BTIG Cuts CoStar Price Target to $60 Despite Q4 Beat and Steady FY26 Sales Guidance
BTIG cut its CoStar price target from $80 to $60, implying 34% upside after recent trading levels. CoStar reported Q4 EPS of $0.31 versus $0.27 consensus and Q4 revenue of $900 million against $886 million, while maintaining FY2026 sales guidance at $3.78 billion–$3.82 billion.
1. BTIG Price Target Adjustment
BTIG lowered its CoStar price target from $80 to $60, signaling a possible 34% return based on recent share levels. The adjustment reflects revised valuation assumptions following CoStar’s latest financial disclosures.
2. Q4 Earnings and Revenue Performance
CoStar delivered Q4 EPS of $0.31, topping estimates of $0.27, and reported revenue of $900 million versus consensus of $886 million. This marked the company’s 59th consecutive quarter of double-digit revenue growth.
3. FY2026 Guidance and Growth Metrics
CoStar reaffirmed its FY2026 sales outlook at $3.78 billion–$3.82 billion, projecting adjusted EPS between $1.22 and $1.33. Management highlighted an 83% year-over-year rise in adjusted EBITDA and the launch of Homes AI.
4. London Office Yield Compression Data
CoStar data revealed sharp compression in London office yields during 2025, signaling stronger investor demand and rising asset valuations in the commercial real estate market.