CoStar Group to Report Q2 Earnings: What's in Store for the Stock?

The Zacks Consensus Estimate for second-quarter 2026 revenues is currently pegged at $929.32 million, suggesting growth of 18.95% from the year-ago quarter’s levels.

For the reported quarter, adjusted earnings per share are anticipated to be in the range of 27 cents to 30 cents. The consensus mark for second-quarter 2026 earnings has been unchanged at 28 cents per share over the past 30 days, suggesting a 64.71% increase from the year-ago quarter’s figure.

CoStar Group’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 22.95%.

Let us see how things have shaped up for CSGP before the announcement.

Factors to Note Ahead of CSGP's Q2 Results

CoStar Group's second-quarter performance is likely to have been driven by continued strength across its portfolio of digital real estate marketplaces, including Apartments.com, LoopNet and Homes.com.

Strong momentum across the commercial and residential businesses is expected to have supported top-line growth in the to-be-reported quarter. Commercial revenues are expected to be in the range of $479-$484 million, reflecting 7-9% growth from the year-ago quarter, while residential revenues are projected at $443-$448 million, indicating a robust 32-34% increase year over year. The residential segment is also expected to have returned to profitability, highlighting improving operating leverage from Homes.com and Apartments.com.

The commercial segment is poised to benefit from new product rollouts and international expansion. CoStar plans to launch its New Homes platform and commence operations in France in the to-be-reported quarter, while LoopNet's nationwide rollout of asset-based pricing is expected to increase listings, advertiser adoption and revenues. Matterport's expanding enterprise pipeline and deeper integration across CoStar's platforms are also likely to support commercial growth.

Homes.com is expected to have remained a key growth driver, supported by rising subscriber additions, higher agent engagement and attractive returns on investment for members. Integration with Apartments.com is likely to have enhanced cross-platform traffic and monetization, while the rollout of Apartments AI ahead of the Apartmentalize conference is expected to have strengthened customer engagement. Improving sales productivity from representatives hired during 2025, coupled with stronger contributions from field sales teams across Homes.com, Apartments.com, LoopNet and Matterport, is likely to have supported bookings and revenue growth.

However, persistent macroeconomic uncertainty, elevated interest and mortgage rates, and sluggish commercial real estate activity are expected to have remained headwinds.

What Our Model Says About CSGP

Our proven model does not conclusively predict an earnings beat for CoStar Group this time. Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here.

CoStar Group presently has an Earnings ESP of 0.00% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they report earnings with our Earnings ESP Filter.

Stocks to Consider

Here are some companies worth considering, as our model shows that they have the right combination of elements to post an earnings beat in their upcoming releases.

Amphenol APH has an Earnings ESP of +1.12% and a Zacks Rank #1 at present. APH is set to report second-quarter fiscal 2026 results on July 29. You can see the complete list of today’s Zacks #1 Rank stocks here.

ASE Technology ASX has an Earnings ESP of +21.21% and a Zacks Rank #2 at present. ASX is scheduled to report its second-quarter 2026 results on July 30.

Celestica CLS has an Earnings ESP of +1.86% and a Zacks Rank #2 at present. CLS is set to report its second-quarter 2026 results on July 28.

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This article originally published on Zacks Investment Research (zacks.com).

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