In its recent Q1 2026 report, Turtle Creek Asset Management has reaffirmed its robust conviction in Colliers International Group Inc. (CIGI), a prominent provider of commercial real estate and investment management services. Despite a challenging quarter marked by heightened market volatility, rising oil prices due to geopolitical tensions, and the expanding influence of AI across sectors, Turtle Creek significantly augmented its stake in CIGI. This strategic decision elevates CIGI to a top-five holding within the firm's portfolio, underscoring a belief that market anxieties about AI's potential disruption to CIGI's multifaceted business segments are largely overstated.

The investment firm's Q1 2026 letter highlighted several critical market dynamics, including the impact of the Iran conflict on energy markets and the pervasive reach of artificial intelligence. Amidst these factors, the Turtle Creek Equity Fund experienced a -4.8% return for the quarter. However, CIGI's outlook, as assessed by Turtle Creek, remains decidedly positive. The firm projects mid-teen earnings per share (EPS) growth for CIGI in the current year, a trajectory they anticipate will continue in subsequent years. This positive forecast, coupled with a 30% decline in CIGI's share price during the quarter, presented an opportune moment for Turtle Creek to bolster its investment.

On June 17, 2026, CIGI's shares closed at $92.89. The company observed a one-month return of -3.41% and a 52-week loss of 27.98%, bringing its market capitalization to $4.75 billion. Demonstrating further confidence in the company's prospects, Jay Hennick, CIGI's founder and CEO, also made substantial investments, acquiring $16 million worth of stock through his family foundation during the same period. This insider activity reinforces the positive sentiment expressed by Turtle Creek. Additionally, CIGI's recent acquisition of a European engineering firm signals a strategic expansion and bolsters its 'bolt-on' acquisition strategy within the EMEA region, further solidifying its growth potential.

While CIGI is not currently among the top 40 most popular stocks favored by hedge funds entering 2026, with only 20 hedge fund portfolios holding the stock in Q1, Turtle Creek Asset Management's increased investment points to a discerning long-term view. The firm's confidence is rooted in CIGI's diverse operational divisions—Commercial Real Estate, Engineering, and Investment Management—and a belief in their resilience against market concerns, including the broader implications of AI. This strategic move suggests a conviction that CIGI is undervalued and poised for significant future growth.