Overview

* Zillow ( ZG ) Q2 revenue grows 15% yr/yr, exceeding company outlook

* Adjusted EBITDA at $155 mln, driven by revenue growth and cost management

* Mortgages revenue up 41% yr/yr, driven by 48% rise in loan origination

Result Drivers

* MORTGAGES GROWTH - Mortgages revenue increased 41% yr/yr to $48 mln, driven by a 48% rise in purchase loan origination volume

* RENTALS REVENUE - Rentals revenue rose 36% yr/yr to $159 mln, primarily due to 56% growth in multifamily revenue

* FOR SALE REVENUE - For Sale revenue grew 9% yr/yr to $482 mln, with improvements in agent and software offerings and New Construction marketplace

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $655 mln

Revenue

Q2 Net $2 mln

Income

Q2 $155 mln

Adjusted

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 12 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the real estate services peer group is "buy"

* Wall Street's median 12-month price target for Zillow Group Inc ( ZG ) is $81.00, about 2.2% above its August 5 closing price of $79.25

* The stock recently traded at 42 times the next 12-month earnings vs. a P/E of 36 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)