Zillow Group stock price target maintained at $85 by DA Davidson

Investing.com - DA Davidson has reiterated its Buy rating on Zillow Group (NASDAQ:ZG) with a price target of $85.00, representing a 34x multiple on the company’s 2025 EV/EBITDA. Currently trading at $74.89, Zillow has shown strong momentum with nearly 50% returns over the past year. According to InvestingPro data, analyst price targets range from $60 to $100, with the company’s next earnings report due on August 6.

The firm’s analysis indicates that Zillow’s Showcase Listing offering continues to gain market share among available for-sale home listings across the United States.

DA Davidson noted that the pace of penetration for Showcase Listings has accelerated since early 2024, driven by customer growth, an increase in Showcase Listings per customer, and potential seasonal factors.

The research firm is also observing more consistent patterns emerging in the retention metrics for the Showcase Listing product.

The $85 price target maintained by DA Davidson reflects the firm’s confidence in Zillow’s expanding market position and growth trajectory in the real estate listing sector.

In other recent news, Zillow Group’s financial performance and strategic initiatives have garnered significant attention from analysts. Benchmark analyst Daniel Kurnos adjusted Zillow’s price target to $95, maintaining a Buy rating, after the company’s first-quarter earnings exceeded expectations. However, the second-quarter forecast fell short, and the analyst noted the unchanged full-year guidance despite economic challenges. Meanwhile, Piper Sandler reaffirmed an Overweight rating with an $82 price target, highlighting Zillow’s strengthened balance sheet and potential path to profitability. JMP Securities initiated coverage with a Market Outperform rating and emphasized Zillow’s extensive user base and strategic partner consolidation.

Citi reiterated a Buy rating with an $83 price target, citing increased adoption of Zillow Showcase Listings, which contributed to significant revenue in June. Bernstein maintained a Market Perform rating with a $65 target, focusing on Zillow’s progress toward its "housing super-app" vision and potential in the Rentals sector. These developments reflect varied analyst perspectives on Zillow’s growth trajectory and market positioning. Investors are closely watching Zillow’s strategic moves and financial performance amid evolving real estate market conditions.

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