Zillow Shares Drop As Profit Outlook Miss Overshadows Upbeat 1Q

Zillow Group Inc. shares dropped 8% in post-market trading on Wednesday after the company’s second-quarter profit forecast missed Wall Street expectations, overshadowing upbeat results for the first quarter of the year.

The online real estate marketplace forecast second-quarter adjusted earnings before interest, taxes, depreciation and amortization in a range of $150 million to $165 million, missing the average analyst estimate of $191 million. It sees second-quarter revenue of $750 million to $765 million, with the midpoint below the average estimate of $761.1 million.