Zillow price target lowered to $70 from $85 at Bernstein

Bernstein lowered the firm’s price target on Zillow (Z) to $70 from $85 and keeps an Outperform rating on the shares. Zillow’s Q1 print was better than feared, but the forward guidance was disappointing, with the company talking down on Residential revenue growth and offering some near-term margin lumpiness, the firm says. The silver lining is that management has now cut expectations, anchoring on an assumption of no volume growth in Existing Home Sales – in a cyclical market with no improvement, this is perhaps the smarter move to clear the decks and puts Zillow in a better position to deliver upside moving through the second half of 2026, Bernstein argues.