Jan. 27 at 6:06 PM
PickAlpha Midday - Third Point turns up heat on CoStar
CoStar (
$CSGP) jumped ~5% after reports that Dan Loeb’s Third Point launched a fresh activist push, criticizing board oversight/capital allocation and urging a strategy reset back toward core commercial real-estate data. This comes after CoStar’s prior “capital allocation / board refresh” efforts that Third Point itself had previously pushed for. 
Tickers:
$CSGP $SPY $Z
Our view is this is a credible pressure catalyst for
$CSGP because the market’s frustration is basically “spend a ton, show me the payoff,” especially around the residential push (e.g., http://Homes.com) versus the historically high-quality commercial data franchise. If Loeb gets real concessions (clear ROI targets, tighter capex discipline, or a sharper portfolio focus), you can get multiple support even before fundamentals fully re-accelerate; if management digs in and keeps spending without a crisp payback path, activism can turn into a longer, messier overhang.
