Zillow Group price target lowered to $95 from $100 at KeyBanc

KeyBanc lowered the firm’s price target on Zillow (Z) Group (ZG) to $95 from $100 and keeps an Overweight rating on the shares. The firm notes Zillow posted solid 4Q results that were above the Street but below its estimates. The primary reason for Zillow’s shortfall vs. KeyBanc’s estimates was its expectation for continued outperformance compared to the broader real estate industry. This did not materialize, as the broader industry experienced outsized benefits from lower mortgage rates within the quarter. Bigger picture, the firm believes Zillow remains well-positioned for share gains over the course of 2025, driving double-digit revenue growth and healthy margin expansion.