Jones Lang Lasalle (JLL) AI Stock Analysis

• Market Cap: $10.99B
• Dividend Yield: N/A
• Average Volume (3M): 404.37K
• Price to Earnings (P/E): 20.7
• Beta (1Y): 1.36
• Revenue Growth: 13.63%
• EPS Growth: 78.40%
• Country: US
• Employees: 112,100
• Sector: Real Estate
• Sector Strength: 65
• Industry: Real Estate - Services
• EPS (TTM): 2.31
• Shares Outstanding: 47,473,980
• 10 Day Avg. Volume: 379,962
• 30 Day Avg. Volume: 404,368
• PEG Ratio: 1.39
• Price to Book (P/B): 1.61
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.94
• Enterprise Value/Market Cap: 1.22
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 0.77
• Enterprise Value/Ebitda: 3.26
• 1Y Price Target: $289.00
• Price Target Upside: 26.33% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

Jones Lang LaSalle's strong financial performance and effective management of cash flow and balance sheet are key strengths. Positive earnings call sentiment and strategic corporate events contribute to an optimistic outlook. However, the stock is held back by mixed technical indicators and moderate valuation concerns.

Positive Factors

Earnings

JLL reported very strong first-quarter results with gross revenue up 13% year-over-year in constant currency, exceeding both internal estimates and consensus.

Financial Performance

The outsourcing segment continues to grow quickly and provides JLL a strong base of recurring profit that grows throughout cycles.

Market Position

JLL appears to be gaining market share as transactional revenue continues to show impressive growth.

Valuation

JLL trades at a 30% discount to CBRE's valuation, suggesting potential for narrowing the gap in valuation.

Negative Factors

Macroeconomic Conditions

Decision-making may be delayed some due to increased macro uncertainty.

Stock Reaction

Strong fundamentals are expected to continue accelerating in 2025, despite recent muted stock reaction.

Jones Lang Lasalle Business Overview & Revenue Model

Company Description

Jones Lang LaSalle Incorporated, a professional services company, provides real estate and investment management services in Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers a range of real estate services, including agency leasing and tenant representation services; and capital market services, such as debt advisory, loan sales, equity advisory, loan servicing, merger and acquisition, corporate advisory, and investment sales and advisory services. It also provides on-site management services for office, industrial, retail, multifamily residential, and specialty properties; integrated facilities management services; designing, building, management, and consulting services to tenants of leased space, owners in self-occupied buildings, and owners of real estate investments; and advisory, consulting, valuation, and energy and sustainability services. In addition, the company offers investment management services to institutional and retail investors, including high-net-worth individuals. It provides its services to real estate owners, occupiers, investors, and developers for various property types, including cultural, educational, government, healthcare, laboratory, hotel, hospitality, and sports facilities; industrial and warehouse, office, and residential properties; retail and shopping malls; critical environment, data, transportation, and sort and fulfillment centers; infrastructure projects; and military housings. The company was formerly known as LaSalle Partners Incorporated and changed its name to Jones Lang LaSalle Incorporated in March 1999. Jones Lang LaSalle Incorporated was incorporated in 1997 and is headquartered in Chicago, Illinois.

How the Company Makes Money

JLL generates revenue through multiple streams, primarily by offering a wide array of real estate services. These include leasing and property management services, where JLL earns fees for managing commercial properties and facilitating transactions between landlords and tenants. The company also provides project and development services, earning revenue through project management and construction management contracts. Additionally, JLL's capital markets division contributes to revenue by advising clients on real estate transactions, including acquisitions, sales, and financing. The company also benefits from its investment management business, which involves managing real estate investment portfolios for clients, earning management and performance fees. Strategic partnerships and joint ventures further enhance JLL's revenue by expanding its service offerings and market reach.

Jones Lang Lasalle Financial Statement Overview

Summary

Jones Lang Lasalle shows strong revenue growth and improved profitability margins. However, it faces challenges in cash flow management, with negative operating and free cash flow. The balance sheet is stable with effective leverage management.

Income Statement

Jones Lang Lasalle has demonstrated solid revenue growth with a 12.86% increase from 2023 to 2024. The gross profit margin stood at 53.06% for 2024, indicating strong profitability. The EBIT margin improved to 3.70%, and the net profit margin increased to 2.33% in 2024, showing enhanced operational efficiency. However, the EBITDA margin showed a slight decrease, reflecting possible operational cost pressures.

Balance Sheet

The company's balance sheet reflects a stable equity position with an equity ratio of 40.38% in 2024. The debt-to-equity ratio improved to 0.19, showcasing effective leverage management. Return on equity increased to 8.07%, indicating better utilization of equity, though it remains modest for the industry.

Cash Flow

The cash flow statement shows a concerning decline in operating cash flow, turning negative in 2024, alongside a negative free cash flow. The operating cash flow to net income ratio is negative, suggesting inefficiencies in cash generation relative to income. However, the free cash flow to net income ratio indicates a need for improved cash management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
23.43B	20.76B	20.86B	19.37B	16.59B
	Gross Profit
12.44B	10.69B	10.85B	11.05B	8.90B
	EBIT
868.10M	677.20M	868.10M	1.04B	843.90M
	EBITDA
1.15B	915.60M	1.20B	1.35B	927.90M
	Net Income Common Stockholders
546.80M	225.40M	654.50M	961.60M	402.50M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
416.30M	410.00M	519.30M	593.70M	574.30M
	Total Assets
16.76B	16.06B	15.59B	15.51B	14.32B
	Total Debt
2.95B	3.12B	3.14B	2.62B	3.10B
	Net Debt
2.53B	2.71B	2.62B	2.03B	2.53B
	Total Liabilities
9.87B	9.65B	9.44B	9.08B	8.70B
	Stockholders Equity
6.77B	6.29B	6.02B	6.18B	5.52B
Cash Flow		Free Cash Flow
599.80M	388.90M	-5.90M	796.50M	965.30M
	Operating Cash Flow
785.30M	575.80M	199.90M	972.40M	1.11B
	Investing Cash Flow
-316.80M	-290.40M	-243.10M	-805.80M	-170.60M
	Financing Cash Flow
-451.20M	-374.30M	-13.10M	-143.80M	-771.20M

Jones Lang Lasalle Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 228.76
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JLL, the sentiment is Negative. The current price of 228.76 is below the 20-day moving average (MA) of 230.57, below the 50-day MA of 233.26, and below the 200-day MA of 255.19, indicating a bearish trend. The MACD of 0.94 indicates Negative momentum. The RSI at 47.20 is Neutral, neither overbought nor oversold. The STOCH value of 48.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JLL.

Jones Lang Lasalle Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JLL	76 Outperform	$10.99B	20.69	8.16%	―	13.63%	78.40%
CBRE	76 Outperform	$38.90B	39.85	12.15%	―	13.14%	1.70%
CWK	74 Outperform	$2.40B	14.80	9.53%	―	1.24%	1205.18%
EXPI	67 Neutral	$1.26B	―	-6.44%	2.49%	6.69%	-137.52%
Sector *	60 Neutral	$2.82B	10.29	0.31%	8508.26%	5.91%	-17.42%
NMRK	58 Neutral	$2.14B	29.46	5.32%	1.03%	13.87%	90.42%

Jones Lang Lasalle Corporate Events

JLL Announces Leadership Changes Effective July 2025

On May 7, 2025, JLL announced significant leadership changes effective July 1, 2025. Karen Brennan, the current CFO, will become the CEO of JLL’s Leasing Advisory business globally, while Kelly Howe, who joined JLL in 2024 and has extensive experience in the professional services sector, will succeed Brennan as CFO. These appointments reflect JLL’s strategic focus on leadership excellence and are expected to drive continued value for stakeholders.

Spark’s Take on JLL Stock

According to Spark, TipRanks’ AI Analyst, JLL is a Neutral.

JLL’s overall score reflects strong revenue growth and strategic advancements, balanced by concerns over cash flow issues and bearish technical indicators. The positive earnings call and corporate restructuring provide a more optimistic outlook, but valuation remains a moderate consideration.

To see Spark’s full report on JLL stock, click here.

JLL Restructures Reporting to Enhance Client Services

On September 24, 2024, JLL announced a restructuring of its organizational and financial reporting, effective January 1, 2025. This change involves shifting the Property Management business into the Real Estate Management Services segment, previously part of the Markets Advisory segment. The realignment aims to enhance synergies, drive innovation, and improve client experiences. Additionally, JLL renamed several segments to better reflect their functions, such as Markets Advisory becoming Leasing Advisory. The changes are expected to streamline operations and better align the company’s service offerings with client needs.

Spark’s Take on JLL Stock

According to Spark, TipRanks’ AI Analyst, JLL is a Neutral.

Jones Lang LaSalle presents a mixed outlook. While the company boasts strong revenue growth and strategic advancements, its cash flow issues and bearish technical indicators raise concerns. The earnings call provides a positive outlook, yet the overall valuation remains moderate without a dividend yield to attract income investors.

To see Spark’s full report on JLL stock, click here.