The D. E. Shaw group manages more than $85 billion in investment capital. The firm issued an open letter to CoStar Group’s Board of Directors criticizing its new financial reporting structure.
D.E. Shaw alleges CoStar combined the underperforming Homes.com business with the profitable Apartments.com segment to mask results. The investment firm claims this reconfiguration deliberately reduces transparency and evades accountability for Homes.com.
CoStar shares declined 9% following the announcement of the reporting changes. The stock drop eliminated approximately $2 billion in total market value. This public criticism follows a previous letter and presentation sent to the board in early February 2026.