CoStar Group (CSGP) witnessed a significant surge of over 5% in pre-market trading on Wednesday, driven by the company's robust fourth-quarter 2024 earnings results and positive analyst commentary.

On Tuesday evening, CoStar Group reported impressive financial results for the fourth quarter and full year 2024. Highlights included an 11% year-over-year increase in full-year revenue to $2.74 billion, marking the 55th consecutive quarter of double-digit revenue growth. The company's commercial information and marketplace businesses achieved a strong 43% profit margin for the full year.

CoStar Group's fourth-quarter adjusted EBITDA of $112 million exceeded the company's guidance range, further fueling investor confidence. The company's residential real estate platform, Homes.com, also demonstrated promising growth, with plans to expand its sales force significantly in 2025.

Following the earnings release, several analysts raised their price targets on CoStar Group's stock, citing the company's strong performance and positive outlook. RBC Capital, Goldman Sachs, and Needham were among the firms that reiterated their "buy" or equivalent ratings on the stock, with price targets ranging from $83 to $87.

The combination of CoStar Group's stellar financial results, robust growth prospects, and analysts' optimism appears to have triggered the substantial pre-market surge in the company's stock price on Wednesday. Investors are eagerly anticipating further growth and expansion for the leading provider of commercial real estate information and analytics.