Is Zillow Stock a Good Investment?

Zillow Investment Advice

To provide specific investment advice or recommendations on Zillow Group stock, we recommend investors consider the following general factors when evaluating Zillow Group. This will help you to make an informed decision on whether to include Zillow in one of your diversified portfolios:

Examine Zillow's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Zillow's leadership team and their track record. Good management can help Zillow navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Real Estate Management & Development space and any emerging trends that could impact Zillow's business and its evolving consumer preferences.
Compare Zillow's performance and market position to its competitors. Analyze how Zillow is positioned in terms of product offerings, innovation, and market share.
Check if Zillow pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Zillow's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Zillow Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Zillow Group is a good investment.

Sell

Buy

Strong Buy

Macroaxis provides trade recommendation on Zillow to complement and cross-verify current analyst consensus on Zillow Group. Our trade advice engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Zillow Group is not overpriced, please check out all Zillow Group fundamentals, including its debt to equity, and the relationship between the gross profit and price to earnings to growth . Given that Zillow Group has a number of shares shorted of 1.31 M, we strongly advise you to confirm Zillow Group market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevalent risk tolerance and investing horizon.

Market Performance	Good	Details
Volatility	Very steady	Details
Hype Condition	Under hyped	Details
Current Valuation	Overvalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Barely shadows the market	Details
Investor Sentiment	Alarmed	Details
Analyst Consensus	Buy	Details
Financial Strenth (F Score)	Healthy	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	Details

Examine Zillow Stock

Researching Zillow's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 86.0% of the company outstanding shares are owned by institutional investors. The book value of Zillow was at this time reported as 19.95. The company has Price/Earnings To Growth (PEG) ratio of 0.72. Zillow Group recorded a loss per share of 0.58. The entity had not issued any dividends in recent years. The firm had 3207:1000 split on the 17th of August 2015.

To determine if Zillow is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Zillow's research are outlined below:

	Zillow Group appears to be risky and price may revert if volatility continues
	The company generated the yearly revenue of 1.95 B. Annual Net Loss to common stockholders was (158 M) with gross profit of 1.59 B.
	Over 86.0% of the company outstanding shares are owned by institutional investors
	Latest headline from finance.yahoo.com: Constrafor raises Series A with 14M Equity and 250M credit facility to solve construction industry challenges

Zillow Quarterly Cost Of Revenue

140 Million

Zillow uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Zillow Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Zillow's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	13th of February 2024 Upcoming Quarterly Report	View
	1st of May 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	13th of February 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	31st of December 2022 Last Financial Announcement	View

Earnings surprises can significantly impact Zillow's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Zillow's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2018-05-07	2018-03-31	0.06	0.07	0.01	16
2015-02-13	2014-12-31	0.09	0.08	-0.01	11
2014-11-05	2014-09-30	0.03	0.04	0.01	33
2014-08-05	2014-06-30	-0.01	-0.02	-0.01	100
2013-11-05	2013-09-30	-0.03	-0.02	0.01	33
2011-11-02	2011-09-30	0.01	0.02	0.01	100
2017-11-07	2017-09-30	0.17	0.19	0.02	11
2016-02-11	2015-12-31	0.01	-0.01	-0.02	200

Know Zillow's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Zillow is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Zillow Group backward and forwards among themselves. Zillow's institutional investor refers to the entity that pools money to purchase Zillow's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Morgan Stanley - Brokerage Accounts	2024-06-30	456.6 K
Ubs Group Ag	2024-06-30	437.1 K
Ogborne Capital Management, Llc	2024-09-30	425 K
Voloridge Investment Management, Llc	2024-09-30	419.3 K
Dimensional Fund Advisors, Inc.	2024-09-30	418.3 K
Fayez Sarofim & Company	2024-09-30	405.4 K
D. E. Shaw & Co Lp	2024-09-30	387.1 K
Camelot Capital Partners Llc	2024-06-30	385.8 K
Technology Crossover Management Viii, Ltd.	2024-09-30	384.3 K
Caledonia (private) Investments Pty Ltd	2024-09-30	14.7 M
Vanguard Group Inc	2024-09-30	7 M

Note, although Zillow's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Zillow's market capitalization trends

The company currently falls under 'Large-Cap' category with a market capitalization of 19.77 B.

Market Cap

23.24 Billion

Zillow's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	(0.04)	(0.05)
Return On Capital Employed	(0.05)	(0.05)
Return On Assets	(0.02)	(0.02)
Return On Equity	(0.03)	(0.04)

The company has Net Profit Margin (PM) of (0.06) %, which may indicate that it does not properly execute on its own pricing strategies. This is way below average. Likewise, it shows Net Operating Margin (NOM) of (0.08) %, which signifies that for every 100 dollars of sales, it has a net operating loss of $0.08.

Determining Zillow's profitability involves analyzing its financial statements and using various financial metrics to determine if Zillow is a good buy. For example, gross profit margin measures Zillow's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Zillow's profitability and make more informed investment decisions.

Evaluate Zillow's management efficiency

Zillow Group has Return on Asset (ROA) of (0.0209) % which means that for every 100 dollars spent on asset, it generated a loss of $0.0209. This is way below average. Likewise, it shows a return on total equity (ROE) of (0.029) %, which implies that it produced no returns to current stockholders. Zillow's management efficiency ratios could be used to measure how well Zillow manages its routine affairs as well as how well it operates its assets and liabilities. The current Return On Tangible Assets is estimated to decrease to -0.05. The current Return On Capital Employed is estimated to decrease to -0.05. At this time, Zillow's Net Tangible Assets are most likely to increase significantly in the upcoming years. The Zillow's current Fixed Asset Turnover is estimated to increase to 6.80, while Other Assets are projected to decrease to roughly 26.4 M.

	Last Reported	Projected for Next Year
Book Value Per Share	19.38	20.35
Tangible Book Value Per Share	6.28	3.50
Enterprise Value Over EBITDA	110.84	116.38
Price Book Value Ratio	2.99	2.84
Enterprise Value Multiple	110.84	116.38
Price Fair Value	2.99	2.84
Enterprise Value	26.9 B	23.9 B

At Zillow Group, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.

Beta

2.017

Basic technical analysis of Zillow Stock

As of the 30th of November, Zillow maintains the Downside Deviation of 2.2, mean deviation of 2.17, and Market Risk Adjusted Performance of 5.71. Relative to fundamental indicators, the technical analysis model lets you check existing technical drivers of Zillow Group, as well as the relationship between them. Please check out Zillow Group variance and potential upside to decide if Zillow Group is priced fairly, providing market reflects its latest price of 81.53 per share. Given that Zillow Group has jensen alpha of 0.652, we strongly advise you to confirm Zillow Group's prevalent market performance to make sure the company can sustain itself at a future point.

Zillow's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Zillow insiders, such as employees or executives, is commonly permitted as long as it does not rely on Zillow's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Zillow insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

		Jeremy Wacksman over six months ago Sale by Jeremy Wacksman of 533 shares of Zillow
		Jeremy Wacksman over a year ago Exercise or conversion by Jeremy Wacksman of 512 shares of Zillow subject to Rule 16b-3
		Jeremy Wacksman over a year ago Sale by Jeremy Wacksman of 4505 shares of Zillow
		Jeremy Wacksman over a year ago Exercise or conversion by Jeremy Wacksman of 504 shares of Zillow subject to Rule 16b-3
		Jeremy Wacksman over a year ago Sale by Jeremy Wacksman of 4432 shares of Zillow
		Jeremy Wacksman over a year ago Acquisition by Jeremy Wacksman of 78750 shares of Zillow subject to Rule 16b-3

Zillow's Outstanding Corporate Bonds

Zillow issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Zillow Group uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Zillow bonds can be classified according to their maturity, which is the date when Zillow Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

	Dana 575 percent Corp Bond US235822AB96	View
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	Boeing Co 2196 Corp Bond US097023DG73	View
	ZIGGO BD FIN Corp Bond US98954UAB98	View
	HSBC Holdings PLC Corp Bond US404280DR76	View
	MPLX LP 52 Corp Bond US55336VAL45	View
	ZIMMER BIOMET HLDGS Corp Bond US98956PAG72	View
	ZIMMER BIOMET HLDGS Corp Bond US98956PAF99	View

View All Zillow Corporate Bonds

Understand Zillow's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Zillow's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.1436
	Market Risk Adjusted Performance	5.71
	Mean Deviation	2.17
	Semi Deviation	1.63
	Downside Deviation	2.2
	Coefficient Of Variation	563.56
	Standard Deviation	3.81
	Variance	14.55
	Information Ratio	0.1414
	Jensen Alpha	0.652
	Total Risk Alpha	0.0301
	Sortino Ratio	0.2446
	Treynor Ratio	5.7
	Maximum Drawdown	26.75
	Value At Risk	(2.75)
	Potential Upside	4.82
	Downside Variance	4.86
	Semi Variance	2.67
	Expected Short fall	(2.62)
	Skewness	3.97
	Kurtosis	25.27

	Risk Adjusted Performance	0.1436
	Market Risk Adjusted Performance	5.71
	Mean Deviation	2.17
	Semi Deviation	1.63
	Downside Deviation	2.2
	Coefficient Of Variation	563.56
	Standard Deviation	3.81
	Variance	14.55
	Information Ratio	0.1414
	Jensen Alpha	0.652
	Total Risk Alpha	0.0301
	Sortino Ratio	0.2446
	Treynor Ratio	5.7
	Maximum Drawdown	26.75
	Value At Risk	(2.75)
	Potential Upside	4.82
	Downside Variance	4.86
	Semi Variance	2.67
	Expected Short fall	(2.62)
	Skewness	3.97
	Kurtosis	25.27

Consider Zillow's intraday indicators

Zillow intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Zillow stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	6973.8
	Daily Balance Of Power	(0.37)
	Rate Of Daily Change	0.99
	Day Median Price	82.59
	Day Typical Price	82.23
	Price Action Indicator	(1.45)
	Period Momentum Indicator	(0.80)
	Relative Strength Index	73.68

Zillow Corporate Filings

F4	27th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities	View Verify
F3	21st of November 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock	View Verify
8K	14th of November 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify
13A	13th of November 2024 An amended filing to the original Schedule 13G	View Verify

Zillow time-series forecasting models is one of many Zillow's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Zillow's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Zillow Stock media impact

Far too much social signal, news, headlines, and media speculation about Zillow that are available to investors today. That information is available publicly through Zillow media outlets and privately through word of mouth or via Zillow internal channels. However, regardless of the origin, that massive amount of Zillow data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of Zillow news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Zillow relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Zillow's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Zillow alpha.

Zillow Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards Zillow can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

Zillow Corporate Management

Bradley Owens	General VP	Profile
David Beitel	Chief Officer	Profile
Dan Spaulding	Chief People Officer	Profile
Allen Parker	Chief Officer	Profile
Jun Choo	Chief Officer	Profile

Already Invested in Zillow Group?

The danger of trading Zillow Group is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Zillow is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Zillow. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Zillow Group is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.