Quality score · CSGP · Real Estate

Is CoStar Group Inc a quality business?

CoStar Group Inc (CSGP) scored on five pillars from its reported financial statements, and ranked against 84 Real Estate companies.

4.8/ 10
Mixed quality
as of October 19, 2026
Profitability
2.0 Weak
Solvency
9.0 Strong
Growth
2.7 Weak
Efficiency
6.9 Average
Predictability
4.9 Average
Strongest pillar: Solvency · Weakest: Profitability

CoStar Group Inc (CSGP) scores 4.8 out of 10 as of , computed from its reported financial statements. That reads as mixed quality. The reading rests on solvency, and profitability is what holds it back.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does CoStar Group Inc have an economic moat?

Not enough data

We cannot judge CoStar Group Inc yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

How CoStar Group Inc scores

As of October 19, 2026, CoStar Group Inc scores 4.8 out of 10 on the Lemma Quality Score, a reading of mixed quality. In this band one or two pillars are usually holding the score up while others drag it down, which the breakdown below makes visible. Nothing in it comes from the share price or from forecasts: it is CoStar Group Inc’s own reported numbers, scored pillar by pillar.

Among the 84 Real Estate companies with a published score, that ranks at the 43rd percentile, in the weaker half of its peers. A typical company in the group scores 5.2, and the best quarter starts from 5.9. CoStar Group Inc is in line with that typical reading.

Pillar by pillar

Profitability

Profitability scores 2.0 out of 10, which reads as weak. The median across 80 Real Estate companies is 4.8, so CoStar Group Inc is well below its peers on this pillar and ranks at the 19th percentile. A low reading here is the first thing to explain: it is the pillar most closely tied to whether the business creates value at all.

Solvency

Solvency scores 9.0 out of 10, which reads as strong. The median across 34 Real Estate companies is 3.7, so CoStar Group Inc is well above its peers on this pillar and ranks at the 91st percentile. Strong solvency points to a balance sheet that can carry its debts comfortably, with interest well covered and little pressure from creditors.

Growth

On growth, CoStar Group Inc scores 2.7, a weak reading. Its peers have a median of 5.2 across 74 Real Estate companies, which places it well below them, at the 14th percentile. Weak growth means revenue and earnings have been flat or shrinking against peers, which can be cyclical or a sign of a market that is maturing.

Efficiency

CoStar Group Inc’s efficiency score is 6.9 out of 10 (average). Against a median of 6.4 among 80 Real Estate companies, that is above the group and the 62nd percentile. Middling efficiency is unremarkable on its own, though improvements here tend to show up in free cash flow first.

Predictability

CoStar Group Inc’s predictability score is 4.9 out of 10 (average). Against a median of 4.9 among 83 Real Estate companies, that is in line with the group and the 51st percentile. An average predictability reading means results have wobbled about as much as is normal for the sector.

Strongest and weakest pillar

The gap between CoStar Group Inc’s best and worst pillar is wide: solvency at 9.0 against profitability at 2.0, 7.0 points apart. An average of two readings this different deserves a closer look than the headline number. Leading with solvency is a defensive strength: it protects the business more than it grows it. Weak profitability can be cyclical, so it helps to know whether margins are at a low point or a long-run level.

What would move the score

Closing the gap on profitability would do the most for the overall. At the median of Real Estate companies, 4.8, CoStar Group Inc would score about 5.5 instead of 4.8. The weights add up to 100 points (profitability 25, solvency 20, growth 20, efficiency 15, predictability 20), and CoStar Group Inc has a reading on every pillar.

CoStar Group Inc and similar companies

For a fair comparison, start with companies of a similar size: the Real Estate companies below are nearest to CoStar Group Inc by market value, each scored on the same pillars.

What each pillar measures

Profitability

2.0 / 10

How much profit the company generates from its capital and sales.

Solvency

9.0 / 10

The company’s ability to service debt and meet its obligations.

Growth

2.7 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

6.9 / 10

How well assets and earnings convert into cash and output.

Predictability

4.9 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is CoStar Group Inc a quality business?

On this reading CoStar Group Inc scores 4.8 out of 10, which reads as mixed quality. Its strongest pillar is solvency, its weakest is profitability. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does CoStar Group Inc compare with other Real Estate companies?

CoStar Group Inc ranks at the 43rd percentile of the 84 Real Estate companies Lemma publishes a score for. The median there is 5.2 and the top quarter starts at 5.9, against CoStar Group Inc’s 4.8.

What does the CSGP quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 19, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for CSGP are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

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