Zillow Sees Stock Rise Amid Antitrust Concerns
With a strong Q1 2025 earnings report and a positive revenue outlook, Zillow Group is well-positioned for growth, but the antitrust allegations pose a significant challenge to the company's business practices and reputation, and the outcome of this case will have important implications for the US housing market and the real estate industry as a whole.
Zillow Group, Inc. has reported a 1.76% increase in its stock price, closing at $68.67 per share, following the release of its Q1 2025 earnings, which showed a profit and increasing revenue. The company's integrated transaction experiences and comprehensive marketing software for the real estate industry have contributed to its growth, with affiliates and subsidiaries including Zillow, Trulia, and Out East.
The company's Q2 revenue outlook has been set, and analysts have revised their estimates, with a consensus of 29 analysts recommending a buy or outperform rating and an average target price of $78.88. Zillow Group operates in the real estate services sector with 6,819 employees, providing a range of services to movers and the real estate industry. However, the company is facing allegations of conspiring with competitors to limit competition and stifle innovation in the US housing market.
A competing firm has filed an antitrust complaint, accusing Zillow and at least two other companies of working together to steer all US home listings to Zillow's search platform and punishing sellers for engaging with competitors. This has raised concerns about the company's business practices and their impact on the US housing market. Despite these concerns, Zillow's stock price has continued to rise, indicating investor confidence in the company's future prospects.
As the real estate industry continues to evolve, Zillow Group's growth and revenue outlook will be closely watched by investors and analysts. The company's response to the antitrust allegations and its efforts to address concerns about competition and innovation in the US housing market will be crucial in determining its future success.