Real estate data provider CoStar Group (NASDAQ:CSGP) will be reporting results tomorrow after market hours. Here’s what you need to know.
CoStar beat analysts’ revenue expectations by 0.9% last quarter, reporting revenues of $709.4 million, up 10.8% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EPS estimates.
This quarter, analysts are expecting CoStar’s revenue to grow 11.2% year on year to $730 million, slowing from the 12.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.11 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. CoStar has missed Wall Street’s revenue estimates three times over the last two years.
Looking at CoStar’s peers in the data & business process services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Equifax delivered year-on-year revenue growth of 3.8%, beating analysts’ expectations by 1.7%, and SS&C reported revenues up 5.4%, topping estimates by 0.8%. Equifax traded up 15.9% following the results while SS&C was down 6.1%.
Questions about potential tariffs and corporate tax changes have caused much volatility in 2025. While some of the data & business process services stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.1% on average over the last month. CoStar is up 6% during the same time and is heading into earnings with an average analyst price target of $86.30 (compared to the current share price of $83.97).
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