Zillow Group (NASDAQ:Z) Reaches New 12-Month High - Should You Buy?

Zillow Group, Inc. (NASDAQ:Z) has recently made headlines after its stock reached a new 52-week high, marking a significant achievement in the stock market. On Friday, the stock climbed as high as $86.88 and ended the day trading at $84.86, with a trading volume of approximately 969,397 shares. Previously, it closed at $85.45.

Analyst Opinions

Several analysts have recently provided insights regarding Zillow Group's performance and future outlook. Morgan Stanley updated its target price for the stock from $46.00 to $60.00, maintaining its "equal weight" rating as of October 2nd. Meanwhile, Craig Hallum upgraded Zillow Group to a "strong-buy" rating on August 8th. On September 16th, Wedbush changed their stance from "neutral" to "outperform," raising their price target from $50.00 to $80.00.

Additionally, Deutsche Bank increased its target price from $55.00 to $60.00 while affirming a "buy" rating as of August 9th. Needham & Company also reiterated a "hold" rating on November 7th. Overall, four analysts have suggested a hold rating, four have indicated a buy rating, and two analysts have given a strong buy rating to the stock. According to MarketBeat, the company holds an average rating of "Moderate Buy" and a target price of $70.33.

Zillow Group's Financial Indicators

The stock's 50-day moving average is $67.44, while its 200-day moving average stands at $55.51. The company reports a debt-to-equity ratio of 0.11, indicating a strong financial position. Its current and quick ratios are both at 3.13. Zillow Group has a market capitalization of $19.78 billion and a price-to-earnings ratio of -149.91, alongside a beta of 1.95, which reflects higher volatility compared to the market.

Insider Trading Activity

In other news, CFO Jeremy Hofmann recently sold 7,175 shares of Zillow stock on November 27th, with an average selling price of $85.36, resulting in a transaction valued at approximately $612,458. Following this sale, Hofmann now directly holds 99,362 shares of the company's stock, which is valued at around $8,481,540. This sale reflects a 6.73% decrease in Hofmann's ownership stake. It has also been noted that Director Amy Bohutinsky sold 20,625 shares on September 18th at an average price of $67.23, totaling about $1,386,618.75. This resulted in a 78.49% reduction in her direct ownership of the stock. In total, insiders sold 160,439 shares worth $11,576,823 over the last quarter, and currently, insiders own 23.76% of the company's shares.

Institutional Investments in Zillow Group

A variety of hedge funds have recently been active in buying and selling shares of Zillow Group. Synovus Financial Corp acquired a new position worth approximately $311,000 during the third quarter. Chiron Investment Management LLC purchased an estimated $1,291,000 worth, while Synergy Financial Group LTD also invested about $223,000. Groupama Asset Management notably bought a significant position valued at around $83,005,000. Additionally, Nomura Asset Management Co. Ltd. increased its holding by 15.1% during the same period, now owning 45,760 shares valued at about $2,922,000. Institutional investors collectively hold 71.01% of the stock.

About Zillow Group

Zillow Group, Inc. operates several real estate brands, primarily through mobile applications and websites across the U.S. It provides a range of services including premier agent marketplaces, rentals, new construction marketplaces, and business technology solutions. Additionally, Zillow Group offers mortgage origination services, advertising to financial service providers, and title and escrow services.

Investing Considerations

Before making any investment in Zillow Group, it's essential to consider the opinions of financial analysts. While the stock currently holds a "Moderate Buy" rating on average, some analysts suggest alternative stocks that might be better investments at this time. Careful research and consideration of individual investment goals are crucial before deciding to buy shares of Zillow Group.

Zillow, Stocks, Investment