CBRE Group (NYSE:CBRE – Get Free Report) and reAlpha Tech (NASDAQ:AIRE – Get Free Report) are both real estate companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, earnings, risk, profitability, analyst recommendations and dividends.
Valuation & Earnings
This table compares CBRE Group and reAlpha Tech”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| CBRE Group | $40.55 billion | 0.95 | $1.16 billion | $4.36 | 30.48 |
| reAlpha Tech | $4.52 million | 1.31 | -$17.59 million | ($3.32) | -0.30 |
CBRE Group has higher revenue and earnings than reAlpha Tech. reAlpha Tech is trading at a lower price-to-earnings ratio than CBRE Group, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and price targets for CBRE Group and reAlpha Tech, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| CBRE Group | 0 | 1 | 6 | 0 | 2.86 |
| reAlpha Tech | 1 | 0 | 1 | 0 | 2.00 |
CBRE Group currently has a consensus price target of $178.40, indicating a potential upside of 34.23%. reAlpha Tech has a consensus price target of $50.00, indicating a potential upside of 4,977.17%. Given reAlpha Tech’s higher possible upside, analysts plainly believe reAlpha Tech is more favorable than CBRE Group.
Profitability
This table compares CBRE Group and reAlpha Tech’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| CBRE Group | 2.98% | 25.12% | 7.46% |
| reAlpha Tech | -419.95% | -198.91% | -97.12% |
Institutional and Insider Ownership
98.4% of CBRE Group shares are held by institutional investors. Comparatively, 1.0% of reAlpha Tech shares are held by institutional investors. 0.5% of CBRE Group shares are held by insiders. Comparatively, 21.5% of reAlpha Tech shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Volatility and Risk
CBRE Group has a beta of 1.23, indicating that its share price is 23% more volatile than the S&P 500. Comparatively, reAlpha Tech has a beta of -2.56, indicating that its share price is 356% less volatile than the S&P 500.
Summary
CBRE Group beats reAlpha Tech on 11 of the 14 factors compared between the two stocks.
About CBRE Group
CBRE Group, Inc. operates as a commercial real estate services and investment company in the United States, the United Kingdom, and internationally. The Advisory Services segment offers strategic advice and execution to owners, investors, and occupiers of real estate in connection with leasing of offices, and industrial and retail space; clients fully integrated property sales services under the CBRE Capital Markets brand; clients commercial mortgage and structured financing services; originates and sells commercial mortgage loans; property management services, such as marketing, building engineering, accounting, and financial services on a contractual basis for owners of and investors in office, industrial, and retail properties; and valuation services that include market value appraisals, litigation support, discounted cash flow analyses, and feasibility studies, as well as consulting services, such as property condition reports, hotel advisory, and environmental consulting. The Global Workplace Solutions segment provides facilities management, including day-to-day management of client-occupied space, headquarters, regional offices, administrative offices, data centers and other critical facilities, manufacturing and laboratory facilities, and distribution facilities and retail space; and project management services comprising building consulting, program, and project and cost management services under the Turner & Townsend brand name. The Real Estate Investments segment offers investment management services under the CBRE Investment Management brand to pension funds, insurance companies, sovereign wealth funds, foundations, endowments, and other institutional investors; and development services, such as real estate development and investment activities under the Trammell Crow Company and Telford Homes brands to users and investors in commercial real estate, and for their own account. CBRE Group, Inc. was founded in 1906 and is headquartered in Dallas, Texas.
About reAlpha Tech
reAlpha Tech Corp., a real estate technology company, commercializes artificial intelligence (AI)-powered technologies. The company operates in two segments, Platform Services and Rental Business. The company offers and develops AI-based products and services to customers in the real-estate industry. These include reAlpha BRAIN, which utilizes a natural language processing program to scan through property data and choose the ones with a higher than expected industry standard return on investment; reAlpha HUMINT, which allows analysts to input qualitative features about a property and factor it into property evaluation; GENA to generate home descriptions; AIRE, a web-based AI application that provides data and insights about the real estate market; and reAlpha App, which allows syndicate members to acquire equity interests in the syndication LLC. It also leases short-term rental properties; and provides technical support services. The company was formerly known as eAlpha Asset Management, Inc. and changed its name to reAlpha Tech Corp. in March 2023. reAlpha Tech Corp. was founded in 2020 and is headquartered in Dublin, Ohio.
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