Zillow target lowered, removed from ‘Tactical Outperform’ list at Evercore ISI

Evercore ISI lowered the firm’s price target on Zillow Group to $50 from $70 and keeps an Outperform rating on the shares following what it calls “Beat & Lower Q1 EPS Results.” The firm is also closing its “Tactical Outperform” call, stating that its call “was wrong” as it had underappreciated the near-term macro headwinds, especially for first time homebuyers, from the recent spike in interest rates. Following the report, the firm’s FY24 and FY25 revenue estimates come down about 2% and its EBITDA estimates come down 7%-9%, the analyst noted.