BMO Capital Markets has trimmed its 12-month price target for Colliers International Group Inc. (NASDAQ:CIGI) to $180 from $188, but the firm left its Outperform rating intact. The revised target remains well above the stock's prevailing share price of $109.55.
The move followed Colliers' fourth-quarter 2025 results, which fell short of some expectations, and the company nnounced 2026 guidance that matched analysts' consensus. Over the last twelve months the firm reported revenue growth of 15.27%.
Shares of Colliers fell sharply in recent sessions - down 24% over a three-day span - as investors reacted to the potential for artificial intelligence to disrupt elements of the company's business model. Data cited from InvestingPro shows a 22.6% decline over the past week, and technical indicators such as the relative strength index suggest the stock is in oversold territory.
BMO described investor concerns about AI-driven disintermediation as "overdone" and framed AI more as an operational enabler than an existential threat. The firm expects AI to drive efficiency gains and margin improvement over time, freeing professionals to concentrate on higher-value services tied to transactions, contracts and advisory work that demand judgment, expertise and client relationships.
Analyst sentiment remains broadly positive: consensus price targets sit in a range between $156 and $200. BMO reiterated that the long-term fundamental growth outlook for Colliers remains constructive and expressed continued conviction that the company can compound shareholder value over multiple years.
Additional company fundamentals highlighted by InvestingPro included a 13-year streak of dividend payments and a strong liquidity position, with liquid assets exceeding short-term obligations. InvestingPro also notes 14 further investment ideas for CIGI in its Pro Research Report.
In earnings detail, Colliers reported fourth-quarter 2025 earnings per share of $2.34, below the $2.43 analysts had forecast. Revenue for the quarter came in at $1.43 billion, missing the projected $1.61 billion figure.
Other broker reactions accompanied BMO's note. RBC Capital reduced its price target from $190 to $180 while keeping an Outperform rating, characterizing the stock's recent drop as disproportionate to what it called a modest earnings miss. Citizens maintained a Market Perform rating and observed that the sell-off has improved the stock's valuation, noting the shares now trade at a discount versus the sector average despite a history of trading at a premium.
Taken together, these analyst updates and market moves form part of broader adjustments in the property-services sector as investors reassess earnings trajectories and technology-related risks. While short-term volatility has intensified, several analysts continue to emphasize a favorable longer-term growth profile for Colliers.
Summary
BMO cut Colliers' price target to $180 and kept an Outperform rating after Q4 results slightly missed estimates and 2026 guidance aligned with analysts. The stock plunged amid AI concerns but some brokers and data providers argue the sell-off may be excessive given the company's fundamentals and dividend track record.
Key points
- BMO lowered its Colliers price target from $188 to $180 while maintaining an Outperform rating; current share price is $109.55.
- Colliers posted 15.27% revenue growth over the last 12 months; Q4 EPS was $2.34 versus $2.43 expected, and revenue was $1.43 billion versus $1.61 billion expected.
- Shares dropped as much as 24% over three days on investor worries about AI disintermediating parts of the property-services model; InvestingPro data shows a 22.6% weekly decline and an RSI indicating oversold conditions.
Risks and uncertainties
- AI-related disintermediation risk - market concerns about technology reducing the need for traditional brokerage and advisory roles could pressure valuations in the property-services sector.
- Near-term earnings volatility - the Q4 2025 earnings and revenue shortfalls illustrate the potential for quarter-to-quarter misses that can prompt sharp market moves.
- Market revaluation - ongoing adjustments across the property-services sector could affect investor sentiment and comparables, as highlighted by differing broker reactions.