CBRE Group Achieves 18% Annual Returns Over 10 Years, Transforming Commercial Real Estate
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 15 2026
0mins
Source: CNBC
- Outstanding Industry Performance: CBRE Group has achieved an 18% annualized return over the past decade, making it the second-best-performing stock in the real estate sector, demonstrating strong resilience in a sluggish market.
- Market Position Transformation: CBRE has transitioned from a traditional transactional commercial real estate brokerage to a key player in asset management, successfully diversifying its revenue sources and reducing dependence on economic cycles and interest rate fluctuations.
- Optimized Revenue Structure: In recent quarters, 82% of CBRE's revenue has come from 'resilient' businesses, particularly its management segments, indicating the success of its new business model and expected continued growth.
- Profitability Improvement: The operating profit margin of CBRE's Building Operations & Experience segment has steadily increased from 8.9% to 10.5% in 2025, while also raising EPS guidance, reflecting an improvement in the company's financial health.
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Analyst Views on CBRE
Wall Street analysts forecast CBRE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CBRE is 186.00 USD with a low forecast of 175.00 USD and a high forecast of 192.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
4 Buy
1 Hold
0 Sell
Strong Buy
Current: 166.180
Low
175.00
Averages
186.00
High
192.00
Current: 166.180
Low
175.00
Averages
186.00
High
192.00
About CBRE
CBRE Group, Inc. is a commercial real estate services and investments firm. The Company’s segments include Advisory Services, Building Operations & Experience, Project Management, and Real Estate Investments. The Advisory Services segment provides a comprehensive range of services globally, including property leasing, capital markets (property sales and loan origination), loan servicing, property management, and valuation. The Building Operations & Experience segment provides a suite of integrated, contractually based outsourcing services to occupiers and owners of real estate, including facilities management and property management. The Project Management segment delivers program management, project management and cost consultancy services across the commercial real estate, infrastructure and natural resources sectors. The Real Estate Investments segment is a real asset developer, investor and operator. It provides advanced technical services for digital and power infrastructure.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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CBRE Group Achieves 18% Annual Returns Over 10 Years, Transforming Commercial Real Estate
- Outstanding Industry Performance: CBRE Group has achieved an 18% annualized return over the past decade, making it the second-best-performing stock in the real estate sector, demonstrating strong resilience in a sluggish market.
- Market Position Transformation: CBRE has transitioned from a traditional transactional commercial real estate brokerage to a key player in asset management, successfully diversifying its revenue sources and reducing dependence on economic cycles and interest rate fluctuations.
- Optimized Revenue Structure: In recent quarters, 82% of CBRE's revenue has come from 'resilient' businesses, particularly its management segments, indicating the success of its new business model and expected continued growth.
- Profitability Improvement: The operating profit margin of CBRE's Building Operations & Experience segment has steadily increased from 8.9% to 10.5% in 2025, while also raising EPS guidance, reflecting an improvement in the company's financial health.
See More
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- Market Performance: The Dow Jones Industrial Average rose by 2.5% and closed above 50,000 for the first time.
- Nasdaq Struggles: In contrast, the Nasdaq Composite ended the week down 1.8%, despite a strong rally on Friday.
See More
U.S. Jobs and Inflation Data Set for Release
- Job Data Expectations: The U.S. is expected to add 60,000 jobs in January, up from 50,000 in December, which could influence the Fed's monetary policy direction amidst ongoing economic uncertainty.
- Inflation Metrics Analysis: The January Consumer Price Index is projected to rise by 0.29% month-over-month and 2.5% year-over-year, showing improvement but still falling short of the Fed's 2% target, potentially affecting investor rate expectations.
- Market Reaction and Risks: Recent signs of labor market weakness, including an ADP report indicating only 22,000 new private sector jobs, may heighten expectations for further Fed rate cuts, although investors remain optimistic about economic resilience.
- Stock Market Rotation Trend: A significant rotation within the stock market is underway, with the Dow Jones Industrial Average rising over 2% this week, reflecting confidence in economic recovery, despite ongoing weakness in tech stocks.
See More
CBRE Acquires Industrious, Projects 58% Global Growth by 2025
- Global Expansion: Industrious has achieved a 58% growth in its global footprint by 2025, now operating over 250 units in more than 100 cities, showcasing its strong growth potential in the flexible office market.
- Market Outlook: According to SkyQuest, the global flexible office market is projected to grow from $54.59 billion in 2025 to $147.2 billion by 2033, indicating increasing investment opportunities in this sector.
- Innovative Operating Model: Industrious employs an 'asset-light' approach by signing management agreements with landlords to share profits instead of paying rent, providing resilience during economic downturns.
- Changing Client Demands: As companies focus on enhancing the quality of mid-sized offices, Industrious's business model aligns with the growing demand for workspaces near residential areas, driving its expansion in local neighborhoods.
See More
CBRE Acquires Industrious, Expanding Global Footprint by 58%
- Global Expansion: In 2025, Industrious expanded its global footprint by 58%, now operating over 250 units in more than 100 cities, showcasing its strong recovery potential in the flexible office market post-pandemic.
- Optimistic Market Outlook: The global flexible office market is projected to grow from $54.59 billion in 2025 to $147.2 billion by 2033, indicating long-term growth opportunities that are attracting increased investor interest.
- Innovative Business Model: Industrious employs an 'asset-light' approach by signing management agreements with landlords to operate office spaces, reducing risks during economic downturns while enhancing its competitive edge in the market.
- Enhanced Customer Experience: By focusing on creating a more hospitality-like office environment, Industrious attracts a diverse range of tenants and helps landlords improve property appeal, allowing it to stand out in a competitive landscape.
See More
CBRE Group and AvalonBay Communities Face Significant EPS Downgrades
- Earnings Downgrades: CBRE Group, Inc. (CBRE) and AvalonBay Communities, Inc. (AVB) received EPS revision grades of F and D-, respectively, indicating a significant decline in future profitability expectations that could lead to stock price drops.
- Market Reaction Expectations: Negative EPS revisions typically signal underlying fundamental weaknesses, leading investors to anticipate weaker performance and potentially triggering broader market sell-offs.
- Rating Impact Analysis: CBRE's Quant rating stands at Hold (2.87), while AVB's is Sell (2.26), reflecting insufficient market confidence in these companies, which may affect their financing and investment attractiveness.
- Industry Trend Observation: The EPS revision grades among large-cap real estate stocks indicate widespread profitability pressure within the sector, prompting investors to monitor these signals to assess potential investment risks and opportunities.
See More
CBRE Group Achieves 18% Annual Returns Over 10 Years, Transforming Commercial Real Estate
- Outstanding Industry Performance: CBRE Group has achieved an 18% annualized return over the past decade, making it the second-best-performing stock in the real estate sector, demonstrating strong resilience in a sluggish market.
- Market Position Transformation: CBRE has transitioned from a traditional transactional commercial real estate brokerage to a key player in asset management, successfully diversifying its revenue sources and reducing dependence on economic cycles and interest rate fluctuations.
- Optimized Revenue Structure: In recent quarters, 82% of CBRE's revenue has come from 'resilient' businesses, particularly its management segments, indicating the success of its new business model and expected continued growth.
- Profitability Improvement: The operating profit margin of CBRE's Building Operations & Experience segment has steadily increased from 8.9% to 10.5% in 2025, while also raising EPS guidance, reflecting an improvement in the company's financial health.
See More
