CoStar Group, Inc.CSGP
NasdaqGS•Real Estate•Real Estate Services
CoStar Group, Inc. provides information, analytics, and online marketplace services to real estate and related business communities in the United States, Australia, Canada, Europe, the Asia Pacific, and Latin America. It offers CoStar Property that provides inventory of office, industrial, retail, multifamily, hospitality, and student housing, and land properties; CoStar Leasing, a data on lease transactions and tools to manage user-entered lease data; CoStar Sales, a database of commercial real estate sales transactions; CoStar Owners provides detailed portfolio information; CoStar Markets to view and report on market and submarket trends; and CoStar Tenant that provides tenant information. The company also provides hospitality benchmarking that allows hotels to measure performance against competitors; Debt Solutions, a tool for lenders to manage loan portfolios and risk; and real estate and lease management technology solutions, such as lease administration, lease accounting, and transaction management services. In addition, it offers Apartamentos.com, an apartment marketing sites; LoopNet.com, a commercial property marketing sites; Homes.com, a home for sale listings site; Ten-X, an online auction platform for commercial real estate; Land.com, a marketplace for rural land sales; and BizBuySell.com, a marketplace for operating businesses and franchises for sale. It serves sales, leasing, and mortgage brokers; property, real estate investment trust, insurance companies, and asset managers; and government agencies, property owners, mortgage-backed security issuers, appraisers, design and construction professionals, pension fund managers, real estate developers, reporters tenant vendors, bankers, building services vendors, mortgage bankers, communications providers, retailers, institutional advisors, hospitality owners, investors, and real estate agents. The company was founded in 1986 and is headquartered in Arlington, Virginia.
CoStar Group, Inc. (CSGP) reported trailing twelve months revenue of $3.25B as of December 2025, a 18.7% increase year-over-year. Quarterly revenue reached $900.00M, reflecting continued top-line momentum.
CoStar Group, Inc. generated $7.50M in TTM net income, with quarterly EBITDA of $130.50M. The operating margin contracted from 5.6% to 5.5%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (5.5%) and net margin (5.2%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 8.4% a year ago, reflecting increased costs or interest expense.
CSGP trades at a P/E of 3796.5x (a premium multiple) and a P/S of 8.8x. The price-to-book ratio of 3.4x reflects a moderate premium to book value.
The company reported negative free cash flow of $-150.60M, indicating cash consumption over the period. The balance sheet shows $10.54B in total assets with $993.00M in long-term debt against $8.33B in stockholders equity for a debt-to-equity ratio of 0.1, a conservative capital structure. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are under pressure, averaging -1.2%. The business may lack pricing power or face rising costs.'
ROE is positive at ~1.7% on average, adequate but below the threshold typically associated with wide moats.
Only 2 of the last 8 quarters had positive FCF — the business may require external capital to sustain operations.
TTM revenue has grown consistently (7 of 7 quarters up), with ~28.5% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Operating margins dropped 6145.1% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.
Free cash flow has been negative in 6 of the last 8 quarters — earnings are not translating to cash.
D/E ratio is 0.1 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
The last 4 consecutive quarters had negative FCF — the company is burning cash and may need external funding.
Shares outstanding rose 3.0% — mild dilution. Compare to earnings growth to assess net per-share impact.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation