CoStar Group, Inc. (CSGP) Stock Analysis — Fair Value, Risk & Moat Rating
NMS · Real Estate · Real Estate Services
Is CoStar Group, Inc. a safe investment right now?
CoStar Group, Inc.'s Altman Z-Score of 5.3 places it in the safe zone. Our fair value estimate is $21.60 (Overvalued). Moat rating: 2.6/5 stars.
Could CoStar Group, Inc. go bankrupt? Altman Z-Score analysis
Z-Score of 5.3 is above 3.0, indicating the company is financially healthy by this metric.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives CSGP's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.1303 | 1.2 | 0.16 |
| B · Retained Earnings / Total Assets | RE / TA | 0.223 | 1.4 | 0.31 |
| C · EBIT / Total Assets | EBIT / TA | -0.0068 | 3.3 | -0.02 |
| D · Market Cap / Total Liabilities | MCap / TL | 7.5827 | 0.6 | 4.55 |
| E · Revenue / Total Assets | Rev / TA | 0.3081 | 1.0 | 0.31 |
How has CSGP's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 7.86 | Safe |
| 2023 | 7.64 | Safe |
| 2024 | 7.01 | Safe |
| 2025 | 5.3 | Safe |
Source: Calculated from CSGP's latest 10-K filing on SEC EDGAR.
What is CoStar Group, Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $0.54 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $0.02 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $1.31 | 19 analysts consensus |
| Trailing P/E | 1938.5x | Current market pricing |
| Fair P/E (β discount) | 40.0x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $61.42 (19 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does CoStar Group, Inc. have a durable competitive advantage?
Moat rating: 2.6/5.
What makes up CSGP's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 2/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 3/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is CSGP's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 5.7% | — |
| 2023 | 3.4% | Declining |
| 2024 | 0.1% | Declining |
| 2025 | -0.8% | Stable |
Source: ROIC calculated from SEC EDGAR filings.
Is CoStar Group, Inc.'s dividend safe?
CoStar Group, Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $3.2B | $2.7B | $2.2B | Rising |
| Net Income | $0.0B | $0.1B | $0.4B | Declining |
| Free Cash Flow | $0.0B | −$0.2B | $0.4B | Declining |
| Gross Margin | 78.9% | 79.6% | 81.0% | Stable |
Recent events that affect our CSGP analysis
CSGP earnings report scheduled
Upcoming report. Consensus EPS estimate: $0.19. Revenue estimate: $893.5M. Our current Fair Value: $21.60 — a significant beat or miss could shift this estimate.
CSGP analyst consensus: 75% bullish (15 of 20 analysts)
4 Strong Buy, 11 Buy, 4 Hold, 1 Sell, 0 Strong Sell. Consensus target: $61.42 (58.4% upside). Compare with our independent Fair Value: $21.60.
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
CSGP beat EPS estimates by 13.8%
Reported EPS: $0.31 vs estimate $0.27. Earnings strength supports our Fair Value of $21.60 (44.3% below current price).
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
CSGP beat EPS estimates by 21.8%
Reported EPS: $0.23 vs estimate $0.19. Earnings strength supports our Fair Value of $21.60 (44.3% below current price).
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
CSGP beat EPS estimates by 128.5%
Reported EPS: $0.01 vs estimate $-0.04. Earnings strength supports our Fair Value of $21.60 (44.3% below current price).
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
CSGP beat EPS estimates by 43.9%
Reported EPS: $0.15 vs estimate $0.11. Earnings strength supports our Fair Value of $21.60 (44.3% below current price).
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
CSGP filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
CSGP beat EPS estimates by 15.6%
Reported EPS: $0.26 vs estimate $0.23. Earnings strength supports our Fair Value of $21.60 (44.3% below current price).
CSGP filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about CoStar Group, Inc.
What is CoStar Group, Inc. stock price today?
CoStar Group, Inc. (CSGP) stock price is $38.77 as of the latest market close, traded on the NASDAQ exchange.
What does CoStar Group, Inc. do?
CoStar Group, Inc. provides information, analytics, and online marketplace services to real estate and related business communities in the United States, Australia, Canada, Europe, the Asia Pacific, and Latin America. It offers CoStar Property that provides inventory of office, industrial, retail, multifamily, hospitality, and student housing, and land properties; CoStar Leasing, a data on lease transactions and tools to manage user-entered lease data; CoStar Sales, a database of commercial real estate sales transactions; CoStar Owners provides detailed portfolio information; CoStar Markets to view and report on market and submarket trends; and CoStar Tenant that provides tenant information.
What is CoStar Group, Inc. market cap?
CoStar Group, Inc. has a market capitalization of $16.43B, classifying it as a large-cap stock in the Real Estate sector.
What sector and industry is CSGP in?
CoStar Group, Inc. operates in the Real Estate sector, specifically within the Real Estate Services industry. It trades on the NASDAQ under the ticker symbol CSGP.
Is CSGP stock overvalued or undervalued?
Based on our valuation model, CoStar Group, Inc. trades 79.5% above our fair value estimate — potentially overvalued.
- FairValueLabs Fair Value: $21.60
- Current Price: $38.77
- Valuation Zone: Overvalued
What is CSGP stock forecast and analyst target price?
Based on 19 Wall Street analysts, the consensus price target for CoStar Group, Inc. is $61.42, implying upside of 58.4% from the current price.
- Analyst High Target: $100.00
- Analyst Low Target: $40.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is CoStar Group, Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for CoStar Group, Inc.:
- Revenue growth (current year est.): 17.2%
- EPS growth (current year est.): 50.8%
- Revenue growth (next year est.): 12.4%
- EPS growth (next year est.): 35.7%
What are CoStar Group, Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $3.2B | Rising |
| Net Income | $0.0B | Declining |
| Free Cash Flow | $0.0B | Declining |
| Gross Margin | 78.9% | Stable |
What is CSGP's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 1938.5x
- Forward P/E (next 12 months est.): 22.0x
- FairValueLabs Fair P/E: 40.0x
How volatile is CSGP stock?
CoStar Group, Inc. has a beta of 0.92, meaning it is roughly in line with overall market volatility. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does CoStar Group, Inc. have?
CoStar Group, Inc.'s balance sheet shows:
- Total Cash: $1.63B
- Total Debt: $1.14B
- Net Cash Position: $489.0M
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is CoStar Group, Inc.'s free cash flow?
CoStar Group, Inc. generated $143.8M in trailing twelve-month free cash flow (from $430.0M in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does CoStar Group, Inc. pay a dividend?
CoStar Group, Inc. does not currently pay a regular dividend to shareholders. The company may be reinvesting all profits back into growth, or it may have suspended its dividend.
Is CoStar Group, Inc. at risk of going bankrupt?
CoStar Group, Inc.'s Altman Z-Score is 5.30, placing it in the safe zone (above 3.0) — bankruptcy risk is low. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does CoStar Group, Inc. have a durable competitive advantage?
CoStar Group, Inc. scores 2.6/5 stars (Narrow moat · eroding) in our moat analysis:
- ROIC Stability: 2/5
- Gross Margin Trend: 3/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is CSGP's return on equity (ROE)?
CoStar Group, Inc.'s return on equity is 0.1%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy CSGP stock?
CSGP shares can be purchased through any brokerage account that provides access to the NASDAQ. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol CSGP
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is CSGP a value stock or speculative?
FairValueLabs classifies CoStar Group, Inc. as Pure Speculation. It lacks the financial stability or valuation margin typically required for value investing. This stock is considered high risk.
Who is the CEO of CoStar Group, Inc.?
The current CEO of CoStar Group, Inc. is Mr. Andrew C. Florance.
What is CSGP's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $0.02
- Forward EPS (next 12 months est.): $1.76
- Analyst consensus EPS (this year): $1.31
- Analyst consensus EPS (next year): $1.78
Other Real Estate companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
CSGP analysis methodology: How we calculate fair value, Z-Scores, and moat ratings