Why is Zillow stock going down?
The closure of the company's Zillow Offers program sent shares falling after its third-quarter earnings. The homebuying business lost $381 million in the third quarter, according to its adjusted third-quarter Ebitda. As of Thursday's close, Zillow stock was down about 60% year to date.
Why is Zillow stock tanking?
On Tuesday, Zillow announced it's winding down its homebuying business after determining that the program could result in "too much earnings and balance-sheet volatility," explained Zillow co-founder CEO Rich Barton.
Is Zillow a strong buy?
Around 67% of home buyers use Zillow today, but Zillow is in only directly involved in around 5% of buying transactions and 3% of selling transactions, which is a huge gap.
Is Zillow in financial trouble?
Zillow Group Z -0.47%▼ said on Thursday that it lost $881 million on its algorithmic-driven home-flipping business last year in its first earnings report since the real-estate company shut down that operation in the fall.
Will Zillow stock recover?
Zillow will likely not return to profitability until the second half of this year. However, the company is the unquestioned leader in its segment of the real estate market and has myriad growth opportunities....About Z.SymbolLast Price% ChgZPre38.05 36.79-4.35% -3.31%Feb 16, 2022
Is Zillow a good stock to buy 2021?
Based on the company's outlook, it is currently trading at 9.5x 2021 Gross Profit and 19.5x 2021 IMT EBITDA. With over 44% EBITDA margins and solid top-line growth, Zillow's core internet/software business looks like a decent deal at these valuations.
Is Zillow stock overvalued?
(NOW - Get Rating) and Zillow Group, Inc. (Z - Get Rating), which look significantly overvalued at their current price levels given their weak growth prospects.
Is Zillow growing?
Zillow's business model is evolving, but investors don't appreciate the change. The business is rapidly growing and profitable, yet this stock is left cheaply priced.