According to the Complaint, Zillow Group, Inc. is a real estate company that purports to offer customers “an on-demand experience for selling, buying, renting or financing with transparency.” The Company’s “Zillow Offers” business “buys and sells homes directly in dozens of markets across the country, allowing sellers control over their timeline.”

The Complaint alleges that throughout the Class Period, the Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges Defendants failed to disclose to investors: (1) that, despite operational improvements, the Company experienced significant unpredictability in forecasting home prices for its Zillow Offers business; (2) that such unpredictability, as well as labor and supply shortages, led to a backlog of inventory; (3) that, as a result of the foregoing, the Company was reasonably likely to wind down its Zillow Offers business, which would have a material adverse impact on its financial results; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On February 16, 2022, the Court issued an Order consolidating cases and appointing Lead Plaintiff and Counsel. All future docketing was ordered to be done in the lead case 21-CV-01551.

Lead Plaintiff filed a consolidated Complaint on May 12, 2022. Defendants filed a Motion to Dismiss the consolidated Complaint on July 11. On December 7, the Court issued an Order granting in part and denying in part Defendants' Motion to Dismiss. Plaintiffs were given leave to amend the Complaint.