CoStar Stock Forum

CoStar Group's ROE is unimpressive and below industry average, with moderate net income growth over the past five years. Despite reinvesting all profits, the low ROE suggests investors may not be benefitting fully.

Analysts downgraded their earnings per share estimates for CoStar Group, indicating a decline in sentiment. However, they reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations.

Shareholders backing CoStar Group's current share price due to promising revenue outlook, high P/S ratio. Continuation likely given consistent revenue trajectory. High P/S might deter some investors unless significant growth occurs.

Even though the share price fell this quarter, the overall performance over the past five years suggests strong company growth reflected in share price gains. However, the market's sentiment around the company does not appear to have changed significantly.