Cushman & Wakefield Ltd. Common Shares (CWK)

FairStock Score: 35/100 — MIXED

Key Financials

Strengths

• Generates $442 million in annual free cash flow (13.2% yield on market cap)
• Established organization with 53,000 employees providing operational scale

Concerns

• Trades significantly above Graham Number ($8) with negative 68% margin of safety—limited downside protection
• Currently unprofitable—sustained losses could lead to dilutive capital raises or balance sheet deterioration
• Altman Z-Score of 0.7 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Cushman & Wakefield Ltd. Common Shares is a small-cap real estate company valued at $3.4 billion. Revenue stands at $10.3 billion, though the company is currently unprofitable. From a quality standpoint, Cushman shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 0.7 warrants caution. On valuation, the stock is trading at a premium 37.6x earnings, with trades above its Graham Number with a negative 68% margin. Growth dynamics show revenue growing at 10.8% and profit growth of -119.8%. Our composite FairStock Score of 35/100 reflects below-average fundamentals overall. Without profitability, this remains speculative—suitable only for those with high risk tolerance and a long time horizon.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $442 million in annual free cash flow (13.2% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

At 38x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer