CBRE Q4 Earnings Preview: Analysts Expect 14.8% Revenue Growth

Commercial real estate giant CBRE (CBRE) is poised to release its Q4 financial results before the market opens tomorrow. Analysts anticipate solid performance, with revenue projected to surge by 14.8% year-over-year to $10.28 billion. This would mark a significant improvement from the 9.2% growth reported in Q4 2021.

Strong Q3 Performance

In Q3, CBRE exceeded analysts' revenue estimates by 3%, reporting revenues of $9.04 billion. The company also surpassed expectations for adjusted operating income and Investment Management revenue.

Analyst Consensus

Analysts have largely maintained their revenue estimates over the past 30 days, indicating confidence in CBRE's performance heading into earnings. Over the past two years, CBRE has only missed Wall Street's revenue estimates once, exceeding top-line expectations by an average of 3.4%.

Peer Performance

Recent earnings reports from CBRE's consumer discretionary peers provide some insight into potential results. Zillow reported 16.9% year-on-year revenue growth, exceeding estimates by 1.1%, while VF Corp reported a 1.9% increase in revenues, beating estimates by 1.2%.

Investor Sentiment

Sentiment towards consumer discretionary stocks has been positive, with share prices rising by an average of 2.7% over the past month. CBRE's shares have gained 14.7% during the same period and now trade at $143.29. Analysts have an average price target of $151.64 for the stock.