Does Insider Selling and Mixed Results at CoStar (CSGP) Hint at Shifts in Management Confidence?

• CoStar Group presented at the Stephens Annual Investment Conference on November 20, 2025, featuring Chief Financial Officer Christian M. Lown and Head of Investor Relations Richard Simonelli as speakers in Nashville, Tennessee.
• A key insight is that following the event, analyst sentiment remained bearish due to mixed quarterly financials and a rise in insider selling, including sales by the company president.
• We'll examine how the combination of mixed quarterly results and increased insider selling affects CoStar Group's investment narrative.

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CoStar Group Investment Narrative Recap

To be a CoStar Group shareholder, you generally need to believe in the company’s ability to translate dominant digital real estate platforms and aggressive investment in Homes.com into sustained growth and margin expansion. The latest update from the Stephens conference, combined with mixed quarterly results and ongoing insider selling, does not appear to materially alter this central thesis or the near-term catalyst, which remains the scaling of residential platform adoption; however, it does spotlight the risk of higher operating costs potentially outpacing revenue growth if adoption lags.

Among recent developments, the share buyback program stands out as directly relevant: CoStar repurchased 1.4 million shares since February 2025 for a total of US$114.78 million. This action may indicate the company’s continued confidence in its long-term fundamentals and could offer some support against short-term volatility, which is a key concern following increased insider selling and mixed earnings.

Yet, in contrast to the optimism projected by buybacks, investors should be aware of persistent risks like...

Read the full narrative on CoStar Group (it's free!)

CoStar Group's outlook anticipates $4.7 billion in revenue and $866.2 million in earnings by 2028. This is based on a projected annual revenue growth rate of 16.9% and a $762 million increase in earnings from the current $104.2 million.

Uncover how CoStar Group's forecasts yield a $92.59 fair value, a 38% upside to its current price.

Exploring Other Perspectives

Three retail investors from the Simply Wall St Community provided fair value estimates ranging from US$68.54 to US$139.70, illustrating wide differences in outlook. While investor opinions vary, awareness of rising operating costs and insider selling is essential in assessing potential near-term performance and longer-term stability.

Explore 3 other fair value estimates on CoStar Group - why the stock might be worth just $68.54!

Build Your Own CoStar Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your CoStar Group research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
• Our free CoStar Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate CoStar Group's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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