2024-05-10 08:10:00 ET
Summary
- CoStar Group has expanded its focus to offer products and services to multi-family, industrial, commercial land, mixed-use, and hospitality end-markets across North America and Western Europe.
- We think that free cash flow from this business can double over the next five years.
- CoStar sees an opportunity to disrupt existing players whose business model primarily relies on serving buy-side brokers.
- We believe that CoStar could generate over $2 billion of incremental revenue over the next 5 to 10 years.
The following segment was excerpted from this fund letter.
CoStar Group, Inc. ( CSGP )
We initiated a position in CoStar Group, Inc. , the leading provider of information, analytics, and marketing services to the real estate industry. CoStar initially focused on serving the domestic commercial real estate industry and built a comprehensive proprietary database of essential data to help participants buy, sell, and lease properties. The company has since expanded its focus to offer products and services to multi-family, industrial, commercial land, mixed-use, and hospitality end-markets across North America and Western Europe....
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For further details see:
Baron Funds - CoStar Group: A Disruption Opportunity Worth $2B Incremental Revenue