Colliers International Group (CIGI) AI Stock Analysis

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Colliers International Group

(NASDAQ:CIGI)

Rating:73Outperform

Price Target:

C$232.00

▲(7.57% Upside)

Colliers International Group's overall score reflects strong operational performance and positive market momentum, bolstered by recent earnings and guidance. However, high leverage and valuation concerns temper the outlook.

Positive Factors

Financial Performance

Colliers reported solid second-quarter results and raised its outlook for 2025.

Growth Strategy

Management believes it is possible to double the size of Engineering and Investment Management over the next five years, which would support multiple expansion.

Negative Factors

Leasing Revenue

Growth in leasing and capital markets decelerated, with leasing revenue falling by 7%.

Leasing Trends

Trends in leasing remain slightly disappointing.

Colliers International Group (CIGI) vs. iShares MSCI Canada ETF (EWC)

Market Cap

C$10.89B

Dividend Yield0.19%

Average Volume (3M)55.15K

Price to Earnings (P/E)70.6

Beta (1Y)1.19

Revenue Growth20.00%

EPS Growth-23.17%

CountryCA

Employees23,000

SectorReal Estate

Sector Strength59

IndustryReal Estate - Services

Share Statistics

EPS (TTM)2.38

Shares Outstanding49,297,832

10 Day Avg. Volume87,620

30 Day Avg. Volume55,146

Financial Highlights & Ratios

PEG Ratio0.33

Price to Book (P/B)5.16

Price to Sales (P/S)1.42

P/FCF Ratio26.20

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

C$235.98

Price Target Upside9.41% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering8

Colliers International Group Business Overview & Revenue Model

Company DescriptionColliers International Group Inc. provides commercial real estate professional and investment management services to corporate and institutional clients in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers sales brokerage services, including real estate sales, debt origination and placement, equity capital raising, market value opinions, acquisition advisory, and transaction management services; and landlord and tenant representation services. The company provides outsourcing and advisory services, such as corporate and workplace solutions; valuation and advisory services; workplace strategy services; loan servicing; property marketing; research services; and engineering design services for property and building, infrastructure, transportation, environmental and telecommunications end-markets. It also offers property management services comprising building operations and maintenance, facilities management, lease administration, property accounting and financial reporting, contract management and, construction management; and project management services, which include bid document review, construction monitoring and delivery management, contract administration and integrated cost control, development management, facility and engineering functionality, milestone and performance monitoring, quality assurance, risk management and strategic project consulting. In addition, the company provides investment management services that consists of asset management advisory and administration, transaction, and incentive services. The company was founded in 1972 and is headquartered in Toronto, Canada.

How the Company Makes MoneyColliers International Group makes money through a diversified revenue model primarily centered around its service offerings in the real estate sector. Key revenue streams include transaction-based services such as brokerage commissions from buying, selling, and leasing properties; recurring revenue from property and project management contracts; and fees from advisory and consulting services. Additionally, Colliers generates income through investment management services, where it earns management and performance fees from managing real estate assets on behalf of investors. The company's earnings are bolstered by strategic partnerships with real estate developers and investors, as well as its expansive global network, which enhances its ability to secure and manage large-scale projects across different markets.

Colliers International Group Earnings Call Summary

Earnings Call Date:Aug 06, 2025

(Q2-2025)

% Change Since: 0.02%|

Next Earnings Date:Nov 04, 2025

Earnings Call Sentiment Positive

Colliers reported strong overall performance with significant revenue growth driven by its Engineering segment and successful acquisitions. While facing some challenges in leasing revenues and Investment Management net revenues, the company remains optimistic about its future, supported by robust fundraising and a strong M&A pipeline.

Q2-2025 Updates

Positive Updates

Strong Revenue Growth

Colliers reported a 17% year-over-year increase in revenues, reaching $1.3 billion for the second quarter.

Engineering Segment Performance

The Engineering segment showed remarkable growth with a 70% increase in net revenue, supported by acquisitions and 8% internal growth.

Investment in Growth

The company completed several acquisitions, including RoundShield Partners with $5.4 billion in AUM, enhancing their credit, student housing, and hospitality capabilities.

Increased AUM

Assets Under Management (AUM) increased to $103 billion during the quarter and over $108 billion pro forma for the acquisition of RoundShield.

Improved Fundraising

Fundraising improved with $1 billion raised in Q2, and an additional $0.5 billion since quarter-end, bringing year-to-date fundraising to $2.7 billion.

Positive Rebranding Efforts

Rebranding efforts, such as the Investment Management division into Harrison Street Asset Management, aim to leverage global recognition and expand capabilities.

Robust M&A Pipeline

The company completed several tuck-under acquisitions and maintains a robust M&A pipeline, anticipating further acquisitions throughout the year.

Negative Updates

Leasing Revenue Decline

Leasing revenues declined by 5% globally, with industrial volumes affected by tariff-related and macroeconomic uncertainty.

Investment Management Revenue Decline

Net revenues in Investment Management declined by 7% due to catch-up fees recognized in the prior year, although net margin improved.

Higher Leverage

The company's leverage ratio increased to 2.3x as of June 30, slightly higher than anticipated due to acquisitions and foreign currency fluctuations.

Company Guidance

During the Colliers International Second Quarter Investors Conference Call, the company provided optimistic guidance for the remainder of the fiscal year. Colliers raised its full-year consolidated outlook, driven by a combination of organic growth and recent acquisitions. The second quarter results showed a 17% year-over-year revenue increase to $1.3 billion and a 15% rise in adjusted EBITDA to $180 million. The Real Estate Services segment saw a revenue growth of 4%, with capital markets revenues up 16%, though global leasing revenues declined by 5%. The Engineering division reported a net revenue jump of 70%, while Investment Management's net revenues declined by 7%, though the net margin improved to 42%. Assets under management (AUM) increased to $103.3 billion, with $2.7 billion in year-to-date fundraising. Colliers' leverage ratio was at 2.3x, with expectations to decrease to just under 2x by year-end. The company anticipates continued strong performance across its segments, buoyed by a robust M&A pipeline and a positive market outlook for the latter half of the year.

Colliers International Group Financial Statement Overview

Summary

Colliers International Group shows robust financial performance with strong revenue growth and stable profitability margins. However, high leverage and negative free cash flow growth are potential risks.

Income Statement

Positive

Colliers International Group shows a robust financial performance in the TTM period with a Gross Profit Margin of 39.87% and a Net Profit Margin of 2.92%. The Revenue Growth Rate is strong at 13.99% when comparing the latest annual figures, indicating healthy growth. The EBIT Margin stands at 7.61%, and the EBITDA Margin is 12.24%, both showing profitability stability over time. However, a slight decline in EBIT and EBITDA margins from the previous year may indicate operational cost pressures.

Balance Sheet

Positive

The company's Debt-to-Equity Ratio is 1.66, which is relatively high, suggesting a higher reliance on debt financing. The Return on Equity (ROE) is 10.80%, showing a good return for shareholders. The Equity Ratio is 21.95%, indicating a moderate level of equity financing. While the company has strengthened its equity base over recent years, the high leverage level could pose risks if interest rates rise.

Cash Flow

Positive

Colliers' Free Cash Flow Growth Rate is negative, with a significant drop in free cash flow in the TTM period. However, the Operating Cash Flow to Net Income Ratio of 2.62 suggests strong cash generation relative to net income, indicating operational efficiency. The Free Cash Flow to Net Income Ratio is negative due to capital expenditure exceeding operating cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.17B	4.82B	4.34B	4.46B	4.09B	2.79B
Gross Profit	2.08B	1.92B	1.74B	1.71B	1.57B	1.05B
EBITDA	624.48M	618.49M	509.39M	613.89M	24.87M	302.56M
Net Income	112.09M	161.72M	65.54M	194.54M	-237.56M	94.49M
Balance Sheet
Total Assets	6.46B	6.10B	5.48B	5.10B	3.87B	3.29B
Cash, Cash Equivalents and Short-Term Investments	183.34M	224.83M	204.66M	173.66M	396.75M	156.61M
Total Debt	2.32B	2.06B	2.14B	2.10B	1.30B	1.25B
Total Liabilities	3.92B	3.62B	3.56B	4.60B	2.75B	2.71B
Stockholders Equity	1.39B	1.32B	847.99M	493.37M	581.60M	586.11M
Cash Flow
Free Cash Flow	-103.54M	260.92M	81.14M	-650.00K	231.03M	126.13M
Operating Cash Flow	282.52M	326.01M	165.66M	67.03M	288.98M	166.48M
Investing Cash Flow	-677.18M	-783.10M	-133.98M	-872.84M	-49.41M	-113.46M
Financing Cash Flow	395.48M	452.21M	-7.81M	612.92M	18.60M	1.05M

Colliers International Group Technical Analysis

Technical Analysis Sentiment

Positive

Last Price215.68

Price Trends

50DMA

183.50

Positive

100DMA

175.59

Positive

200DMA

187.12

Positive

Market Momentum

MACD

9.03

Negative

RSI

79.87

Negative

STOCH

96.25

Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CIGI, the sentiment is Positive. The current price of 215.68 is above the 20-day moving average (MA) of 196.35, above the 50-day MA of 183.50, and above the 200-day MA of 187.12, indicating a bullish trend. The MACD of 9.03 indicates Negative momentum. The RSI at 79.87 is Negative, neither overbought nor oversold. The STOCH value of 96.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CIGI.

Colliers International Group Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CIGI	73 Outperform	C$10.89B	70.61	8.69%	0.19%	20.00%	-23.17%
Sector *	63 Neutral	$6.81B	13.54	-1.43%	7.28%	4.64%	-34.02%
FSV	―	$8.93B	62.84	12.16%	0.53%	―	―
MEQ	80 Outperform	C$1.77B	7.22	19.75%	0.08%	16.22%	39.56%
AIF	72 Outperform	C$2.51B	178.14	2.13%	1.15%	-23.26%	-644.01%
SVI	58 Neutral	C$1.70B	―	-23.35%	0.25%	7.94%	-12.23%
BREUF	―	$103.95M	―		8.88%	―	―

* Real Estate Sector Average

Performance Comparison

TSE:CIGI

Colliers International Group

215.68

32.46

17.71%

FSV

FirstService

198.74

30.24

17.95%

TSE:AIF

Altus Group

52.25

1.82

3.61%

TSE:MEQ

Mainstreet Equity

193.61

-3.14

-1.60%

TSE:SVI

Storagevault Canada

4.67

0.15

3.32%

BREUF

Bridgemarq Real Estate Services

10.88

2.61

31.56%

Colliers International Group Corporate Events

Executive/Board ChangesShareholder Meetings

Colliers International Group Announces Director Elections and Shareholder Approvals

Positive

Apr 1, 2025

Colliers International Group Inc. announced the election of ten directors at its virtual annual shareholders meeting. The shareholders also approved the appointment of PricewaterhouseCoopers LLP as the auditor and a non-binding advisory resolution on executive compensation. These decisions reflect Colliers’ commitment to strong governance and strategic growth, reinforcing its position in the professional services and investment management industry.

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 02, 2025