CoStar Group (CSGP) Tops Q2 Earnings and Revenue Estimates

Core Insights - CoStar Group (CSGP) reported quarterly earnings of $0.15 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, but down from $0.31 per share a year ago [1] - The earnings surprise for this quarter was 66.67%, with the company also surpassing earnings expectations in the previous quarter [2][3] - CoStar's revenues for the quarter were $677.8 million, which was 0.14% above the Zacks Consensus Estimate and an increase from $605.91 million year-over-year [8] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.18 on revenues of $707.06 million, and for the current fiscal year, it is $0.62 on revenues of $2.78 billion [6] - The trend of estimate revisions for CoStar is mixed, leading to a Zacks Rank of 3 (Hold), indicating expected performance in line with the market [12] Industry Context - CoStar operates within the Computers - IT Services industry, which is currently ranked in the bottom 40% of over 250 Zacks industries [10] - The industry outlook can significantly impact stock performance, with top-ranked industries historically outperforming lower-ranked ones by more than 2 to 1 [10] Stock Performance - CoStar shares have declined approximately 13.6% since the beginning of the year, contrasting with the S&P 500's gain of 16.7% [4] - The company's ability to sustain immediate price movements will largely depend on management's commentary during the earnings call [11]