- Prev close
- $30.55
- Day range
- $30.52 – $31.27
- From 52-wk high
- -56.7%
CSGP's 7.2% rise looks stock-specific, driven by a post-earnings reaction to slower net new bookings despite 14.1% revenue growth and a $0.38 non-GAAP EPS beat; the setup reads mixed because the business is growing, but execution risk is still getting more attention.
CSGP
COSTAR GROUP INC
As of Nov 1, 2026
56/100
Worth keeping an eye onHealth ScorePrimary driver: stock-specific earnings reaction
The move is primarily stock-specific: CSGP rose 7.2% while the S&P 500 fell 7.2% and the Nasdaq 100 fell 7.2%, and its peers were mixed with CBRE +0.2%, JLL +1.8%, Z -0.1%, and COMP -4.2%. That gap is too wide to blame on the market or the sector alone. The more direct driver is the company’s post-earnings reaction to slower-than-anticipated net new bookings, even though Q3 revenue rose 7.2% year on year to $952 million and non-GAAP EPS of $0.38 beat estimates by 12%.
Move quality: bigger than ordinary noise
This is more than routine volatility. The stock has a beta of 0.78, which points to below-market sensitivity, yet the shares are still highly reactive because the valuation is rich at PE 68.0 and PEG 4.66; a PEG of 4.66 — P/E divided by growth, so investors are paying 4.66 times the earnings-growth rate — means strong growth is already priced in. The underlying business is still growing, with revenue up 7.2% YoY (TTM), latest quarter revenue up 7.2% YoY, and gross margin at 78.3%, but operating margin is only 5.8% and net margin is 4.9%, so the market is treating execution risk seriously. In other words, the move is not explained by weakening fundamentals; it reflects how expensive the stock is versus a still-improving but not fully proven earnings profile.
Earnings preview: growth is intact, bookings are the key watchpoint
The next earnings date is not available this period. The most recent quarter showed revenue up 7.2% year on year to $952 million and non-GAAP profit of $0.38 per share, which was 12% above analysts’ consensus; management also guided next quarter revenue to around $986 million, close to analysts’ estimates. The market is focused on three things: whether net new bookings reaccelerate after the slowdown, whether the lower sales force capacity starts to constrain growth further, and whether CoStar can keep converting top-line growth into better operating leverage from the current 5.8% operating margin.
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