The D. E. Shaw group, an investment firm with a significant economic position in CoStar Group Inc., has released an open letter and presentation to CoStar’s Board of Directors expressing disappointment with the company’s capital allocation and underperformance. In the letter, Edwin Jager and Michael O'Mary, Managing Directors at D. E. Shaw & Co., L.P., criticized the Board’s failure to address what they describe as “reckless spending of shareholder capital” and highlighted ongoing concerns about CoStar’s investment in its unprofitable Homes.com business under CEO Andy Florance. The letter states that every shareholder who purchased CoStar stock in the past five years has lost money and calls for substantial changes in capital allocation, executive leadership, and Board composition. D. E. Shaw announced its intention to support shareholder-driven change at CoStar’s 2026 Annual Meeting.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. CoStar Group Inc. published the original content used to generate this news brief via PR Newswire (Ref. ID: NY78357) on February 04, 2026, and is solely responsible for the information contained therein.