Cash generation has improved significantly, with free cash flow reaching $164 million in 2026Q1 and an OCF/NI ratio of 4.30, supporting a $626 million share repurchase program.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Cash from Operations | 462M | 368M | 428M | 354M | 4.5B | -3.18B | 424.2M | -612.17M | 3.85M | 258.19M | 8.64M | 22.66M | 45.52M | 31.3M | 32.3M | 14.83M | 2.26M | -4.22M |
| Operating CF Margin % | - | 14.25% | 19.14% | 18.2% | 230.03% | -149.02% | 26.12% | -22.32% | 0.29% | 23.98% | 1.02% | 3.51% | 13.97% | 15.84% | 27.64% | 22.45% | 7.41% | -24.11% |
| Operating CF Growth % | 68.99% | -14.02% | 20.9% | -92.14% | 241.77% | -848.94% | 169.29% | -16000.62% | -98.51% | 2886.59% | -61.85% | -50.22% | 45.44% | -3.1% | 117.85% | 556.6% | 153.55% | - |
| Net Income | 61M | 23M | -112M | -158M | -101M | -528M | -162.12M | -305.36M | -119.86M | -94.42M | -220.44M | -148.87M | -43.61M | -12.45M | 5.94M | 1.1M | -6.77M | -12.86M |
| Depreciation & Amortization | 282M | 272M | 250M | 222M | 180M | 153M | 134.37M | 110.61M | 99.39M | 110.16M | 100.59M | 75.39M | 35.62M | 23.25M | 12.77M | 7.19M | 5.26M | 6.41M |
| Stock-Based Compensation | 293M | 390M | 448M | 451M | 451M | 312M | 197.55M | 198.9M | 149.08M | 113.57M | 106.92M | 105.21M | 34.09M | 23.44M | 6.61M | 1.95M | 1.72M | 1.65M |
| Deferred Taxes | 0 | 0 | 0 | -20M | 0 | -2.75M | -7.52M | -4.26M | -31.1M | -89.59M | -1.37M | -2.85M | 9.8M | -4.11M | 2.33M | -170K | 161K | 44K |
| Other Non-Cash Items | 77M | 20M | 17M | 24M | 83M | 642.75M | 219.01M | 91.02M | 139.81M | 212.56M | 31.87M | 32.56M | 4.42M | 3.84M | 2.15M | 4.08M | -31K | -251K |
| Working Capital Changes | -251M | -337M | -175M | -165M | 3.89B | -3.75B | 42.91M | -703.09M | -233.48M | 5.92M | -8.92M | -38.77M | 5.21M | -2.67M | 2.49M | 677K | 1.93M | 787K |
| Change in Receivables | -38M | -45M | -8M | -24M | 82M | -82M | -5.58M | -3.69M | -12.56M | -21.2M | -13.32M | -1.05M | -5.98M | -7.57M | -3.46M | -2.21M | -1.36M | -607K |
| Change in Inventory | 0 | 0 | 0 | -127M | 3.9B | -3.83B | 345.28M | -673.8M | -162.83M | 29.81M | -16.71M | -20.11M | 3.49M | -505K | 2.43M | -422K | 477K | 693K |
| Change in Payables | 33M | 6M | 2M | 6M | 3M | 5M | 12.97M | -496K | 1.31M | -373K | 856K | -11.16M | 4.63M | 1.5M | 991K | 916K | 327K | 59K |
| Cash from Investing | 422M | -6M | 395M | 25M | -1.53B | 1.09B | -1.04B | -456.05M | -622.64M | -247.39M | -65.72M | 64.44M | -145.44M | -251.83M | -94.36M | -58.38M | 4.63M | -14.49M |
| Capital Expenditures | -141M | -133M | -143M | -135M | -115M | -74M | -108.52M | -67.04M | -78.53M | -78.64M | -71.72M | -68.11M | -44.24M | -25.97M | -16.75M | -8.82M | -5.53M | -4.08M |
| CapEx % of Revenue | 5.24% | 5.15% | 6.4% | 6.94% | 5.87% | 3.47% | 6.68% | 2.44% | 5.89% | 7.3% | 8.47% | 10.56% | 13.58% | 13.15% | 14.33% | 13.35% | 18.14% | 23.31% |
| Acquisitions | 0 | 0 | -7M | -433M | -4M | -497M | 23.58M | 0 | -55.14M | -10.95M | -13.12M | 92.57M | -3.5M | -42.71M | -67.64M | -6.54M | 630K | 455K |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -26M | -134M | -28M | -30M | -25M | -31M | -23.58M | -19.59M | -501.45M | -169.13M | 1.96M | 3.93M | -110.42M | -187.07M | -81.68M | 0 | -630K | -455K |
| Cash from Financing | -1.12B | -674M | -1.23B | -352M | -4.34B | 3.15B | 1.16B | 1.64B | 930.14M | 97.71M | 71.53M | 16.27M | 23.92M | 272.25M | 164.17M | 79.2M | 950K | 100K |
| Debt Issued (Net) | -257M | -200M | -1.14B | 0 | -3.44B | 2.78B | 306.77M | 1.73B | 481.2M | 0 | 77.55M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | -994M | -482M | -301M | -424M | -947M | 243M | 411.52M | 0 | 360.35M | 0 | 0 | 0 | 0 | 253.9M | 156.73M | 76.29M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.05B | -670M | -301M | -424M | -947M | -302M | 0 | 0 | 0 | -365K | -616K | -8.15M | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 132M | 8M | 212M | 72M | 46M | 127M | 444.02M | -94.22M | 88.59M | 97.71M | -6.02M | 16.27M | 23.92M | 18.35M | 7.45M | 2.92M | 950K | 100K |
| Net Change in Cash | -235M | -312M | -410M | 27M | -1.37B | 1.06B | 548.03M | 567.47M | 311.35M | 108.5M | 14.45M | 103.37M | -76M | 51.72M | 102.11M | 35.65M | 7.84M | -18.61M |
| Free Cash Flow | 431M | 235M | 285M | 189M | 4.36B | -3.28B | 315.68M | -698.81M | -74.69M | 179.56M | -63.08M | -45.45M | 1.28M | 5.33M | 15.55M | 6M | -3.27M | -8.29M |
| FCF Margin % | 16% | 9.1% | 12.75% | 9.72% | 222.88% | -153.94% | 19.44% | -25.48% | -5.6% | 16.68% | -7.45% | -7.05% | 0.39% | 2.7% | 13.31% | 9.09% | -10.73% | -47.42% |
| FCF Growth % | 111.27% | -17.54% | 50.79% | -95.67% | 232.97% | -1139.66% | 145.17% | -835.68% | -141.59% | 384.66% | -38.79% | -3659.04% | -76.02% | -65.74% | 158.92% | 283.75% | 60.6% | - |
| FCF per Share | 1.80 | 0.92 | 1.22 | 0.81 | 18.02 | -13.13 | 1.41 | -3.39 | -0.38 | 0.96 | -0.35 | -0.27 | 0.01 | 0.05 | 0.16 | 0.09 | -0.05 | -0.12 |
| FCF Conversion (FCF/Net Income) | 7.07x | 16.00x | -3.82x | -2.24x | -44.59x | 6.02x | -2.62x | 2.00x | -0.03x | -2.73x | -0.04x | -0.15x | -1.04x | -2.51x | 5.44x | 13.45x | -0.33x | 0.33x |
| Interest Paid | 18M | 0 | 35M | 28M | 50M | 109M | 0 | 42.16M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 6M | 6M | 6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Regulatory Commission Structure Changes
As reported in recent financial statements, Zillow's operating cash flow consistently exceeds net income, with the OCF/NI ratio reaching 4.30 in 2026Q1, suggesting that non-cash charges and stock-based compensation significantly distort the company's reported profitability relative to its actual ability to generate liquid cash from operations.
The persistent gap between net income and operating cash flow indicates that Zillow's accounting earnings are heavily influenced by non-cash expenses, primarily stock-based compensation. Investors should interpret this divergence as a signal that the company's cash-generating capacity is stronger than GAAP net income suggests, though this is partially offset by the high cost of talent retention.
Based on Zillow's reported figures, free cash flow has demonstrated significant volatility, swinging from a negative $40 million in 2025Q1 to a robust $164 million in 2026Q1, highlighting the sensitivity of the company's cash generation to seasonal housing market fluctuations and discretionary capital allocation decisions.
The erratic FCF trajectory appears to be a function of both cyclical revenue patterns and the company's aggressive investment in its 'Housing Super App' strategy. While the recent improvement in FCF margins is encouraging, the lack of a stable, linear growth trend warrants caution regarding the predictability of future cash flows.
According to recent SEC filings, Zillow's capital expenditures have remained within a range of 3.3% to 8.7% of revenue over the last ten quarters, suggesting that the company maintains a relatively asset-light model despite the ongoing technical requirements of its digital marketplace and mortgage platform infrastructure.
The moderate capital intensity reflects Zillow's focus on software development rather than physical asset ownership. This structure allows for potential margin expansion if revenue growth continues to outpace the maintenance and growth-related capital requirements necessary to sustain the platform's competitive moat.
As indicated by quarterly data, Zillow has prioritized share repurchases over other forms of capital deployment, with a notable $626 million outflow in 2026Q1, which may suggest management's confidence in the company's long-term valuation despite the ongoing regulatory and macro-economic uncertainties facing the residential real estate sector.
The heavy reliance on share buybacks as a primary use of cash suggests a management preference for returning capital to shareholders rather than pursuing large-scale acquisitions. However, investors should monitor whether these repurchases are effectively offsetting the dilutive impact of the company's substantial stock-based compensation programs.
Quick answers to the most common questions about buying Z stock.
Zillow Group, Inc. Class C (Z) generated $368.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Zillow Group, Inc. Class C (Z) generated $235.0M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Zillow Group, Inc. Class C (Z) spent $133.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Zillow Group, Inc. Class C (Z) spent $670.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.