At last check Zillow shares were 21% higher at $66.12. The company's all-time closing high is $65.57.
Wedbush analyst Ygal Arounian raised his price target to $65 a share from $39. “The opportunity is large, but Zillow is going through a gigantic pivot that we don’t want to underestimate the challenges of, particularly as the race to dominate the end-to-end residential real estate technology stack picks up,” Arounian said.
The online home search company saw its price target raised to $75 from $59 with a buy rating at Benchmark Capital.
“Zillow appears to have already baked in some 2020 cushion via Flex testing,” Benchmark analyst Daniel Kurnos wrote. “It always seems to be a bumpy ride but we expect Zillow will be able to continue its momentum over the course of the next 12 months.”
Goldman Sachs analyst Heath Terry raised his price target to $57 from $39, though the firm maintained its neutral rating. “We continue to believe in the long-term opportunity for Zillow to leverage its brand, traffic, data, and resources to create efficiencies in the real estate market,” Terry wrote.
Guggenheim affirmed its buy rating and $54 price target as the firm sees Zillow continuing to receive a pass on its “negative unit economics,” and the loss from the fast-growing home-flipping unit.
Zillow reported a net loss of 49 cents a share compared with 48 cents in the year-earlier quarter. Revenue reached $943.9 million from $365.3 million.
A survey of analysts by FactSet was estimating the company would post a GAAP net loss of 57 cents a share, or an adjusted 35 cents, on revenue of $814.6 million.
Zillow's services include, among others, sale and rental listings, a method of buying and selling homes, home- loan services through an affiliated lender, neighborhood and agent reviews, and public- record information about home values.