CoStar Stock Analysis (NASDAQ:CSGP)
CoStar Analysis Video
View CoStar stock analysis video. This is our CSGP analyst opinion covering the buy and sell arguments for CSGP stock.
CoStar Group Inc Stock Rating (3.1/5)
Our CoStar stock opinion is based on fundamentals of the company. This CoStar stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy CSGP stock?
- CoStar sales grew by 13.1% year on year in 2016 Q4.
- CoStar had a healthy average operating margin of 20% over the last 4 quarters.
- Net margins stood at a healthy 10.2% (average) for CoStar in the Trailing Twelve Months.
- The operating cash flow looks good at 1.8 times the net income.
- The company has a healthy free cash flow margin of 20.7%.
Should you sell CSGP stock?
- CoStar is debt laden and has a high debt/equity ratio of 0.21.
- The CSGP stock currently trades at a PE of 58.2, which is expensive, compared to the industry average of 25.7.
- The company is trading at a price to sales multiple of 8, which is higher in comparison to the IT Services industry average of 2.6, making CSGP stock expensive.