CBRE vs CoStar Which Should You Buy?

CBRE Group, Inc. and CoStar Group, Inc. are two well-known companies in the real estate industry. CBRE is a global real estate services and investment firm, while CoStar is a leading provider of commercial real estate information and analytics. Both companies have seen strong growth in recent years, with CBRE benefiting from its diversified service offerings and global reach, while CoStar has become a major player in the data and analytics space. Investors looking to capitalize on the real estate market may find these stocks worth considering.

CBRE or CoStar?

When comparing CBRE and CoStar, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between CBRE and CoStar.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. CBRE has a dividend yield of 0.0%, while CoStar has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. CBRE reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, CoStar reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with CBRE P/E ratio at 43.89 and CoStar's P/E ratio at 174.13. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. CBRE P/B ratio is 4.84 while CoStar's P/B ratio is 4.08.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, CBRE has seen a 5-year revenue growth of 0.65%, while CoStar's is 0.83%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with CBRE's ROE at 11.41% and CoStar's ROE at 2.37%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $136.02 for CBRE and $74.59 for CoStar. Over the past year, CBRE's prices ranged from $82.75 to $142.00, with a yearly change of 71.60%. CoStar's prices fluctuated between $68.26 and $100.38, with a yearly change of 47.06%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.