Zillow Group (NASDAQ:Z) Shares Gap Down on Disappointing Earnings

Zillow Group, Inc. (NASDAQ:Z) gapped down prior to trading on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $41.89, but opened at $40.22. Zillow Group shares last traded at $39.13, with a volume of 2,061,614 shares traded.

The financial services provider reported ($0.06) earnings per share for the quarter, missing analysts’ consensus estimates of $0.36 by ($0.42). The business had revenue of $529.00 million during the quarter, compared to the consensus estimate of $509.30 million. Zillow Group had a negative net margin of 8.12% and a negative return on equity of 2.32%. During the same period in the previous year, the firm earned ($0.06) EPS.

Analyst Ratings Changes

Z has been the subject of a number of research analyst reports. Needham & Company LLC reaffirmed a “hold” rating on shares of Zillow Group in a report on Thursday. Wedbush dropped their target price on shares of Zillow Group from $60.00 to $50.00 and set a “neutral” rating for the company in a research note on Thursday. Jefferies Financial Group increased their price target on shares of Zillow Group from $70.00 to $75.00 and gave the company a “buy” rating in a research note on Monday, March 4th. Finally, JPMorgan Chase & Co. dropped their price objective on shares of Zillow Group from $65.00 to $61.00 and set an “overweight” rating for the company in a research report on Thursday. Four research analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $56.20.

Insider Activity

In other Zillow Group news, insider Errol G. Samuelson sold 4,219 shares of the firm’s stock in a transaction dated Tuesday, March 26th. The stock was sold at an average price of $49.60, for a total transaction of $209,262.40. Following the transaction, the insider now owns 168,863 shares in the company, valued at $8,375,604.80. The sale was disclosed in a document filed with the SEC, which is available through this link. In other news, insider Errol G. Samuelson sold 4,219 shares of Zillow Group stock in a transaction on Tuesday, March 26th. The shares were sold at an average price of $49.60, for a total transaction of $209,262.40. Following the transaction, the insider now directly owns 168,863 shares of the company’s stock, valued at $8,375,604.80. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, Director Amy Bohutinsky sold 93,750 shares of the business’s stock in a transaction on Monday, March 4th. The shares were sold at an average price of $56.69, for a total transaction of $5,314,687.50. Following the completion of the transaction, the director now directly owns 5,652 shares of the company’s stock, valued at approximately $320,411.88. The disclosure for this sale can be found here. Insiders have sold a total of 171,289 shares of company stock valued at $9,642,508 in the last 90 days. 23.76% of the stock is owned by company insiders.

Institutional Trading of Zillow Group

A number of hedge funds and other institutional investors have recently made changes to their positions in Z. Legacy Capital Group California Inc. raised its position in Zillow Group by 3.1% during the fourth quarter. Legacy Capital Group California Inc. now owns 8,794 shares of the financial services provider’s stock worth $509,000 after acquiring an additional 264 shares in the last quarter. Level Four Advisory Services LLC raised its holdings in shares of Zillow Group by 0.9% in the 4th quarter. Level Four Advisory Services LLC now owns 33,058 shares of the financial services provider’s stock valued at $1,913,000 after purchasing an additional 282 shares during the period. Daiwa Securities Group Inc. lifted its stake in Zillow Group by 3.2% in the 3rd quarter. Daiwa Securities Group Inc. now owns 9,236 shares of the financial services provider’s stock valued at $426,000 after purchasing an additional 290 shares during the last quarter. Commonwealth Equity Services LLC grew its holdings in Zillow Group by 0.5% during the first quarter. Commonwealth Equity Services LLC now owns 86,527 shares of the financial services provider’s stock worth $4,221,000 after purchasing an additional 403 shares during the period. Finally, Van ECK Associates Corp increased its position in Zillow Group by 9.6% during the third quarter. Van ECK Associates Corp now owns 4,715 shares of the financial services provider’s stock worth $218,000 after buying an additional 412 shares during the last quarter. 71.01% of the stock is currently owned by institutional investors and hedge funds.

Zillow Group Stock Down 4.4 %

The stock has a market cap of $9.35 billion, a P/E ratio of -58.00 and a beta of 1.79. The firm has a 50 day simple moving average of $49.08 and a 200-day simple moving average of $48.91. The company has a quick ratio of 3.24, a current ratio of 3.24 and a debt-to-equity ratio of 0.22.

Zillow Group Company Profile

Zillow Group, Inc operates real estate brands in mobile applications and Websites in the United States. The company offers premier agent and rentals marketplaces, new construction marketplaces, advertising, display advertising, and business technology solutions, as well as dotloop and floor plans. It also provides mortgage originations and the sale of mortgages, and advertising to mortgage lenders and other mortgage professionals; and title and escrow services.