Stock Price & Analysis

Analysis and Insights

To determine whether it’s a good time to buy or sell CBRE stock, we need to look at both technical and fundamental factors.

Fundamental Analysis:

CBRE Group, Inc. (CBRE) has shown strong financial performance recently. The company reported better-than-expected Q4 earnings, with adjusted EPS of $2.32, surpassing expectations, and revenue of $10.4 billion, which was a 16.2% year-over-year increase. This strong performance was driven by robust growth in advisory services and global workplace solutions, particularly in the Asia-Pacific and U.S. regions. Management expects CBRE to sustain double-digit earnings growth in the long term, projecting core EPS between $5.80 and $6.10 for 2025, reflecting mid-teens growth at the midpoint.

CBRE has a strong market position as the world's largest commercial real estate services and investment firm, with a market cap of $38.67 billion. The company has a diversified service offering, including property sales, leasing, valuation, facilities management, and real estate investment advisory. This diversification provides stability and positions the company well for future growth.

Valuation Analysis:

CBRE's forward P/E ratio is approximately 20.75x, which is higher than some of its peers but still reasonable given the company's growth prospects. The mean price target from analysts is $156.70, suggesting a potential upside of 21.7% from current levels. This indicates that the stock may still have room for appreciation despite its recent gains.

Technical Analysis:

CBRE's stock price has been trading above its 200-day moving average, indicating a bullish trend. However, it has dipped slightly below its 50-day moving average, suggesting some short-term volatility. The stock has seen a recent uptick, closing at $133.74 on March 24, 2025, with a pre-market percentage change of +1.62% and a regular market percentage change of +3.05%.

Analyst Sentiment:

Wall Street analysts are highly optimistic about CBRE's prospects. The stock has a consensus "Strong Buy" rating from the 11 analysts covering it, with seven "Strong Buy" ratings, two "Moderate Buys," and two "Holds." The mean price target of $156.70 suggests a notable 21.7% premium to its current levels.

Market Trends and Growth Drivers:

CBRE is well-positioned to benefit from the growing demand for commercial real estate services, particularly in the areas of data centers and workplace solutions. The company's focus on strategic investments and its strong cash flow generation capabilities provide a solid foundation for future growth. Additionally, CBRE's expansion into international markets, such as Europe, presents long-term growth opportunities.

Conclusion:

Given CBRE's strong financial performance, positive analyst sentiment, and growth prospects, it is a good time to buy CBRE stock. The company's diversified service offerings, leadership in the commercial real estate market, and potential for double-digit earnings growth make it an attractive investment opportunity. However, investors should be aware of the short-term volatility and monitor market conditions closely.

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Price Prediction for CBRE Stock in 2025

CBRE Group, Inc. (CBRE) is expected to reach a stock price of $160 by the end of 2025. This prediction is supported by strong earnings growth, positive analyst sentiment, and favorable technical indicators. Analysts have set an average price target of $156.70, with a high of $179, reflecting confidence in the company's long-term growth potential.

The S1 support level for CBRE Stock is $127.35 ,The R1 resistant level for CBRE Stock is $134.39.

As of the end of day on 2025-04-02, the price of CBRE Stock was $129.

The target price for CBRE Stock according to analyst rating is 152.33, with the highest price target at 165.00 and the lowest at 145.00. Analysts have a Moderate Buy rating on CBRE Stock overall.

The market cap of CBRE is $40.0B.

CBRE appears overvalued based on its current valuation metrics and market performance. Here's the analysis:

1. High Valuation Multiples: CBRE's forward P/E ratio of 41.78 and EV/EBITDA of 16.55 are significantly higher than industry averages, indicating a premium valuation.

2. Price-to-Sales Ratio: The PS ratio of 4.71 suggests investors are paying a high price per dollar of revenue, further signaling overvaluation.

3. Stock Performance: While CBRE has shown strong growth, its current price near recent highs and limited upside potential (21.7% based on analyst targets) may not justify its valuation.

4. Analyst Sentiment: Despite a "Strong Buy" rating, the modest upside suggests caution.

In conclusion, CBRE's high valuation metrics and limited upside indicate it may be overvalued. Investors should consider waiting for a price correction or more favorable valuation levels.

CBRE Group, Inc. is a commercial real estate services and investment firm. The Company’s Advisory Services segment provides a range of services globally, including property leasing; capital markets, which includes property sales and mortgage origination; mortgage servicing; property management and valuation. Its Global Workplace Solutions segment provides integrated facilities management and project management solutions for major occupiers of commercial real estate. The Company's Real Estate Investments segment consists of two businesses: investment management and real estate development. Its investment management services are provided to pension funds, insurance companies, sovereign wealth funds, foundations, endowments, and other institutional investors. Its development services consist of real estate development and investment activities. The Company also provides engineering services, base support operations and facilities maintenance for the U.S. federal government.

CBRE stock is predicted to reach $175 by 2030, driven by strong financial performance and market leadership. The company's Q4 2024 results showed a 68% EPS increase and 16.2% revenue growth, with analysts expecting double-digit earnings growth. Positive analyst sentiment and a mean price target of $156.70 further support this bullish outlook.

CBRE has a total of 130000 employees.