It has been about a month since the last earnings report for CoStar Group (CSGP). Shares have added about 4.7% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is CoStar due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.

CoStar Group Q3 Earnings Beats Estimate, Revenue Increased Y/Y

CoStar Group reported non-GAAP earnings of 22 cents per share in third-quarter 2024, which surpassed the Zacks Consensus Estimate by 37.50% but plunged 26.7% year over year.

Revenues of $693 million missed the Zacks Consensus Estimate by 0.55% and increased 10.9% year over year. The upside was driven by robust performance in key segments.

CSGP raised its top-line guidance for fiscal 2024 based on the third-quarter 2024 results and robust performance in key segments.

CSGP’s Q3 Top-Line Details

CoStar Group revenues (37.1% of revenues) of $257 million beat the consensus estimate by 0.14% and increased 10.1% year over year. 

Apartments.com revenues increased 16% year over year. Net new bookings in the third quarter amounted to $44 million.

Information Services revenues (4.8% of revenues) of $33 million missed the consensus mark by 3.65% and declined 26% year over year. 

Multifamily revenues (39.2% of revenues) of $272 million missed the consensus estimate by 0.66% but increased 15.5% year over year.

LoopNet revenues (10.2% of revenues) of $71 million missed the consensus mark by 0.11% but were up 5% year over year.

Third-quarter residential revenues (4% of revenues) were $27.7 million, which missed the consensus mark by 8.13% and increased 168.9% year over year. In the third quarter of 2024, Homes.com network traffic hit a record of 130 million unique visitors, a 17% increase year over year.

In the third quarter of 2024, Homes.com specifically had 85 million unique visitors, a 38% increase year over year.

Other marketplace revenues (4.7% of revenues) of $32.3 million beat the consensus mark by 1.41% but declined 3.9% year over year.

Per Google analytics, CoStar’s global websites reached a record 163 million average monthly unique visitors, a 28% increase year over year.

CoStar Group saw notable success in its U.K. residential real estate portal in the third quarter of 2024, where unique visitors increased 348% year over year and listings rose 45%. The company’s expansion into international markets is proving to be a promising growth strategy, especially in competitive real estate environments.

CSGP also launched new products targeting institutional clients, which contributed to its revenue growth. The lender product, in particular, saw 36% growth year over year.