CoStar Group Valuation

Is CSGP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CSGP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CSGP ($75.11) is trading below our estimate of fair value ($79.53)

Significantly Below Fair Value: CSGP is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for CSGP?

Other financial metrics that can be useful for relative valuation.

CSGP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue10.3x
Enterprise Value/EBITDA133.9x
PEG Ratio3.8x

Price to Earnings Ratio vs Peers

How does CSGP's PE Ratio compare to its peers?

The above table shows the PE ratio for CSGP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average46.3x
CBRE CBRE Group
40.7x19.1%US$37.3b
BEKE KE Holdings
50.3x20.1%US$28.3b
JLL Jones Lang LaSalle
33.3x19.6%US$12.6b
NMRK Newmark Group
61x32.1%US$3.8b
CSGP CoStar Group
144.6x38.5%US$30.6b

Price-To-Earnings vs Peers: CSGP is expensive based on its Price-To-Earnings Ratio (144.6x) compared to the peer average (46.3x).


Price to Earnings Ratio vs Industry

How does CSGP's PE Ratio compare vs other companies in the US Real Estate Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a35.6%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a35.6%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: CSGP is expensive based on its Price-To-Earnings Ratio (144.6x) compared to the US Real Estate industry average (35.5x).


Price to Earnings Ratio vs Fair Ratio

What is CSGP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CSGP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio144.6x
Fair PE Ratio46.1x

Price-To-Earnings vs Fair Ratio: CSGP is expensive based on its Price-To-Earnings Ratio (144.6x) compared to the estimated Fair Price-To-Earnings Ratio (46.1x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CSGP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$75.11
US$94.54
+25.9%
10.9%US$108.00US$76.00n/a13
Sep ’25US$77.30
US$94.14
+21.8%
10.7%US$108.00US$76.00n/a14
Aug ’25US$77.14
US$93.71
+21.5%
10.2%US$107.00US$76.00n/a14
Jul ’25US$73.88
US$102.50
+38.7%
8.6%US$111.00US$80.00n/a14
Jun ’25US$78.17
US$102.50
+31.1%
8.6%US$111.00US$80.00n/a14
May ’25US$90.36
US$102.50
+13.4%
8.6%US$111.00US$80.00n/a14
Apr ’25US$94.52
US$98.38
+4.1%
11.2%US$111.00US$79.00n/a13
Mar ’25US$88.27
US$91.79
+4.0%
8.8%US$105.00US$79.00n/a14
Feb ’25US$84.60
US$93.50
+10.5%
9.7%US$106.00US$76.00n/a14
Jan ’25US$87.39
US$91.50
+4.7%
10.5%US$105.00US$70.00n/a14
Dec ’24US$85.28
US$89.14
+4.5%
11.5%US$104.00US$70.00n/a14
Nov ’24US$73.67
US$87.79
+19.2%
11.4%US$104.00US$70.00n/a14
Oct ’24US$76.89
US$96.93
+26.1%
10.3%US$114.00US$76.00US$74.6515
Sep ’24US$82.57
US$95.93
+16.2%
10.8%US$114.00US$76.00US$77.3015
Aug ’24US$83.12
US$95.93
+15.4%
10.8%US$114.00US$76.00US$77.1415
Jul ’24US$89.00
US$88.60
-0.4%
13.3%US$105.00US$65.00US$73.8815
Jun ’24US$79.73
US$85.57
+7.3%
11.6%US$102.00US$65.00US$78.1714
May ’24US$76.11
US$84.43
+10.9%
10.4%US$100.00US$65.00US$90.3614
Apr ’24US$68.85
US$83.64
+21.5%
10.6%US$100.00US$65.00US$94.5214
Mar ’24US$70.03
US$83.50
+19.2%
10.8%US$100.00US$65.00US$88.2714
Feb ’24US$79.01
US$90.38
+14.4%
9.9%US$102.00US$73.00US$84.6013
Jan ’24US$77.28
US$90.29
+16.8%
9.6%US$102.00US$73.00US$87.3914
Dec ’23US$82.95
US$89.31
+7.7%
9.3%US$102.00US$73.00US$85.2813
Nov ’23US$81.19
US$88.42
+8.9%
9.1%US$102.00US$73.00US$73.6712
Oct ’23US$69.65
US$81.91
+17.6%
9.2%US$92.00US$67.00US$76.8911

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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