CBRE Group Inc. (
, a leading real estate investment trust (REIT), touched a
52-week high of $25.69 on Thursday, Apr 11, 2013, as it gained
momentum after robust fourth-quarter 2012 results. The closing
price of this REIT on Apr 11, 2013 was $25.50, representing a
year-to-date return of 25.2%. The average trading volume over the
last 3 months was nearly 1.9 million shares.
Despite hitting its 52-week high, this Zacks Rank #3 (Hold) stock
has plenty of upside left, given its strong fundamentals and
successful execution of strategic initiatives.
CBRE Group came up with impressive results in the fourth quarter
of 2012, after performing disappointingly in the prior quarter,
with earnings per share substantially surpassing the Zacks
Consensus Estimate. Aided by strong top-line growth in all
operating regions, this leading commercial real estate services
firm bounced back to growth in the fourth quarter.
Furthermore, CBRE Group's recent efforts to boost its portfolio
restructuring initiatives are encouraging. In Jan 2013, CBRE
Group bought the commercial real estate services businesses of
Atlanta-based Resource Real Estate Partners LLC and TPA Realty
Services LLC to enhance its service offering in the southeast.
Also, last month, CBRE Group acquired a Prague-based full-service
real estate provider firm - IMPACT-CORTI a.s - to augment its
competence in the Central European region. Going forward, we
believe that such strategic moves will help CBRE Group to
strengthen its position in high-end markets, which in turn, will
elevate its overall financials.
On Feb 6, CBRE Group reported adjusted earnings of 55 cents per
share, which surpassed the Zacks Consensus Estimate by 6 cents.
Also, earnings substantially exceeded the last quarter and
prior-year quarter figure of 26 cents and 46 cents, respectively.
For full-year 2012, CBRE reported adjusted earnings of $1.22 per
share, higher than the Zacks Consensus Estimate by a penny and
outpaced the prior-year earnings of $1.03 per share by 18%.
CBRE Group's broad range of real estate product and services,
extensive knowledge of domestic and international real estate
markets as well as its intellectual capital and technology
resources helped it to realize superior performances in 2012.
Notably, in 2012, the company recorded the highest total revenue
in its history with highest earnings and normalized EBITDA since
Over the last 30 days, the Zacks Consensus Estimate for full-year
2013 remained unchanged at $1.42. On the other hand, the Zacks
Consensus Estimate for full-year 2014 climbed 1.2% to $1.67 per
On Apr 11, a number of REITs achieved 52-week highs. These
DDR Corp. (
Prologis Inc. (
Duke Realty Corporation (
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