Zillow Group • Z-Nasdaq Outperform • Price $59.74 on Sept. 16 by Wedbush We are upgrading Zillow to Outperform from Neutral and raising our price target to $80 from $50. In addition to the potentially positive catalyst of lower mortgage rates for Zillow’s core brokerage business,

Zillow’s stock rallied toward a more than two-year high Monday, as falling mortgage rates and rental revenue strength prompted Wedbush analyst Jay McCanless to turn bullish on the provider of real estate information and brokerage services.

Wedbush analysts today upgraded Zillow Group (ZG, Z) shares to Outperform from Neutral, citing favorable trends in the housing market, particularly the recent drop in mortgage rates. In a note, Wedbush analyst Jay McCanless called lower mortgage rates a "potentially positive catalyst" for the stock in the months ahead.

Key Takeaways Mortgage rates fell to a 19-month low, which Wedbush analysts say is a likely catalyst for Zillow Group.Shares of the real estate company are up about 50% since the company named a new CEO in early August.

Analysts at Wedbush Securities raised their rating on shares of the home-buying app to Outperform from Neutral.