Colliers stock price target maintained at $175 by RBC Capital

Published 16/06/2025, 15:18
Colliers stock price target maintained at $175 by RBC Capital

RBC Capital reiterated its Outperform rating and $175.00 price target on Colliers International (NASDAQ:CIGI) Monday, representing a potential 34% upside from the current price of $130.35. The firm highlighted the company’s differentiated position in the commercial real estate sector, where InvestingPro data shows it maintains a prominent position with nearly $5 billion in annual revenue.

RBC noted that Colliers distinguishes itself from competitors through its higher concentration in Engineering and Investment Management (IM) segments. According to RBC Capital, Engineering represents an area where Colliers is actively pursuing growth opportunities, supported by a healthy 13.5% revenue growth in the last twelve months and strong financial health metrics identified by InvestingPro.

The Investment Management segment is being positioned for a potential "strategic outcome" such as a spin-off, which could help reveal its value while supporting continued growth, RBC Capital indicated in its analysis.

From an operational perspective, RBC reported that Colliers maintains its revenue growth expectations in the high-single-digit to low-teens range overall, with mid to high-single-digit growth organically.

The assessment followed RBC Capital’s non-deal roadshow with Colliers CFO Christian Mayer in the United States, where these strategic priorities and growth projections were discussed.

In other recent news, Colliers International Group Inc. reported its first-quarter earnings and revenue, which fell short of analyst expectations. The company posted adjusted earnings per share of $0.87, missing the consensus estimate of $0.89, while revenue reached $1.14 billion, slightly below the projected $1.15 billion. Despite these misses, Colliers experienced a 14% year-over-year revenue increase, with its Engineering segment showing a notable 59% growth. Additionally, the company maintained its full-year 2025 outlook, contingent upon global trade and interest rate stability. Colliers also announced a semi-annual cash dividend of $0.15 per share, payable in July 2025. This dividend aligns with the company’s ongoing strategy to deliver value to shareholders. The company continues to manage assets exceeding $100 billion, marking a milestone by closing the quarter with $100.3 billion in assets under management. Colliers remains focused on achieving its strategic goals despite market volatility.

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