Zillow Group Inc(ZG:NSD) Piper Sandler cuts to $57 from $64

Piper Sandler cut the target on Zillow Group Inc. to $57 from $64, and maintained the Neutral rating on the company’s stock.
Based on the Zillow Group Inc stock forecasts from 19 analysts, the average analyst target price for Zillow Group Inc is USD 88.13 over the next 12 months. Zillow Group Inc’s average analyst rating is Buy . Stock Target Advisor’s own stock analysis of Zillow Group Inc is Slightly Bearish, which is based on 4 positive signals and 7 negative signals. At the last closing, Zillow Group Inc’s stock price was USD 49.68. Zillow Group Inc’s stock price has changed by -0.25% over the past week, -13.63% over the past month and -66.65% over the last year.
What we like:
High market capitalization
This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.
Superior risk adjusted returns
This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.
Positive cash flow
The company had positive total cash flow in the most recent four quarters.
Positive free cash flow
The company had positive total free cash flow in the most recent four quarters.
What we don’t like:
High volatility
The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.
Overpriced compared to earnings
The stock is trading high compared to its peers on a price to earning basis and is above the sector median.
Overpriced compared to book value
The stock is trading high compared to its peers median on a price to book value basis.
Overpriced on cashflow basis
The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.
Highly leveraged
The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.
Overpriced on free cash flow basis
The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.
Low Earnings Growth
This stock has shown below median earnings growth in the previous 5 years compared to its sector