CoStar Group, Inc. (NASDAQ:CSGP) received a lot of attention from a substantial price movement on the NASDAQGS over the last few months, increasing to US$79.61 at one point, and dropping to the lows of US$71.25. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether CoStar Group's current trading price of US$77.00 reflective of the actual value of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at CoStar Group’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

Check out our latest analysis for CoStar Group

What's The Opportunity In CoStar Group?

Good news, investors! CoStar Group is still a bargain right now. According to our valuation, the intrinsic value for the stock is $99.15, but it is currently trading at US$77.00 on the share market, meaning that there is still an opportunity to buy now. Another thing to keep in mind is that CoStar Group’s share price may be quite stable relative to the rest of the market, as indicated by its low beta. This means that if you believe the current share price should move towards its intrinsic value over time, a low beta could suggest it is not likely to reach that level anytime soon, and once it’s there, it may be hard to fall back down into an attractive buying range again.

Can we expect growth from CoStar Group?

Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. CoStar Group's earnings over the next few years are expected to double, indicating a very optimistic future ahead. This should lead to stronger cash flows, feeding into a higher share value.

What This Means For You

Are you a shareholder? Since CSGP is currently undervalued, it may be a great time to accumulate more of your holdings in the stock. With a positive outlook on the horizon, it seems like this growth has not yet been fully factored into the share price. However, there are also other factors such as financial health to consider, which could explain the current undervaluation.

Are you a potential investor? If you’ve been keeping an eye on CSGP for a while, now might be the time to make a leap. Its buoyant future outlook isn’t fully reflected in the current share price yet, which means it’s not too late to buy CSGP. But before you make any investment decisions, consider other factors such as the track record of its management team, in order to make a well-informed investment decision.