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 (3.5/5)
Our CoStar stock opinion is based on fundamentals of the company. This CoStar stock analysis is based on latest Q3 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy CSGP stock?
- CoStar sales grew by 12.5% year on year in 2016 Q3.
- The TTM operating margin was good at 16.4% for CoStar.
- LTM Net margins were good at 9.7% for CoStar.
- The company has an operating cash flow which is 2.6 times the net income. We see this as a positive signal.
- The company has a good Free Cash Flow (FCF) margin of 26.8%.
Should you sell CSGP stock?
- Trading at a PE ratio of 62, CSGP stock is overvalued in comparison to industry average multiple of 25.5.
- CSGP stock is trading at a PS multiple of 8.3, which is a negative when compared to the IT Services industry average multiple of 2.6.