Zillow Group, Inc. (NASDAQ: Z, ZG)

This investigation is for anyone who acquired securities in Zillow Group, Inc. (NASDAQ: Z, ZG) prior to February 10, 2026.

The Law Offices of Howard G. Smith believes that the Company and certain of its executives violated federal law. Specifically, the Law Offices of Howard G. Smith believes that the Company misled investors regarding its financial condition. More specifically, the Law Offices of Howard G. Smith believes that the Company misled investors by engaging in a myriad of misleading behavior including overstating revenue by recognizing revenue when an agent receives a lead rather than when the agent closes the deal, violating antitrust law, and understating legal fees associated with addressing the antitrust allegations.

On March 5, 2024, Spruce Point Capital Management published a report alleging, among other things, that Zillow “uses wildly aggressive revenue recognition and expense policies that can be used to embellish revenues and earnings, which is alarming in context of Zillow’s CFO departing last year.” On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on September 30, 2025, the Federal Trade Commission announced that it had sued “Zillow and Redfin over an unlawful agreement that eliminates Redfin as a competitor in the market for placing advertising of rental housing on internet listing services (ILSs)-the websites that millions of Americans use to find their next rental home.” On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume. Finally, on February 10, 2026, Zillow announced fourth quarter 2025 earnings. In the earnings call, CFO Jeremy Hofmann stated that legal expenses “was higher than we anticipated coming into the quarter and was ultimately 180 basis points of margin drag for Q4.” On this news, the price of the Company’s stock again dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Zillow Group, Inc. (NASDAQ: Z, ZG) prior to February 10, 2026 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.