5 Best Real Estate Stocks To Buy

2. Jones Lang LaSalle Incorporated (NYSE:JLL)

Number of Hedge Fund Holders: 22

Jones Lang LaSalle Incorporated (NYSE:JLL) is a multinational professional services and investment management company specializing in real estate. The company is headquartered in Chicago, Illinois, and provides services to clients in 80 countries. Jones Lang LaSalle Incorporated (NYSE:JLL) has a strong market position and strong cash flows. The company has free cash flows of $159.9 million and is placed second among the best real estate stocks to buy now. The stock is also undervalued and is trading at a PE multiple of 9x, as of December 16.

As of September 21, UBS analyst Alex Kramm has a $247 price target and Buy rating on Jones Lang LaSalle Incorporated (NYSE:JLL).

At the end of the third quarter of 2022, 22 hedge funds held stakes in Jones Lang LaSalle Incorporated (NYSE:JLL). The total value of these stakes amounted to $1.16 billion. As of September 30, Generation Investment Management is the largest shareholder Jones Lang LaSalle Incorporated (NYSE:JLL) and has stakes worth $692.46 million in the company.

Here is what Baron Funds had to say about Jones Lang LaSalle Incorporated (NYSE:JLL) in its third-quarter 2022 investor letter:

“Jones Lang LaSalle Incorporated (NYSE:JLL) is one of the leading commercial real estate services firms in the world with scale, product breadth, and leadership positions across its diversified real estate business segments.

It is currently valued at only 8 times estimated 2023 earnings per share versus a long-term average of 14 times earnings per share.

CBRE and Jones Lang LaSalle have scale, product breadth, and leadership positions across their diversified real estate business segments. They continue to gain market share and are well positioned to capitalize on ample attractive acquisition opportunities in the years ahead given strong and liquid balance sheets. Though we acknowledge that growth in certain segments of their businesses has slowed and is likely to remain pressured in the months ahead due to the global economic slowdown and higher interest rates, we believe both are attractively valued and present compelling return potential in the next few years.”