On Wednesday morning, about two-thirds of Zillow's Chicago home listings abruptly vanished. Zillow is in an ongoing dispute with a local MLS, or multiple listing service, named Midwest Real Estate Data (MRED).
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Zillow (Z) reported earnings 30 days ago. What's next for the stock?
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Zillow (Z) remains a buy, despite a ~50% YTD decline, due to sustainable growth catalysts and product innovation. Z's rental marketplace is driving over 40% y/y revenue growth, displacing legacy rental listing platforms. Z has diversified revenue streams beyond Premier Agent, including rentals, software, and mortgage financing.
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Zillow Group remains a buy as Q1 results demonstrate robust share gains, deeper monetization, and strong growth across core and new business lines. ZG's integrated buyer funnel, expanding seller tools (Preview, Showcase), and rapid growth in Mortgages and Rentals reinforce its transition from a lead-gen platform to a transaction ecosystem. Despite near-term margin pressure from legal and advertising costs, underlying demand and profit quality remain strong; these headwinds are expected to ease by year-end.
Z posts Q1 earnings and revenue beat as Rentals growth accelerates, and mortgage originations nearly double.
Zillow Group is rated a buy, with the market underestimating its vertical integration and resilience to AI disruption. ZG outperformed the real estate industry in Q4, growing revenue 18% YoY and expanding comparable adjusted EBITDA margin to 27%. ZG's revenue model is shifting from search to deep workflow integration, supporting a credible path to $5B revenue at 45% margins.
Zillow (Z) came out with quarterly earnings of $0.53 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.41 per share a year ago.