COSTAR GROUP INC (CSGP) Stock Fundamental Analysis
NASDAQ:CSGP - Nasdaq - US22160N1090 - Common Stock - Currency: USD
Taking everything into account, CSGP scores 5 out of 10 in our fundamental rating. CSGP was compared to 65 industry peers in the Real Estate Management & Development industry. Both the profitability and the financial health of CSGP get a neutral evaluation. Nothing too spectacular is happening here. CSGP is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CSGP had positive earnings in the past year.
In the past year CSGP had a positive cash flow from operations.
CSGP had positive earnings in each of the past 5 years.
CSGP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of CSGP (1.12%) is better than 69.23% of its industry peers.
Looking at the Return On Equity, with a value of 1.37%, CSGP is in the better half of the industry, outperforming 69.23% of the companies in the same industry.
CSGP has a Return On Invested Capital of 0.03%. This is comparable to the rest of the industry: CSGP outperforms 56.92% of its industry peers.
CSGP had an Average Return On Invested Capital over the past 3 years of 2.11%. This is below the industry average of 5.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.12% | ||
| ROE | 1.37% | ||
| ROIC | 0.03% |
ROA(3y)3.37%
ROA(5y)3.48%
ROE(3y)4.11%
ROE(5y)4.33%
ROIC(3y)2.11%
ROIC(5y)2.77%
1.3 Margins
CSGP has a better Profit Margin (4.17%) than 76.92% of its industry peers.
In the last couple of years the Profit Margin of CSGP has declined.
Looking at the Operating Margin, with a value of 0.17%, CSGP is in line with its industry, outperforming 56.92% of the companies in the same industry.
In the last couple of years the Operating Margin of CSGP has declined.
CSGP has a better Gross Margin (79.71%) than 92.31% of its industry peers.
In the last couple of years the Gross Margin of CSGP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.17% | ||
| PM (TTM) | 4.17% | ||
| GM | 79.71% |
OM growth 3Y-80.23%
OM growth 5Y-63.35%
PM growth 3Y-30.42%
PM growth 5Y-25.78%
GM growth 3Y-0.84%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
CSGP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, CSGP has more shares outstanding
Compared to 5 years ago, CSGP has more shares outstanding
Compared to 1 year ago, CSGP has an improved debt to assets ratio.
2.2 Solvency
CSGP has an Altman-Z score of 12.08. This indicates that CSGP is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 12.08, CSGP belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
CSGP has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of CSGP (0.12) is better than 75.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 12.08 |
ROIC/WACC0
WACC8.74%
2.3 Liquidity
CSGP has a Current Ratio of 6.01. This indicates that CSGP is financially healthy and has no problem in meeting its short term obligations.
CSGP's Current ratio of 6.01 is amongst the best of the industry. CSGP outperforms 87.69% of its industry peers.
A Quick Ratio of 6.01 indicates that CSGP has no problem at all paying its short term obligations.
CSGP has a Quick ratio of 6.01. This is amongst the best in the industry. CSGP outperforms 90.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.01 | ||
| Quick Ratio | 6.01 |
3. Growth
3.1 Past
CSGP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.12%.
Measured over the past years, CSGP shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.71% on average per year.
Looking at the last year, CSGP shows a quite strong growth in Revenue. The Revenue has grown by 11.28% in the last year.
Measured over the past years, CSGP shows a quite strong growth in Revenue. The Revenue has been growing by 14.35% on average per year.
EPS 1Y (TTM)-22.12%
EPS 3Y-14.08%
EPS 5Y-6.71%
EPS Q2Q%90%
Revenue 1Y (TTM)11.28%
Revenue growth 3Y12.07%
Revenue growth 5Y14.35%
Sales Q2Q%11.62%
3.2 Future
The Earnings Per Share is expected to grow by 33.25% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 11.84% on average over the next years. This is quite good.
EPS Next Y13.62%
EPS Next 2Y37.92%
EPS Next 3Y39.9%
EPS Next 5Y33.25%
Revenue Next Year14.71%
Revenue Next 2Y13.53%
Revenue Next 3Y13.37%
Revenue Next 5Y11.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 100.52, CSGP can be considered very expensive at the moment.
61.54% of the companies in the same industry are more expensive than CSGP, based on the Price/Earnings ratio.
CSGP's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.28.
A Price/Forward Earnings ratio of 59.45 indicates a quite expensive valuation of CSGP.
Based on the Price/Forward Earnings ratio, CSGP is valued a bit cheaper than 70.77% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CSGP to the average of the S&P500 Index (21.76), we can say CSGP is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.52 | ||
| Fwd PE | 59.45 |
4.2 Price Multiples
CSGP's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 188.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CSGP does not grow enough to justify the current Price/Earnings ratio.
CSGP's earnings are expected to grow with 39.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.38
PEG (5Y)N/A
EPS Next 2Y37.92%
EPS Next 3Y39.9%
5. Dividend
5.1 Amount
CSGP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
81.42
-0.49 (-0.6%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners106.52%
Inst Owner Change4.21%
Ins Owners0.7%
Ins Owner Change13.91%
Market Cap34.35B
Analysts79.09
Price Target89.72 (10.19%)
Short Float %4.03%
Short Ratio5.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)52.49%
Min EPS beat(2)13.92%
Max EPS beat(2)91.05%
EPS beat(4)4
Avg EPS beat(4)49.43%
Min EPS beat(4)13.92%
Max EPS beat(4)91.05%
EPS beat(8)7
Avg EPS beat(8)31.23%
EPS beat(12)11
Avg EPS beat(12)26.73%
EPS beat(16)15
Avg EPS beat(16)23%
Revenue beat(2)0
Avg Revenue beat(2)-1.37%
Min Revenue beat(2)-1.67%
Max Revenue beat(2)-1.07%
Revenue beat(4)0
Avg Revenue beat(4)-1.77%
Min Revenue beat(4)-2.45%
Max Revenue beat(4)-1.07%
Revenue beat(8)0
Avg Revenue beat(8)-1.68%
Revenue beat(12)0
Avg Revenue beat(12)-1.66%
Revenue beat(16)1
Avg Revenue beat(16)-1.47%
PT rev (1m)-0.25%
PT rev (3m)2.7%
EPS NQ rev (1m)1.17%
EPS NQ rev (3m)-26.73%
EPS NY rev (1m)-5.65%
EPS NY rev (3m)-24.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.1%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)3.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 100.52 | ||
| Fwd PE | 59.45 | ||
| P/S | 12.22 | ||
| P/FCF | N/A | ||
| P/OCF | 112.18 | ||
| P/B | 4.01 | ||
| P/tB | 8.75 | ||
| EV/EBITDA | 188.97 |
EPS(TTM)0.81
EY0.99%
EPS(NY)1.37
Fwd EY1.68%
FCF(TTM)-0.07
FCFYN/A
OCF(TTM)0.73
OCFY0.89%
SpS6.67
BVpS20.28
TBVpS9.31
PEG (NY)7.38
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.12% | ||
| ROE | 1.37% | ||
| ROCE | 0.05% | ||
| ROIC | 0.03% | ||
| ROICexc | 0.06% | ||
| ROICexgc | 0.31% | ||
| OM | 0.17% | ||
| PM (TTM) | 4.17% | ||
| GM | 79.71% | ||
| FCFM | N/A |
ROA(3y)3.37%
ROA(5y)3.48%
ROE(3y)4.11%
ROE(5y)4.33%
ROIC(3y)2.11%
ROIC(5y)2.77%
ROICexc(3y)5.52%
ROICexc(5y)6.72%
ROICexgc(3y)37.51%
ROICexgc(5y)65.24%
ROCE(3y)3%
ROCE(5y)3.93%
ROICexcg growth 3Y-84.93%
ROICexcg growth 5Y-68.06%
ROICexc growth 3Y-79.71%
ROICexc growth 5Y-61.67%
OM growth 3Y-80.23%
OM growth 5Y-63.35%
PM growth 3Y-30.42%
PM growth 5Y-25.78%
GM growth 3Y-0.84%
GM growth 5Y0.06%
F-Score5
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.04 | ||
| Cap/Depr | 209.32% | ||
| Cap/Sales | 11.98% | ||
| Interest Coverage | 0.16 | ||
| Cash Conversion | 184.79% | ||
| Profit Quality | N/A | ||
| Current Ratio | 6.01 | ||
| Quick Ratio | 6.01 | ||
| Altman-Z | 12.08 |
F-Score5
WACC8.74%
ROIC/WACC0
Cap/Depr(3y)211.68%
Cap/Depr(5y)162.35%
Cap/Sales(3y)11.14%
Cap/Sales(5y)9.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.12%
EPS 3Y-14.08%
EPS 5Y-6.71%
EPS Q2Q%90%
EPS Next Y13.62%
EPS Next 2Y37.92%
EPS Next 3Y39.9%
EPS Next 5Y33.25%
Revenue 1Y (TTM)11.28%
Revenue growth 3Y12.07%
Revenue growth 5Y14.35%
Sales Q2Q%11.62%
Revenue Next Year14.71%
Revenue Next 2Y13.53%
Revenue Next 3Y13.37%
Revenue Next 5Y11.84%
EBIT growth 1Y-97.13%
EBIT growth 3Y-77.85%
EBIT growth 5Y-58.09%
EBIT Next Year2992.86%
EBIT Next 3Y329.28%
EBIT Next 5Y148.69%
FCF growth 1Y-108.27%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-35%
OCF growth 3Y-5.8%
OCF growth 5Y-3.03%