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Zillow Group, Inc. Class A

ZG
55
Internet Content & Information · Communication Services
Price
$36.78
+0.21 (+0.57%)
Market Cap
$8.84B
Exchange
NASDAQ
Winston Score
55
Winston is curious
A decent business — some strong pillars, some weaker.
Data as of Aug 23, 2026 · filings through Jun 30, 2026
How the score breaks down
Quality
Mixed
Growth
Good
Cash Flow
Strong
Stability
Good
Valuation
Good

Share count rising — dilution

+1.7% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 249.9M (2021) → 254.1M (2025)

Winston Score History

The full picture

Zillow Group runs the most-visited real estate website and app in the United States. It lets people search for homes to buy, rent, or sell, and it also offers mortgage tools and rental listings. The company owns well-known brands including Zillow, Trulia, and StreetEasy, and it serves home buyers, sellers, renters, and real estate agents.

Zillow makes most of its money by charging real estate agents and brokers for advertising and leads — connecting them with people who are actively looking to buy or sell a home. It operates almost entirely in the United States and generates over $2 billion in annual revenue. Its large audience gives it a network advantage, since more visitors attract more agents, which attracts more listings. The main growth driver is its "Super App" strategy, which aims to handle more of the home-buying process in one place, including mortgages and tours — but thin operating margins show the company is still working to turn that vision into consistent profit.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+17.9% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

-341.0% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$607M/ year

Flat (+4% vs prior year)

23.5% of revenue

2.0x the sector average (12%)

Steady R&D investment year-over-year

Insider Activity

12.6%ownership

Flat

Insider ownership roughly steady over the past year

Cash Runway

~7 years

$682M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

$682M cash & investments at current burn rate

Growth context

Zillow Group, Inc. Class A is growing revenue at 18% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

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Quality

Profit per sale
Gross Margin
72.8%
Premium pricing power — 72.8% gross margin
Profit after running costs
Operating Margin
-1.3%
Losing money on operations — -1.3%
Return on the money invested
ROCE
0.3%
Weak — 0.3% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales growth
Sales YoY
+17.7%
Fast-growing sales (+17.7% YoY)
Profit growth
EPS YoY
N/A
Data not available
How steady the profit is
EPS Consistency
7/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Profit that turns into cash
Cash Conversion
705%
Turns 705% of profit into real cash
Spare cash per sale
FCF Margin
9.4%
Modest free cash flow (9.4%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

What it owes vs what it owns
Debt / Equity
0.02
Conservative — low debt load (0.02)
Covers its interest
Interest Cover
N/A
Data not available

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Valuation

Price vs profit
P/E Ratio (TTM)
157.4x
Expensive — P/E 157.4

P/E over 35. The market is pricing in heavy, sustained growth.

Cheaper or dearer next year
P/E vs Forward
+147.2
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (157.4 → 10.2)

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Dividends

Not applicable for this business.
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