Z Stock Analysis: Buy, Sell, or Hold?

Z - Zillow Group, Inc. Class C Capital Stock

SERVICES-BUSINESS SERVICES, NEC
$45.28
0.88 (1.98%) ▲
5d: -0.29%
30d: +11.83%
90d: -28.16%
BUY
HIGH Confidence
Analysis Updated: May 1, 2026 12:00 AM ET
Earnings: May 06, 2026 3d

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
✅ BUY SIGNAL: Z trading at deep discount. Market pricing in -11.4% annual earnings decline, creating value opportunity for patient investors.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$126.95
Based on 14.5% avg growth
INTRINSIC VALUE TODAY
$78.83
42.6% Margin of Safety

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 21.9x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: Z is currently trading at $45.28, which is considered slightly high relative to its 30-day fair value range of $40.91 to $45.46. From a valuation perspective, the stock is trading at a discount (Forward PE: 15.2) compared to its historical average (21.9). Remarkably, the market is currently pricing in an annual earnings decline of 11.4% over the next few years. This aligns with recent fundamental challenges.

Technical Outlook: Technically, Z is in a strong downtrend. Immediate support is located at $42.98, while resistance sits at $48.44.

Market Sentiment: Z has a strong technical setup (60/100), with favorable trendlines, momentum, and price action for short-term traders. Wall Street analysts see significant upside, with an average price target of $71.83 (+58.6%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.

Quick Decision Summary

Current Position SLIGHTLY HIGH
Historical Trading Range $40.91 - $45.46
Company Quality Score 64/100 (BUY)
Volume Confirmation HIGH
Confidence Score 76.2%

All Signals

  • BULLISH: Strong technical setup (60/100)
  • BULLISH: High volume confirmation
  • BULLISH: Trading 58.6% below Wall St target ($71.83)

Trading Range Analysis

30-Day Trading Range $40.91 - $45.46
Current vs Trading Range SLIGHTLY HIGH

Support & Resistance Levels

Support Level $42.98
Resistance Level $48.44
Current Trend Strong Downtrend
Technical data as of May 1, 2026

Fundamental Context

Forward P/E (Next Year Est.) 15.21
Wall Street Target $71.83 (+58.6%)
Revenue Growth (YoY) 18.1%
Earnings Growth (YoY) -25.0%
Profit Margin 0.9%
Valuation Discount vs History -11.4% cheaper
PE vs Historical 15.2 vs 21.9 CHEAP
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -11.4% (market-implied from PE analysis)
1-Year Target $40.75 (-10%)
2-Year Target $36.68 (-19%)
3-Year Target $33.01 (-27%)
3-Yr Target (if PE normalizes) (PE: 15→22) $47.52 (+5%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 20.6, Growth: 34.0%) $147.57 (+226%)
Base: (SPY PE: 15.2, Growth: 34.0%) $108.86 (+140%)
Bear: (PE: 12.9, Growth: 34.0%) $92.53 (+104%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (21x PE), but valuation improves significantly next year (15x PE) as earnings recover.
Forward PE: 21.28 | Forward EPS (Implied): $2.13
Bull Case $54.68 (+21%)
Analyst growth 15.0%, PE expands to 22.3
Base Case $45.28 (0%)
Market implied 0.0%, PE stable at 21.3
Bear Case $34.64 (-24%)
Severe decline -15.0%, PE contracts to 19.2
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡 Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 15.2 to 21.9
Stabilization Target: $65.19 (+44.0%)
PE Expansion Potential: +44.0%
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Last updated: May 02, 2026 3:33 AM ET
Data refreshes hourly during market hours. Next update: 4:33 AM
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Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
20
Sells
Net
INSIDERS SELLING
Recent Transactions
Jeremy Hofmann SELL 7786 shares 2026-02-18
Dan Spaulding SELL 5361 shares 2026-02-17
Jeremy Wacksman SELL 13661 shares 2026-02-17

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