Goldman Sachs Downgrades JLL and CBG to Neutral

Goldman Sachs is out with a research report this morning, where it downgrades shares of Jones Lang LaSalle JLL and CB Richard Ellis CBG to Neutral, from Buy; it has $100.00 and $25.00 price targets on the stocks, respectively. The GS analysts said that they are downgrading the leading commercial real estate brokers to Neutral from Buy following impressive 4Q2010 earnings and recent outperformance in the shares. At 18X their respective 2012E EPS, the anaslyts believe both stocks capture the strong growth in earnings they expect to see over the next two years. In fact, we raise our target prices and estimates in this report. Also, shares now trade at a 20+% premium to historical multiples (in the 15X range).