CoStar Group Stock Surges 9.75% in Four Days, Trading Volume Ranks 283rd in Market

On July 24, 2025, CoStar Group (CSGP) saw a 2.15% increase in its stock price, marking four consecutive days of gains and a 9.75% rise over the past four days. The company's trading volume for the day was $412 million, placing it 283rd in the overall market.

CoStar Group reported a 15% year-over-year increase in revenue for the second quarter of 2025, reaching $781 million. This marks the 57th consecutive quarter of double-digit revenue growth for the company. The strong revenue performance was driven by significant growth in the company's commercial real estate information and marketplace businesses, which achieved a profit margin of 43%. Net new bookings for the quarter totaled $93 million, a 65% increase from the previous quarter and a new record for the company.

CoStar Group's adjusted EBITDA for the second quarter of 2025 was $85 million, representing a 108% increase compared to the same period in 2024. The company's commercial real estate information and marketplace businesses delivered an outstanding profit margin of 43% this quarter. Net new bookings totaled $93 million, a remarkable 65% increase over the previous quarter. This sets a new record as the highest quarterly net new bookings in CoStar Group’s history. The company is seeing strong performance across all its business segments, driven by strategic investments in expanding its sales force and innovative product development.

CoStar Group's Apartments.com segment had another excellent quarter with revenue up 11% from Q2 2024, reaching $292 million. The sales team achieved $45 million in net new bookings, the fourth highest quarter ever, representing a 20% increase year-over-year. Apartments.com is approaching an annual revenue run rate of $1.2 billion and maintains a very strong EBITDA margin. The company's Homes.com segment delivered a strong second quarter, achieving solidly positive sales growth after overcoming Q1 churn from the initial sales last year. Residential annualized net new bookings totaled $12 million for the quarter. The expanding sales force drove consistent monthly growth, with May sales increasing 5% over April and June sales increasing 15% over May. Revenue for Q2 compared grew by 8% compared to Q2 of 2024. The company signed 6,300 net new members, representing a 56% increase in membership during the quarter.

CoStar Group's LoopNet segment generated more net new business in the first half of 2025 than the entirety of 2024. Net new bookings in the first half of 2025 surged by 345% compared to the same period last year. Consequently, revenue growth accelerated sequentially from Q1 and increased by 8% year-over-year. The company expects LoopNet’s revenue growth to exceed 10% in the second half of 2025, moving to double-digit growth. Despite ongoing challenges and volatility in the commercial real estate market, CoStar Group has implemented significant changes to unlock LoopNet’s full potential. The company's focus on selling LoopNet packages that enable advertisers to promote their entire portfolio rather than a selected few properties has been working well, and the rollout of asset-based pricing continues to yield positive outcomes.