CoStar Group Provides 2026 Outlook, Announces $1.5 Billion Share Repurchase

(RTTNews) - CoStar Group, Inc. (CSGP) on Wednesday provided an update on its business, financial, and corporate initiatives for 2026 and beyond, including the approval of a new $1.5 billion share repurchase program.

For 2026, the company expects revenue of $3.78-$3.82 billion, about 18% growth over the midpoint of its 2025 guidance. Net income is projected at $175-$215 million, or $0.42-$0.52 per share. Adjusted EBITDA is expected to reach $740-$800 million, marking the highest level in company history. Adjusted EPS is forecast at $1.22-$1.33.

Looking ahead, CoStar has set medium-term targets that include about 15% compound annual growth rate (CAGR) in revenue through 2028 and adjusted EBITDA of $1.25 billion by 2028.

Homes.com, part of CoStar's Residential portfolio with Apartments.com, Domain, OnTheMarket, and Land.com, has seen its subscriber base surge 337% since the first quarter of 2024. CoStar plans to reduce net investment in Homes.com by more than $300 million in 2026, down from $850 million in 2025, and expects the platform to generate revenue exceeding expenses by 2029 and positive Adjusted EBITDA by 2030.

"Through the deployment of our scalable AI platform and our disciplined capital allocation approach, we are well positioned to build on our strong trajectory and drive enhanced stockholder value," said Andy Florance, Founder and Chief Executive Officer of CoStar Group.

The $1.5 billion share repurchase follows an accelerated $500 million buyback completed in 2025.

CoStar shares were rising more than 3% in pre-market trading after closing at $67.20, up 1.17%.