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Investigation launched into Zillow over alleged securities fraud and unlawful business practices

Market News
21 May 2026
PRNewsWire
View Source
Bearish
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Pomerantz LLP is investigating Zillow Group for potential securities fraud and unlawful business practices following allegations of premature revenue recognition and an antitrust lawsuit. The issues began with a 2024 report accusing Zillow of recognizing revenue too early in its Flex model, causing a stock drop. Later, in 2025, the FTC sued Zillow and Redfin for an illegal agreement reducing competition in rental housing ads, leading to another stock decline. The investigation aims to protect investors and possibly lead to legal action against Zillow's officers and directors.

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