Is Colliers International Group Inc. (TSE:CIGI) Trading At A 37% Discount?
Oct 29
Canadian (TSX) Real Estate Industry Analysis
UpdatedOct 30, 2023
DataAggregated Company Financials
Companies34
- 7D0.02%
- 3M-9.7%
- 1Y-5.1%
- YTD-4.0%
Over the last 7 days, the Real Estate industry has remained flat, although notably StorageVault Canada gained 7.0%. Unfortunately though, the industry is down 5.1% over the past 12 months. As for the next few years, earnings are expected to grow by 23% per annum.
Industry Valuation and Performance
Has the Canadian Real Estate Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 30 Oct 2023 | CA$26.4b | CA$17.6b | CA$605.3m | 9.9x | 43.6x | 1.5x |
| Wed, 27 Sep 2023 | CA$28.1b | CA$17.0b | CA$577.8m | 8.6x | 48.7x | 1.7x |
| Fri, 25 Aug 2023 | CA$29.2b | CA$17.1b | CA$580.8m | 9.7x | 50.3x | 1.7x |
| Sun, 23 Jul 2023 | CA$30.1b | CA$17.0b | CA$1.3b | 9.1x | 22.7x | 1.8x |
| Tue, 20 Jun 2023 | CA$28.2b | CA$17.0b | CA$1.3b | 7.2x | 21x | 1.7x |
| Thu, 18 May 2023 | CA$28.0b | CA$17.3b | CA$1.4b | 7.2x | 20.1x | 1.6x |
| Sat, 15 Apr 2023 | CA$28.7b | CA$16.8b | CA$1.9b | 6.7x | 15.5x | 1.7x |
| Mon, 13 Mar 2023 | CA$29.1b | CA$17.3b | CA$1.9b | 7.5x | 15.3x | 1.7x |
| Wed, 08 Feb 2023 | CA$30.1b | CA$16.9b | CA$2.7b | 6.9x | 11.2x | 1.8x |
| Fri, 06 Jan 2023 | CA$26.8b | CA$16.9b | CA$2.7b | 7.4x | 9.9x | 1.6x |
| Sun, 04 Dec 2022 | CA$28.0b | CA$16.8b | CA$2.7b | 6.2x | 10.5x | 1.7x |
| Tue, 01 Nov 2022 | CA$27.2b | CA$16.6b | CA$2.7b | 7x | 10.2x | 1.6x |
| Thu, 29 Sep 2022 | CA$26.7b | CA$16.4b | CA$2.7b | 7.3x | 10x | 1.6x |
| Sat, 27 Aug 2022 | CA$29.7b | CA$15.8b | CA$2.6b | 7.3x | 11.4x | 1.9x |
| Mon, 25 Jul 2022 | CA$29.3b | CA$15.1b | CA$1.5b | 5.8x | 19.4x | 1.9x |
| Wed, 22 Jun 2022 | CA$27.0b | CA$15.2b | CA$1.5b | 7.4x | 17.9x | 1.8x |
| Fri, 20 May 2022 | CA$29.3b | CA$15.2b | CA$1.5b | 6.7x | 19.7x | 1.9x |
| Sun, 17 Apr 2022 | CA$32.9b | CA$14.4b | CA$1.0b | 10.8x | 32.6x | 2.3x |
| Tue, 15 Mar 2022 | CA$33.2b | CA$14.5b | CA$1.0b | 11.9x | 32.7x | 2.3x |
| Thu, 10 Feb 2022 | CA$36.2b | CA$13.7b | CA$578.8m | 14.4x | 62.5x | 2.6x |
| Sat, 08 Jan 2022 | CA$38.1b | CA$13.7b | CA$558.5m | 14.4x | 68.2x | 2.8x |
| Mon, 06 Dec 2021 | CA$36.7b | CA$13.8b | CA$579.1m | 14.4x | 63.3x | 2.7x |
| Wed, 03 Nov 2021 | CA$36.3b | CA$12.9b | CA$219.4m | 12.2x | 165.4x | 2.8x |
| Fri, 01 Oct 2021 | CA$33.7b | CA$12.9b | CA$202.8m | 11.2x | 166.1x | 2.6x |
| Sun, 29 Aug 2021 | CA$33.7b | CA$12.7b | CA$193.2m | 11.2x | 174.4x | 2.7x |
| Mon, 05 Jul 2021 | CA$31.1b | CA$12.7b | CA$193.2m | 11x | 160.7x | 2.4x |
| Thu, 08 Apr 2021 | CA$27.0b | CA$11.8b | CA$293.8m | 11.2x | 91.9x | 2.3x |
| Sun, 10 Jan 2021 | CA$24.8b | CA$11.5b | CA$205.9m | 17.1x | 120.7x | 2.2x |
Price to Earnings Ratio
30.6x
Current Industry PE
- Investors are pessimistic on the Canadian Real Estate industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 43.6x which is lower than its 3-year average PE of 58.4x.
- The 3-year average PS ratio of 2.1x is higher than the industry's current PS ratio of 1.5x.
Past Earnings Growth
- The earnings for companies in the Real Estate industry have declined 7.9% per year over the last three years.
- Meanwhile revenues for these companies have grown 14% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Canadian Real Estate industry?
| CA Market | -1.70% | |
| Real Estate | -1.97% | |
| Real Estate | 0.018% | |
| Real Estate Services | 0.23% | |
| Real Estate Development | 0.21% | |
| Real Estate Operating Companies | -0.33% | |
| Diversified Real Estate | -1.93% | |
Industry PE
- Investors are most optimistic about the Real Estate Services industry which is trading above its 3-year average PE ratio of 18.0x.
- Analysts are expecting annual earnings growth of 37.6%, which is higher than its past year's earnings decline of 17.3% per year.
- Investors are most pessimistic about the Real Estate Development industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
- Analysts are most optimistic on the Real Estate Services industry, expecting annual earnings growth of 38% over the next 5 years.
- This is better than its past earnings decline of 17% per year.
- In contrast, the Real Estate Operating Companies industry is expected to see its earnings decline by 41% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| SVI StorageVault Canada | CA$4.30 | 7.0% +CA$102.6m | -31.2% | PE572x | |
| CIGI Colliers International Group | CA$122.07 | 1.7% +CA$96.3m | -4.5% | PE551.9x | |
| REAL Real Matters | CA$4.92 | 1.9% +CA$6.6m | 6.5% | PS1.4x | |
| GDC Genesis Land Development | CA$2.32 | 3.6% +CA$4.5m | 20.8% | PE14.4x | |
| MRD Melcor Developments | CA$11.15 | 0.7% +CA$2.4m | 4.3% | PE4x |
