Zillow Group Stock has grown by 9.09% within a day after the recent first-quarter financial report. Although its revenue has grown significantly by surpassing estimates the management decides not to buy houses to keep cash for unexpected situations during COVID-19. The group still has to pay salaries to keep valuable personnel in key positions. Therefore reducing the expenditure could save some funds to catch post-pandemic opportunities in getting the right inventories.
The peak price of Z stock was $65 on February 21 and seemingly the stock is heading to that price again while rising since March 18. After the pandemic, real estate prices could slowly rise. Zillow Group has to wait till the house prices touch the bottom due to a non-aggressive demand caused by the lockdown.