2019. While the Northeast and parts of the Midwest continue to show the highest price appreciation, growth rates in top markets have moderated from 10.5-10.8% in April to 7.4-7.6% in May. Markets showing negative or flat price growth now include regions in Texas, Florida, California, as well as Denver and Atlanta.

CoStar Group (NASDAQ: CSGP) and Happening Technology have amicably resolved their trade secret dispute, with all parties withdrawing their claims with prejudice. The dispute arose from concerns over similarities between Happening Technology's data pipeline product and CoStar's internal technology. The companies confirmed that Happening Technology and its founders - Guy Wolcott, Thomas Goff, Jeff Repanich, and investor John Mazur - did not misappropriate CoStar's trade secrets or violate any legal obligations. Notably, Wolcott previously founded Homesnap, a residential real estate platform with over 300,000 active agents, which CoStar acquired in 2020 for $250 million. Both companies have expressed openness to future collaboration opportunities.

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.