-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We reiterate our 12-month price target of $50, which is 22x our 2026 EPS view. Our multiple is a discount to ZG's three-year mean of 40x, which we believe appropriately reflects the overhang from the FTC's antitrust investigation. However, our EPS expectations model continued strong execution of its strategy. We model 2026 revenue of $2.981B (15.4% growth), driven by market share gains and Rentals momentum. We forecast a 25.3% EBITDA margin in 2026, representing 130 bps of expansion, which will be heavily weighted to the second half as significant legal and marketing investments from the first half abate. We raised our 2026 EPS to $2.27 from $2.00 and 2027 to $3.00 from $2.50. Ultimately, ZG's valuation, trading at a 50% discount, offers a compelling entry point. We believe the market is overly focused on near-term litigation and macroeconomic headwinds, while underappreciating the AI-accelerated earnings power that will be unlocked as ZG continues executing amid a normalizing housing market.