NasdaqGS:CSGP

Stock Analysis Report

Executive Summary

CoStar Group, Inc. provides information, analytics, and online marketplaces to the commercial real estate industry in the United States and the United Kingdom.

Snowflake

Fundamentals

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has CoStar Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

NasdaqGS:CSGP

2.9%

US Professional Services

2.9%

US Market


1 Year Return

41.8%

NasdaqGS:CSGP

8.8%

US Professional Services

0.2%

US Market

CSGP outperformed the Professional Services industry which returned 8.8% over the past year.

CSGP outperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

CSGPIndustryMarket
7 Day0.7%2.9%2.9%
30 Day6.1%0.5%-2.3%
90 Day19.8%11.2%3.1%
1 Year41.8%41.8%9.9%8.8%2.4%0.2%
3 Year198.0%198.0%51.0%45.8%41.7%32.4%
5 Year332.5%332.5%74.9%65.4%55.1%37.9%

Price Volatility Vs. Market

How volatile is CoStar Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is CoStar Group undervalued based on future cash flows and its price relative to the stock market?

76.72x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

CoStar Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

CoStar Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

CoStar Group is overvalued based on earnings compared to the US Professional Services industry average.

CoStar Group is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

CoStar Group is poor value based on expected growth next year.


Price Based on Value of Assets

CoStar Group is overvalued based on assets compared to the US Professional Services industry average.


Next Steps

Future Growth

How is CoStar Group expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

CoStar Group's revenue is expected to grow by 14.3% yearly, however this is not considered high growth (20% yearly).

CoStar Group's earnings are expected to grow by 18.5% yearly, however this is not considered high growth (20% yearly).

CoStar Group's revenue growth is expected to exceed the United States of America market average.

CoStar Group's earnings growth is expected to exceed the United States of America market average.

CoStar Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

CoStar Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has CoStar Group performed over the past 5 years?

50.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

CoStar Group has delivered over 20% year on year earnings growth in the past 5 years.

CoStar Group's 1-year earnings growth exceeds its 5-year average (66.6% vs 50.5%)

CoStar Group's earnings growth has exceeded the US Professional Services industry average in the past year (66.6% vs 34.4%).


Return on Equity

CoStar Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

CoStar Group used its assets more efficiently than the US Professional Services industry average last year based on Return on Assets.


Return on Capital Employed

CoStar Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is CoStar Group's financial position?


Financial Position Analysis

CoStar Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

CoStar Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

CoStar Group has no debt.

CoStar Group has no debt compared to 5 years ago when it was 26.8%.

CoStar Group has no debt, it does not need to be covered by operating cash flow.

CoStar Group has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

CoStar Group has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is CoStar Group's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate CoStar Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate CoStar Group's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as CoStar Group has not reported any payouts.

Unable to verify if CoStar Group's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as CoStar Group has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of CoStar Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of CoStar Group's salary, the management and board of directors tenure and is there insider trading?

5.2yrs

Average management tenure


CEO

Andy Florance (55yo)

24.6yrs

Tenure

US$14,640,477

Compensation

Mr. Andrew C. Florance founded CoStar Group, Inc. in 1987. Mr. Florance serves as the Chief Executive Officer, President and Director at CoStar Group, Inc. He is a frequent speaker on commercial real estat ...


CEO Compensation Analysis

Andy's remuneration is higher than average for companies of similar size in United States of America.

Andy's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

5.2yrs

Average Tenure

54yo

Average Age

The average tenure for the CoStar Group management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

11.2yrs

Average Tenure

61yo

Average Age

The average tenure for the CoStar Group board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

CoStar Group individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$998,93701 Aug 19
Matthew F. Linnington
EntityIndividual
Role
Head of Sales
Executive Vice President of Sales
Shares1,618
Max PriceUS$617.39
SellUS$1,405,67430 Jul 19
Scott Wheeler
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,233
Max PriceUS$629.50
SellUS$15,219,37430 Jul 19
Andrew Florance
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares24,210
Max PriceUS$628.64
SellUS$174,26725 Jun 19
John Hill
EntityIndividual
Role
Member of the Board of Directors
Director
Shares315
Max PriceUS$553.23
SellUS$717,66204 Mar 19
Lisa Ruggles
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Portfolio Research
Shares1,538
Max PriceUS$466.62
SellUS$1,997,54204 Mar 19
Matthew F. Linnington
EntityIndividual
Role
Head of Sales
Executive Vice President of Sales
Shares4,185
Max PriceUS$477.31
SellUS$2,569,09004 Mar 19
Scott Wheeler
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares5,396
Max PriceUS$476.11
SellUS$344,77728 Dec 18
John Hill
EntityIndividual
Role
Member of the Board of Directors
Director
Shares1,042
Max PriceUS$330.88
SellUS$199,66230 Oct 18
Christopher Nassetta
EntityIndividual
Role
Member of the Board of Directors
Director
Shares571
Max PriceUS$349.67

Ownership Breakdown


Management Team

  • Michael Klein (77yo)

    Chairman of the Board

    • Tenure: 32.6yrs
    • Compensation: US$316.21k
  • Andy Florance (55yo)

    Co-Founder

    • Tenure: 24.6yrs
    • Compensation: US$14.64m
  • Rich Simonelli

    Vice President of Investor Relations & Public Relations

    • Tenure: 0.0yrs
  • Frank Simuro (52yo)

    Chief Technology Officer

    • Tenure: 4.4yrs
  • Jonathan Coleman (54yo)

    General Counsel & Secretary

    • Tenure: 14.1yrs
  • Tim Trainor

    Communications Director

    • Tenure: 0.0yrs
  • Max Linnington (50yo)

    Executive Vice President of Sales

    • Tenure: 5.2yrs
    • Compensation: US$3.19m
  • Lisa Ruggles (52yo)

    Senior Vice President of Portfolio Research

    • Tenure: 0.0yrs
    • Compensation: US$3.61m
  • Scott Wheeler (55yo)

    Chief Financial Officer

    • Tenure: 3.6yrs
    • Compensation: US$5.32m
  • Martin Johnson

    Vice President of Corporate Development & Partnerships

    • Tenure: 0.6yrs

Board Members

  • Chris Nassetta (56yo)

    Director

    • Tenure: 17.2yrs
    • Compensation: US$248.31k
  • Michael Klein (77yo)

    Chairman of the Board

    • Tenure: 32.6yrs
    • Compensation: US$316.21k
  • Andy Florance (55yo)

    Co-Founder

    • Tenure: 24.6yrs
    • Compensation: US$14.64m
  • John Hill (65yo)

    Director

    • Tenure: 6.9yrs
    • Compensation: US$255.03k
  • Michael Glosserman (73yo)

    Director

    • Tenure: 11.2yrs
    • Compensation: US$246.21k
  • David Steinberg (61yo)

    Director

    • Tenure: 8.2yrs
    • Compensation: US$240.33k
  • Laura Kaplan (49yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$231.09k

Company Information

CoStar Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CoStar Group, Inc.
  • Ticker: CSGP
  • Exchange: NasdaqGS
  • Founded: 1987
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Market Cap: US$22.515b
  • Shares outstanding: 36.55m
  • Website: https://www.costargroup.com

Number of Employees


Location

  • CoStar Group, Inc.
  • 1331 L Street, NW
  • Washington
  • District Of Columbia
  • 20005
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CSGPNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 1998
RLGDB (Deutsche Boerse AG)YesCommon StockDEEURJul 1998
CSGP *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJul 1998

Biography

CoStar Group, Inc. provides information, analytics, and online marketplaces to the commercial real estate industry in the United States and the United Kingdom. The company offers CoStar Property Profession ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 23:34
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.