Goldman said it is upgrading CB Richard Ellis (CBG) to neutral from sell based on valuation and leading global platform. See balanced risk/reward as company is less reliant on capital markets brokerage. Also note company does not take principal risk. Maintained $19 price target.

CB Richard Ellis (CBG) was downgraded from Buy to Hold, Citigroup said. $26 price target. Valuation call, as the stock is up 54% over the past three months.

The worlds largest commercial real estate services firm (by 2006 revenue), said the Company's board authorized a buyback plan worth up too $635 million. This plan includes the $500 million authorized earlier in the month. The company, headquartered in Los Angeles-CA, did not provide any timeframe regarding when the repurchases will occur.

In the third quarter ended September 30th CB Richard Ellis experienced substantial growth, fueled by global expansion. The company reported revenue of $1.5 billion, an increase of 54.2% from $967.9 million posted in the third quarter of 2006. Net income jumped 23.1% to $114.9 million or 48 cents a share, from $92.3 million, or 39 cents a share in the same period last year.

President and CEO Brett White said, "Third quarter results clearly showed the economic and strategic benefits of our highly diversified business line and revenue base. During a period of extremes in the global credit markets as well as uneasiness about the U.S. economy generally, CBRE posted very impressive year over year gains in both revenue and profitability. These gains were ahead of our internal projections and support our view of achieving full year guidance." He continued, "Our professionals, supported by the industry's most extensive global platform and most admired brand, continue to fashion innovative solutions that enable us to expand our range of services for clients and build market share."

An equity research report from Wachovia reveals that they find CBG attractive. With an outperform rating and $34 price target Wachovia said, "We believe CBG can post results better than the overall market, which they have demonstrated over the last couple of quarters."

Solid market position, international expansion.

largest commercial real estate company

Commercial Realestate Looks Good with low interest rates

This company is due for a buyout. Huge earnings, decent cash, and huge growth!!! They worked for BX last year and I wouldn't be surprised if BX buys them out.

From Barron's 7-16-07:

Strong Buy - Price 37.29 on July 11
by JMP Securities
"We expect EPS to rise 45% during '07 to $2.15, due in part to accretive Trammell Crow purchase. For '08, we conservatively project 8% revenue growth, driving 19% EPS growth to $2.55...Longer-term, we expect mid-high-single-digit revenue growth will drive 15%-20% EPS growth. CB currently trades at '07 and '08 price/earnings multiples of 17.3 times and 14.6 times, versus Jones Lang LaSalle at 20.5 and 17.9 times. CB's 2007 and 2008 [enterprise value/earnings before interest, taxes, depreciation and amortization] multiples are 10.6 times and 9.3 times, compared to JLL at 12.5 times and 11.1 times. At our 48 price target, CB's 2008 P/E and EV/Ebitda multiples would be 18.8 times and 11.6 times."

Follow the Fed is a strategy that Douglas Roberts uses in picking stocks at Channel Capital Research Institute, where he is managing principal. Simply put, you should buy mid-to-large-cap stocks when the Federal Reserve Board is in a tight-money mode, and go for small caps when it eases on interest rates. Roberts is opting for big-caps, as he doesn't see the Fed cutting rates soon. Among his top choices: global real estate services outfit CB Richard Ellis Group (CBG ). It helps with property leasing, sales, and valuation. CBRE benefits from the expanding global real estate business—on the rise or not—since its services are needed in any deal, says Roberts. Up from 20 in August to 32.21 on Mar. 14, CBRE is cheap based on consensus estimated profits of $1.98 for 2007 and $2.37 for 2008, he says. Brandon Dobell of Credit Suisse rates CBRE "outperform," with a 12-month target of 44.

caught my eye