Zillow Group (NASDAQ:Z) Sets New 12-Month Low Following Weak Earnings

Zillow Group, Inc. (NASDAQ:Z)’s share price reached a new 52-week low on Wednesday following a weaker than expected earnings announcement. The company traded as low as $51.85 and last traded at $49.5040, with a volume of 36598 shares traded. The stock had previously closed at $54.71.

The financial services provider reported $0.39 EPS for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.03). Zillow Group had a return on equity of 0.56% and a net margin of 0.89%.The company had revenue of $654.00 million during the quarter, compared to the consensus estimate of $650.40 million.

Trending Headlines about Zillow Group

Here are the key news stories impacting Zillow Group this week:

• Positive Sentiment: Zillow delivered revenue growth (~18% YoY) with strong gains in rentals and growing mortgage activity; management offered an upbeat revenue outlook for 2026, supporting longer-term growth narratives. Zacks: Q4 EPS Lags, Revenues Beat
• Positive Sentiment: The company returned to a small profit in Q4 (roughly $3M, vs. a loss year-ago) as for-sale and rentals revenue improved, validating parts of the operational turnaround. Company Q4 Results
• Neutral Sentiment: Some broker ratings are unchanged (Needham reaffirmed a “hold”), keeping analyst sentiment mixed rather than uniformly negative. Benzinga
• Negative Sentiment: Zillow missed EPS expectations (reported roughly $0.39 vs. consensus near $0.42), prompting analysts to trim forecasts and margin models—selling pressure followed the updates. Benzinga: Analysts Cut Forecasts
• Negative Sentiment: Multiple lawsuits from competitors and consumers targeting different parts of Zillow’s business have surfaced in coverage, increasing legal risk and investor uncertainty. Barron’s: Zillow Litigation
• Negative Sentiment: Keefe, Bruyette & Woods lowered its price target to $65, reflecting more cautious near-term expectations and adding pressure to valuation-sensitive investors. AmericanBankingNews: Price Target Cut

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on Z. Needham & Company LLC reiterated a “hold” rating on shares of Zillow Group in a research note on Wednesday. Keefe, Bruyette & Woods reduced their price objective on shares of Zillow Group from $80.00 to $65.00 and set a “market perform” rating for the company in a research note on Monday. Barclays upgraded shares of Zillow Group from a “strong sell” rating to a “hold” rating in a research report on Thursday, January 29th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Zillow Group in a report on Wednesday, January 21st. Finally, Mizuho lowered Zillow Group from a “strong-buy” rating to a “hold” rating in a research note on Thursday, January 8th. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $90.60.

Insider Activity at Zillow Group

In other Zillow Group news, Director Erik C. Blachford sold 965 shares of the business’s stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $72.51, for a total value of $69,972.15. Following the completion of the transaction, the director directly owned 33,543 shares of the company’s stock, valued at approximately $2,432,202.93. The trade was a 2.80% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, General Counsel Bradley D. Owens sold 2,722 shares of the company’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $67.41, for a total value of $183,490.02. Following the completion of the sale, the general counsel owned 37,974 shares in the company, valued at approximately $2,559,827.34. This represents a 6.69% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 3,928 shares of company stock valued at $270,937. 25.03% of the stock is owned by company insiders.

Institutional Investors Weigh In On Zillow Group

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Root Financial Partners LLC acquired a new position in Zillow Group during the third quarter worth $27,000. Pilgrim Partners Asia Pte Ltd acquired a new position in shares of Zillow Group during the 3rd quarter worth about $29,000. V Square Quantitative Management LLC purchased a new position in Zillow Group in the 4th quarter valued at about $28,000. Cullen Frost Bankers Inc. lifted its stake in Zillow Group by 58.6% in the 3rd quarter. Cullen Frost Bankers Inc. now owns 441 shares of the financial services provider’s stock valued at $34,000 after buying an additional 163 shares in the last quarter. Finally, SBI Securities Co. Ltd. boosted its holdings in Zillow Group by 58.2% in the 2nd quarter. SBI Securities Co. Ltd. now owns 503 shares of the financial services provider’s stock worth $35,000 after buying an additional 185 shares during the last quarter. Hedge funds and other institutional investors own 71.01% of the company’s stock.

Zillow Group Price Performance

The firm has a market cap of $10.61 billion, a price-to-earnings ratio of 486.94, a PEG ratio of 2.65 and a beta of 2.08. The business has a fifty day simple moving average of $66.23 and a 200 day simple moving average of $74.16.

Zillow Group Company Profile

Zillow Group, Inc is an online real estate marketplace company that operates a portfolio of consumer-facing websites and mobile apps designed to connect buyers, sellers, renters, homeowners and real estate professionals. The company’s platforms aggregate property listings, rental listings, and related information to help users search for homes, estimate property values and connect with agents and service providers. Zillow generates revenue primarily through advertising and lead-generation services for real estate professionals, property managers and mortgage lenders.

Key products and services include the Zillow and Trulia consumer websites and apps, which provide searchable listings, photos, neighborhood data and the company’s automated home valuation tool known as the “Zestimate.” Zillow also offers a rentals marketplace, a mortgage marketplace and tools for home buying and selling such as Zillow Premier Agent for agent advertising and leads, as well as ancillary services designed to support transactions, including closing and title-related offerings.