CoStar Group Projects 10% Revenue Growth for 2025

CoStar Group, Inc. anticipates a revenue increase of 10% for 2025. Alongside a $500 million stock repurchase program, the outlook reflects the company's growth strategy and could positively influence stock prices.

Date: 19-02-2025

AI Rating: 7

Revenue Growth: CoStar Group expects revenue between $2.985 billion and $3.015 billion for 2025, indicating a year-over-year growth rate of approximately 10% at the midpoint. This projected growth can enhance investor sentiment and may positively impact stock prices.

Quarterly Revenue Projection: For Q1 2025, the company estimates revenue between $711 million and $716 million, reflecting about 9% year-over-year growth at the midpoint. This consistent revenue growth is a positive sign for investors.

Adjusted EBITDA: CoStar anticipates adjusted EBITDA for the full year to be in the range of $375 million to $405 million, with a margin of 13% at the midpoint. This indicates operational efficiency and adds to the company's positive outlook, likely supporting its stock price.

Stock Repurchase Program: The approval of a stock repurchase program of up to $500 million further indicates management's confidence in the company's value and can lead to price appreciation by reducing available shares in the market.

Overall, the company’s expectations for revenue growth, together with the stock repurchase initiative, collectively contribute to a positive trajectory for the company’s stock.

Stocks: CSGP