Stock Pulse
CoStar Group (CSGP) restructured its board, appointing three new independent directors and a new Chairperson following an agreement with hedge funds D.E. Shaw and Third Point to improve profitability and share performance [4], [11]. A board committee will review capital allocation strategy, including international expansion and investments in residential real estate portals like Homes.com and Apartments.com, and the potential acquisition of Domain Group in Australia [2], [4], [11]. Despite a recent stock price increase [1], [6], [8], concerns remain about CoStar's long-term performance due to unchanged EPS estimates and the impact of residential investments on margins [1], [2]. While CoStar won a trade secrets lawsuit against Move, Inc., bolstering its market position [7], slowing home price growth could impact future revenue [3]. The company will release Q1 2025 results on April 29th [10].