ZILLOW GROUP INC - C (Z) Stock Fundamental Analysis
USA - NASDAQ:Z - US98954M2008 - Common Stock
86.74 USD
-3.24 (-3.6%)
86.5108 USD
-0.23 (-0.26%)
Taking everything into account, Z scores 5 out of 10 in our fundamental rating. Z was compared to 63 industry peers in the Real Estate Management & Development industry. Z has a great financial health rating, but its profitability evaluates not so good. Z is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
Z had positive earnings in the past year.
In the past year Z had a positive cash flow from operations.
Z had negative earnings in each of the past 5 years.
Of the past 5 years Z 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -1.14%, Z is in line with its industry, outperforming 49.21% of the companies in the same industry.
Looking at the Return On Equity, with a value of -1.31%, Z is in line with its industry, outperforming 55.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.14% | ||
| ROE | -1.31% | ||
| ROIC | N/A |
ROA(3y)-1.95%
ROA(5y)-2.59%
ROE(3y)-2.68%
ROE(5y)-4.27%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Z's Gross Margin of 75.75% is amongst the best of the industry. Z outperforms 88.89% of its industry peers.
In the last couple of years the Gross Margin of Z has grown nicely.
Z does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 75.75% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y42.3%
GM growth 5Y9.85%
2. Health
2.1 Basic Checks
Z does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for Z has been increased compared to 1 year ago.
Z has more shares outstanding than it did 5 years ago.
The debt/assets ratio for Z has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 19.68 indicates that Z is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 19.68, Z belongs to the top of the industry, outperforming 93.65% of the companies in the same industry.
Z has a debt to FCF ratio of 1.07. This is a very positive value and a sign of high solvency as it would only need 1.07 years to pay back of all of its debts.
Z has a better Debt to FCF ratio (1.07) than 84.13% of its industry peers.
A Debt/Equity ratio of 0.05 indicates that Z is not too dependend on debt financing.
Z has a better Debt to Equity ratio (0.05) than 80.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.07 | ||
| Altman-Z | 19.68 |
ROIC/WACCN/A
WACC9.3%
2.3 Liquidity
A Current Ratio of 3.34 indicates that Z has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.34, Z is in the better half of the industry, outperforming 74.60% of the companies in the same industry.
Z has a Quick Ratio of 3.34. This indicates that Z is financially healthy and has no problem in meeting its short term obligations.
Z has a better Quick ratio (3.34) than 79.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.34 | ||
| Quick Ratio | 3.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.72% over the past year.
Z shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.31%.
Z shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.00% yearly.
EPS 1Y (TTM)11.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2.56%
Revenue 1Y (TTM)15.31%
Revenue growth 3Y-35.01%
Revenue growth 5Y-4%
Sales Q2Q%14.51%
3.2 Future
Z is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 33.71% yearly.
The Revenue is expected to grow by 15.05% on average over the next years. This is quite good.
EPS Next Y21.54%
EPS Next 2Y29.5%
EPS Next 3Y32.37%
EPS Next 5Y33.71%
Revenue Next Year15.32%
Revenue Next 2Y14.95%
Revenue Next 3Y14.9%
Revenue Next 5Y15.05%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 60.66, Z can be considered very expensive at the moment.
Based on the Price/Earnings ratio, Z is valued a bit cheaper than the industry average as 65.08% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.38, Z is valued quite expensively.
Based on the Price/Forward Earnings ratio of 37.75, the valuation of Z can be described as expensive.
Z's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. Z is cheaper than 73.02% of the companies in the same industry.
Z is valuated expensively when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.66 | ||
| Fwd PE | 37.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of Z is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, Z is valued a bit cheaper than the industry average as 60.32% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 97.74 | ||
| EV/EBITDA | 152.05 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates Z does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as Z's earnings are expected to grow with 32.37% in the coming years.
PEG (NY)2.82
PEG (5Y)N/A
EPS Next 2Y29.5%
EPS Next 3Y32.37%
5. Dividend
5.1 Amount
No dividends for Z!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
86.74
-3.24 (-3.6%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners95.52%
Inst Owner Change1.23%
Ins Owners6.74%
Ins Owner Change4.13%
Market Cap21.01B
Analysts72.67
Price Target90.3 (4.1%)
Short Float %8.58%
Short Ratio5.53
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)1
Avg EPS beat(2)0.6%
Min EPS beat(2)-7.26%
Max EPS beat(2)8.47%
EPS beat(4)2
Avg EPS beat(4)3.07%
Min EPS beat(4)-7.26%
Max EPS beat(4)18.32%
EPS beat(8)6
Avg EPS beat(8)22.01%
EPS beat(12)10
Avg EPS beat(12)78.63%
EPS beat(16)13
Avg EPS beat(16)27.51%
Revenue beat(2)0
Avg Revenue beat(2)-0.54%
Min Revenue beat(2)-0.78%
Max Revenue beat(2)-0.3%
Revenue beat(4)1
Avg Revenue beat(4)0.3%
Min Revenue beat(4)-0.78%
Max Revenue beat(4)2.69%
Revenue beat(8)5
Avg Revenue beat(8)1.46%
Revenue beat(12)9
Avg Revenue beat(12)2.61%
Revenue beat(16)10
Avg Revenue beat(16)-10.95%
PT rev (1m)8.31%
PT rev (3m)10.88%
EPS NQ rev (1m)0.18%
EPS NQ rev (3m)-13.18%
EPS NY rev (1m)-2.91%
EPS NY rev (3m)-2.68%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)0.5%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.66 | ||
| Fwd PE | 37.75 | ||
| P/S | 8.8 | ||
| P/FCF | 97.74 | ||
| P/OCF | 43.42 | ||
| P/B | 4.43 | ||
| P/tB | 12.83 | ||
| EV/EBITDA | 152.05 |
EPS(TTM)1.43
EY1.65%
EPS(NY)2.3
Fwd EY2.65%
FCF(TTM)0.89
FCFY1.02%
OCF(TTM)2
OCFY2.3%
SpS9.86
BVpS19.59
TBVpS6.76
PEG (NY)2.82
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.14% | ||
| ROE | -1.31% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 75.75% | ||
| FCFM | 9% |
ROA(3y)-1.95%
ROA(5y)-2.59%
ROE(3y)-2.68%
ROE(5y)-4.27%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y42.3%
GM growth 5Y9.85%
F-Score7
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.07 | ||
| Debt/EBITDA | 1.74 | ||
| Cap/Depr | 101.51% | ||
| Cap/Sales | 11.26% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 366.67% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.34 | ||
| Quick Ratio | 3.34 | ||
| Altman-Z | 19.68 |
F-Score7
WACC9.3%
ROIC/WACCN/A
Cap/Depr(3y)73.5%
Cap/Depr(5y)73.95%
Cap/Sales(3y)7.76%
Cap/Sales(5y)5.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2.56%
EPS Next Y21.54%
EPS Next 2Y29.5%
EPS Next 3Y32.37%
EPS Next 5Y33.71%
Revenue 1Y (TTM)15.31%
Revenue growth 3Y-35.01%
Revenue growth 5Y-4%
Sales Q2Q%14.51%
Revenue Next Year15.32%
Revenue Next 2Y14.95%
Revenue Next 3Y14.9%
Revenue Next 5Y15.05%
EBIT growth 1Y39.82%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year430.12%
EBIT Next 3Y96.41%
EBIT Next 5Y60.65%
FCF growth 1Y-25.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.5%
OCF growth 3YN/A
OCF growth 5YN/A