Zillow's Near-Term Legal Expenses Dampen Sentiment -- Market Talk

Dow Jones
Feb 11

1024 ET - Zillow's elevated legal expenses will weigh on near-term sentiment, but the company's long-term fundamentals remain strong, says Benchmark analyst Daniel Kurnos. The company's 4Q adjusted EBITDA and 1Q guide came in below expectations largely due to legal expenses associated with defending itself in competition lawsuits. It may take time or positive legal case outcomes for sentiment to improve, but the company also posted strong rentals and mortgage growth, showing its business continues to churn. "It seems evident that Zillow's enhanced market strategy is continuing to pay dividends throughout the funnel and the home purchase journey," Kurnos says. (nicholas.miller@wsj.com)

 

(END) Dow Jones Newswires

February 11, 2026 10:24 ET (15:24 GMT)

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