CBRE GROUP INC - A (CBRE) Stock Fundamental Analysis
NYSE:CBRE - US12504L1098 - Common Stock
164.38 USD
+2.69 (+1.66%)
164.38 USD
0 (0%)
Overall CBRE gets a fundamental rating of 5 out of 10. We evaluated CBRE against 65 industry peers in the Real Estate Management & Development industry. Both the profitability and the financial health of CBRE get a neutral evaluation. Nothing too spectacular is happening here. CBRE is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, CBRE could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
CBRE had positive earnings in the past year.
CBRE had a positive operating cash flow in the past year.
In the past 5 years CBRE has always been profitable.
In the past 5 years CBRE always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.94%, CBRE belongs to the top of the industry, outperforming 87.69% of the companies in the same industry.
CBRE's Return On Equity of 13.21% is amongst the best of the industry. CBRE outperforms 95.38% of its industry peers.
CBRE has a better Return On Invested Capital (6.77%) than 87.69% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CBRE is in line with the industry average of 6.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.94% | ||
| ROE | 13.21% | ||
| ROIC | 6.77% |
ROA(3y)5.07%
ROA(5y)5.54%
ROE(3y)13.78%
ROE(5y)14.7%
ROIC(3y)7.46%
ROIC(5y)7.57%
1.3 Margins
With a decent Profit Margin value of 2.86%, CBRE is doing good in the industry, outperforming 72.31% of the companies in the same industry.
In the last couple of years the Profit Margin of CBRE has declined.
CBRE's Operating Margin of 4.26% is in line compared to the rest of the industry. CBRE outperforms 60.00% of its industry peers.
CBRE's Operating Margin has declined in the last couple of years.
CBRE's Gross Margin of 19.42% is in line compared to the rest of the industry. CBRE outperforms 46.15% of its industry peers.
In the last couple of years the Gross Margin of CBRE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.26% | ||
| PM (TTM) | 2.86% | ||
| GM | 19.42% |
OM growth 3Y-8.91%
OM growth 5Y-5.18%
PM growth 3Y-25.78%
PM growth 5Y-12.79%
GM growth 3Y-4.04%
GM growth 5Y-2.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CBRE is destroying value.
Compared to 1 year ago, CBRE has less shares outstanding
Compared to 5 years ago, CBRE has less shares outstanding
Compared to 1 year ago, CBRE has a worse debt to assets ratio.
2.2 Solvency
CBRE has an Altman-Z score of 3.59. This indicates that CBRE is financially healthy and has little risk of bankruptcy at the moment.
CBRE has a Altman-Z score of 3.59. This is in the better half of the industry: CBRE outperforms 78.46% of its industry peers.
The Debt to FCF ratio of CBRE is 6.64, which is on the high side as it means it would take CBRE, 6.64 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.64, CBRE is in the better half of the industry, outperforming 70.77% of the companies in the same industry.
CBRE has a Debt/Equity ratio of 0.88. This is a neutral value indicating CBRE is somewhat dependend on debt financing.
CBRE has a Debt to Equity ratio of 0.88. This is comparable to the rest of the industry: CBRE outperforms 43.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 6.64 | ||
| Altman-Z | 3.59 |
ROIC/WACC0.71
WACC9.56%
2.3 Liquidity
A Current Ratio of 1.13 indicates that CBRE should not have too much problems paying its short term obligations.
With a Current ratio value of 1.13, CBRE is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
CBRE has a Quick Ratio of 1.13. This is a normal value and indicates that CBRE is financially healthy and should not expect problems in meeting its short term obligations.
CBRE has a worse Quick ratio (1.13) than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
CBRE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 50.95%, which is quite impressive.
The Earnings Per Share has been growing slightly by 6.61% on average over the past years.
Looking at the last year, CBRE shows a quite strong growth in Revenue. The Revenue has grown by 14.96% in the last year.
Measured over the past years, CBRE shows a quite strong growth in Revenue. The Revenue has been growing by 8.40% on average per year.
EPS 1Y (TTM)50.95%
EPS 3Y-1.88%
EPS 5Y6.61%
EPS Q2Q%46.91%
Revenue 1Y (TTM)14.96%
Revenue growth 3Y8.83%
Revenue growth 5Y8.4%
Sales Q2Q%16.24%
3.2 Future
CBRE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.49% yearly.
CBRE is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.64% yearly.
EPS Next Y21.9%
EPS Next 2Y20%
EPS Next 3Y18.89%
EPS Next 5Y18.49%
Revenue Next Year12.55%
Revenue Next 2Y11.32%
Revenue Next 3Y10.72%
Revenue Next 5Y8.64%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 29.51, the valuation of CBRE can be described as expensive.
CBRE's Price/Earnings ratio is a bit cheaper when compared to the industry. CBRE is cheaper than 78.46% of the companies in the same industry.
CBRE is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.06, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 22.34, CBRE is valued on the expensive side.
Based on the Price/Forward Earnings ratio, CBRE is valued cheaper than 83.08% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.69, CBRE is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.51 | ||
| Fwd PE | 22.34 |
4.2 Price Multiples
CBRE's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CBRE is cheaper than 69.23% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CBRE is valued a bit cheaper than 66.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.91 | ||
| EV/EBITDA | 21.94 |
4.3 Compensation for Growth
CBRE's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CBRE has a very decent profitability rating, which may justify a higher PE ratio.
CBRE's earnings are expected to grow with 18.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.35
PEG (5Y)4.46
EPS Next 2Y20%
EPS Next 3Y18.89%
5. Dividend
5.1 Amount
CBRE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
164.38
+2.69 (+1.66%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners99.39%
Inst Owner Change-3.15%
Ins Owners0.52%
Ins Owner Change1.33%
Market Cap48.91B
Analysts81.05
Price Target166.27 (1.15%)
Short Float %1.39%
Short Ratio2.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.5%
Min EPS beat(2)8.58%
Max EPS beat(2)10.42%
EPS beat(4)4
Avg EPS beat(4)8.04%
Min EPS beat(4)2.25%
Max EPS beat(4)10.89%
EPS beat(8)8
Avg EPS beat(8)8.61%
EPS beat(12)11
Avg EPS beat(12)6.47%
EPS beat(16)14
Avg EPS beat(16)9.15%
Revenue beat(2)1
Avg Revenue beat(2)-0.41%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)1.13%
Revenue beat(4)2
Avg Revenue beat(4)-0.24%
Min Revenue beat(4)-1.96%
Max Revenue beat(4)1.13%
Revenue beat(8)4
Avg Revenue beat(8)0.47%
Revenue beat(12)7
Avg Revenue beat(12)0.5%
Revenue beat(16)9
Avg Revenue beat(16)0.15%
PT rev (1m)7.66%
PT rev (3m)12.66%
EPS NQ rev (1m)0.63%
EPS NQ rev (3m)1.73%
EPS NY rev (1m)2.25%
EPS NY rev (3m)2.79%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.51 | ||
| Fwd PE | 22.34 | ||
| P/S | 1.28 | ||
| P/FCF | 43.91 | ||
| P/OCF | 34.35 | ||
| P/B | 5.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.94 |
EPS(TTM)5.57
EY3.39%
EPS(NY)7.36
Fwd EY4.48%
FCF(TTM)3.74
FCFY2.28%
OCF(TTM)4.79
OCFY2.91%
SpS128.06
BVpS27.74
TBVpS-2.16
PEG (NY)1.35
PEG (5Y)4.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.94% | ||
| ROE | 13.21% | ||
| ROCE | 9.52% | ||
| ROIC | 6.77% | ||
| ROICexc | 7.28% | ||
| ROICexgc | 14.04% | ||
| OM | 4.26% | ||
| PM (TTM) | 2.86% | ||
| GM | 19.42% | ||
| FCFM | 2.92% |
ROA(3y)5.07%
ROA(5y)5.54%
ROE(3y)13.78%
ROE(5y)14.7%
ROIC(3y)7.46%
ROIC(5y)7.57%
ROICexc(3y)8.16%
ROICexc(5y)8.57%
ROICexgc(3y)18.67%
ROICexgc(5y)19.47%
ROCE(3y)9.51%
ROCE(5y)9.85%
ROICexcg growth 3Y-10.49%
ROICexcg growth 5Y-5.25%
ROICexc growth 3Y-6.39%
ROICexc growth 5Y-5.52%
OM growth 3Y-8.91%
OM growth 5Y-5.18%
PM growth 3Y-25.78%
PM growth 5Y-12.79%
GM growth 3Y-4.04%
GM growth 5Y-2.06%
F-Score6
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 6.64 | ||
| Debt/EBITDA | 3.11 | ||
| Cap/Depr | 43.42% | ||
| Cap/Sales | 0.81% | ||
| Interest Coverage | 3.6 | ||
| Cash Conversion | 60.88% | ||
| Profit Quality | 102.2% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 3.59 |
F-Score6
WACC9.56%
ROIC/WACC0.71
Cap/Depr(3y)45.67%
Cap/Depr(5y)46.01%
Cap/Sales(3y)0.89%
Cap/Sales(5y)0.91%
Profit Quality(3y)86.59%
Profit Quality(5y)117.01%
High Growth Momentum
Growth
EPS 1Y (TTM)50.95%
EPS 3Y-1.88%
EPS 5Y6.61%
EPS Q2Q%46.91%
EPS Next Y21.9%
EPS Next 2Y20%
EPS Next 3Y18.89%
EPS Next 5Y18.49%
Revenue 1Y (TTM)14.96%
Revenue growth 3Y8.83%
Revenue growth 5Y8.4%
Sales Q2Q%16.24%
Revenue Next Year12.55%
Revenue Next 2Y11.32%
Revenue Next 3Y10.72%
Revenue Next 5Y8.64%
EBIT growth 1Y26.13%
EBIT growth 3Y-0.86%
EBIT growth 5Y2.79%
EBIT Next Year56.39%
EBIT Next 3Y24.27%
EBIT Next 5Y17.91%
FCF growth 1Y116.68%
FCF growth 3Y-13.36%
FCF growth 5Y8.54%
OCF growth 1Y75.25%
OCF growth 3Y-10.27%
OCF growth 5Y6.9%