Costar targets $1.25B adjusted EBITDA in 2028 as it raises 2026 adjusted EBITDA outlook to $820M-$840M (NASDAQ:CSGP)
CoStar Group (CSGP) reported Q3 2026 revenue of $952M, up 14% YoY, with record adjusted EBITDA of $229M and net income of $74M. The company raised its 2026 adjusted EBITDA outlook to $820M-$840M and targets $1.25B for 2028, according to CEO Andrew Florance.
How this was made
The 30-second read
Why it matters
The earnings beat and guidance raise provide fresh material for traders to reassess valuation.
Market read
The earnings release and upgraded outlook are material for equity investors and may influence sector sentiment.
What to watch
Potential macro‑economic slowdown could temper demand for CoStar's services despite the guidance lift.
Background
CoStar Group is a leading provider of commercial real‑estate information and analytics.
Ticker impact
CoStar Group reported Q3 2026 revenue of $952M, adjusted EBITDA of $229M and raised 2026 adjusted EBITDA guidance to $820M-$840M.
likely upward pressure as investors price in higher earnings expectations
The company increased its adjusted EBITDA outlook, indicating better profitability than previously expected, which typically supports a price rally.
Market effects
Higher guidance may boost confidence in the commercial real‑estate data sector.
U.S. market participants may adjust exposure to data‑service providers.
Limited to investors tracking large‑cap U.S. information services.
Counterpoint
If the guidance raise is already priced in, the stock could face a short‑term pullback.
Key entities
- CompanyCoStar Group
Provider of commercial real‑estate data and analytics.
