1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Holly LaFon
Holly LaFon
Articles (7844) 

Groupon, Twitter Investor Chase Coleman Buys Stake in Internet-Based Zillow Inc.

Chase Coleman (Trades, Portfolio), founder of the hedge fund seeded by investing legend Julian Robertson (Trades, Portfolio), Tiger Global Management, has added another Internet stock to his portfolio, Zillow Inc. (NASDAQ:Z). Coleman’s top holdings contain several Internet-based companies, including Priceline.com Inc. (PCLN), Amazon.com Inc. (NASDAQ:AMZN), and Yahoo Inc. (YHOO). He also has smaller interests in a number of other well-known dot-coms, such as Groupon Inc. (NASDAQ:GRPN), TripAdvisor Inc. (NASDAQ:TRIP), Zynga Inc. (NASDAQ:ZNGA), Twitter Inc. (NYSE:TWTR).

Coleman acquired 3,136,081 shares of Zillow Inc., a 9.5% stake in the company, on April 21, 2014, according to GuruFocus Real Time Picks. Zillow’s share price closed at $103 that day, jumping 8.3% from its morning open and hitting a 52-week high. Year to date, Zillow’s shares have gained 25% and trade around $101.68 on Tuesday.


Zillow operates a portfolio of home and real estate websites and businesses that give information about available homes. The company also has the largest real estate and rental advertising network in the U.S., through a partnership with Yahoo Homes. It began trading in 2011, and has a market cap of $4.04 billion after the price advanced almost 200% since.

In its most recent earnings report, released Feb. 12, the company announced several record year-over-year operating measures. Fourth-quarter revenue rose 70% to $58.3 million, net income increased to $2.7 million from $549,000, and EBITDA reached $15.2 million from $6.8 million. Traffic and mobile usage also grew to record numbers.

The company is aiming to grow through throughout 2014 by investing in expanding its audience, its Premier Agent business, and its mortgages and emerging marketplaces. In 2013, Zillow grew to roughly double the size of its two closets competitors based on web and mobile traffic.

Zillow’s revenue and earnings history:


Cash and cash equivalents on the company’s balance sheet totaled $201.8 million at Dec. 31, 2013, up from $150.04 million at the same time last year.

Zillow currently has a P/B of 6.3 and P/S of 16.61.

For more Chase Coleman (Trades, Portfolio) stocks, visit his portfolio here. Real Time Picks is a Premium feature. Not a Premium Member of GuruFocus? Try it free for 7 days here!

Rating: 5.0/5 (1 vote)



Please leave your comment:

GuruFocus has detected 1 Warning Sign with Zillow Group Inc $Z.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.

Performances of the stocks mentioned by Holly LaFon

User Generated Screeners

EhrlingerT. Rowe Price Group
NorvasP/S good growers
danaltstreamMPB EY
AxelSalonenGrowth & True Value
gelayor65All Stocks With Blackrock Sell
jgmarisafricaGurus growth low profitability
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat