CoStar Group, Inc.

AI-generated fair value estimate for this company.

Method: 10-year owner-earnings DCF: net income ramping from a depressed $74.0M TTM base to a normalized $600M by year 3 (reflecting planned reduction in Homes.com marketing spend and margin recovery), growing 10%/yr through year 5, then 6%/yr years 6-10; 10% discount rate; 3.5% terminal growth; 405.20M shares.

Reasoning: CoStar's current earnings are temporarily depressed by heavy Homes.com marketing investment; a margin-normalization DCF better captures underlying intrinsic value than simply discounting the currently suppressed earnings base.