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Are Investors Undervaluing CBRE Group (CBRE) Right Now?

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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.

On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.

One company to watch right now is CBRE Group (CBRE - Free Report) . CBRE is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 13.23. This compares to its industry's average Forward P/E of 18.56. CBRE's Forward P/E has been as high as 15.36 and as low as 11.14, with a median of 14, all within the past year.

Investors should also note that CBRE holds a PEG ratio of 1.20. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CBRE's PEG compares to its industry's average PEG of 2.09. CBRE's PEG has been as high as 1.33 and as low as 0.86, with a median of 1.14, all within the past year.

Value investors will likely look at more than just these metrics, but the above data helps show that CBRE Group is likely undervalued currently. And when considering the strength of its earnings outlook, CBRE sticks out at as one of the market's strongest value stocks.


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