Fubotv earnings beat by $0.10, revenue topped estimates
Investing.com - JPMorgan has raised its price target on Zillow (NASDAQ:Z) to $94.00 from $79.00 while maintaining an Overweight rating on the stock. The stock, currently trading at $87.51, is approaching its 52-week high of $89.39 and has delivered an impressive 103.91% return over the past year. According to InvestingPro analysis, Zillow appears to be trading above its Fair Value.
The firm noted that while Zillow’s second-quarter results did not show the usual upside compared to guidance and expectations, with Adjusted EBITDA coming in line with the high end of guidance, the third-quarter outlook remains solid with revenue expected to grow 14%-16% year-over-year. This projection aligns with the company’s recent performance, as InvestingPro data shows trailing twelve-month revenue growth of 15.31%, with strong financial health indicators including a robust current ratio of 3.34.
Zillow remains on track to grow 2025 revenue by mid-teens percentage, expand Adjusted EBITDA margin, and reach positive GAAP net income, despite the housing market remaining at a cyclical low with elevated macro uncertainty and increased competitive pressure. While currently not profitable on a trailing twelve-month basis, InvestingPro analysts expect the company to achieve profitability this year, with additional insights available in the comprehensive Pro Research Report.
JPMorgan highlighted strong execution across strategic initiatives, including Rentals with revenue growth expected to accelerate to approximately 45% in the second half versus 35% in the first half, and strong momentum in Enhanced Markets with coverage expanding to 27% of all connections.
The firm established a December 2026 price target of $94 based on approximately 23 times its 2027 estimated Adjusted EBITDA, citing confidence in Zillow’s ability to drive solid double-digit growth and expand margins toward the 45% target.
In other recent news, Zillow Group Inc (NASDAQ:ZG). announced its second-quarter 2025 financial results. The company reported earnings per share (EPS) of $0.40, which was slightly below the forecast of $0.42, representing a 4.76% miss. However, Zillow’s total revenue for the quarter reached $655 million, surpassing expectations of $647.7 million. This revenue growth was attributed to strong performance in the rentals and mortgages segments. Despite the EPS miss, the revenue beat highlights the company’s robust operational areas. Analysts and investors are keenly observing these developments, with some firms potentially reevaluating their outlooks. The recent earnings announcement is an essential factor for investors considering Zillow’s future performance.
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