Zillow Group price target lowered to $87 from $92 at Citizens JMP

Citizens JMP analyst Andrew Boone lowered the firm’s price target on Zillow Group (ZG) to $87 from $92 and keeps an Outperform rating on the shares following a transfer of coverage. The firm acknowledges the challenging industry backdrop for property technology businesses today, but believes the macro environment is unlikely to get worse before interest rates start moving lower. With real estate one of the largest categories across the economy, and technology helping to increase information transparency, liquidity, and transactions overall, Zillow business can outperform the underlying industry’s growth rate, the analyst tells investors in a research note. Citizens JMP believes Zillow has a “sticky and scaled base” of app users as it touches two-thirds of the real estate shopping audience.