Brookfield Infrastructure (BIPC) AI Stock Analysis

• Market Cap: C$8.15B
• Dividend Yield: 4.63%
• Average Volume (3M): 172.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: 3.29%
• EPS Growth: 76.89%
• Country: CA
• Employees: 1,300
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Gas
• EPS (TTM): 0.85
• Shares Outstanding: 119,018,290
• 10 Day Avg. Volume: 111,027
• 30 Day Avg. Volume: 172,141
• PEG Ratio: 0.02
• Price to Book (P/B): -4.58
• Price to Sales (P/S): 1.57
• P/FCF Ratio: 8.76
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: C$66.00 ▲(2.92% Upside)

The overall stock score reflects a balance of strong technical indicators and an attractive dividend yield against significant financial risks. The company's high leverage and negative net margins are major concerns, but the stock's current bullish momentum and dividend yield offer some positive aspects.

Positive Factors

Revenue Growth

The positive revenue growth indicates an expanding market presence and effective asset management, supporting long-term business sustainability.

Cash Flow Growth

Strong free cash flow growth enhances financial flexibility, allowing for reinvestment in core operations and potential debt reduction.

Operational Efficiency

High operational efficiency, as evidenced by a strong EBIT margin, suggests effective cost management and a competitive business model.

Negative Factors

High Leverage

High leverage poses financial risk, potentially limiting the company's ability to invest in growth opportunities and manage economic downturns.

Negative Net Margins

Negative net margins indicate profitability challenges, which could hinder long-term financial health and shareholder returns.

Potential Solvency Issues

Potential solvency issues could impact the company's ability to meet long-term obligations, affecting its operational stability and creditworthiness.

Brookfield Infrastructure Business Overview & Revenue Model

Company Description

Brookfield Infrastructure Partners L.P. (BIPC) is a leading global infrastructure company that owns and operates a diverse portfolio of assets across utilities, transport, energy, and communications sectors. The company focuses on acquiring, developing, and managing infrastructure assets that provide essential services to communities and businesses. With a strong emphasis on long-term value creation, Brookfield Infrastructure leverages its extensive operational expertise and global reach to optimize the performance of its assets, ensuring reliable cash flows and sustainable growth.

How the Company Makes Money

Brookfield Infrastructure generates revenue primarily through the ownership and operation of its infrastructure assets. Key revenue streams include regulated utility operations, which provide stable and predictable cash flows through customer tariffs; transportation assets, such as toll roads and railroads, which earn fees from users; and energy assets, including renewable power generation, which benefit from long-term power purchase agreements. The company also earns revenue from its communications infrastructure, such as data centers and cell towers, through leasing agreements. Additionally, Brookfield Infrastructure might partner with local governments or other entities to enhance infrastructure capabilities, further strengthening its revenue base while contributing to community development.

Brookfield Infrastructure Financial Statement Overview

Summary

Brookfield Infrastructure's financials present a mixed picture. Strong gross profit margin and cash flow growth are overshadowed by significant net losses and high leverage. Negative equity and declining revenue growth indicate potential financial instability.

Income Statement

The income statement shows mixed results. The TTM (Trailing-Twelve-Months) gross profit margin is strong at 62.53%, indicating efficient cost management. However, the net profit margin is negative at -33.28%, reflecting significant losses. Revenue growth is negative at -1.13%, suggesting declining sales. EBIT and EBITDA margins are robust, but the negative net income is a concern.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of -10.70, indicating significant financial risk. The return on equity is positive at 118.68%, but this is due to negative equity, which is a red flag. The equity ratio is not meaningful due to negative equity, highlighting potential solvency issues.

Cash Flow

The cash flow statement shows positive trends with a free cash flow growth rate of 11.36% in the TTM period. The operating cash flow to net income ratio is 0.31, indicating decent cash generation relative to net income. However, the free cash flow to net income ratio of 0.69 suggests that cash flow is not fully covering net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.66B	3.67B	2.50B	1.89B	1.64B	1.43B
Gross Profit	2.29B	2.29B	1.73B	1.34B	1.12B	1.19B
EBITDA	3.81B	2.28B	2.04B	2.53B	953.54M	548.95M
Net Income	-156.00M	-608.00M	111.00M	1.62B	27.00M	-232.00M
Balance Sheet
Total Assets	23.99B	23.59B	23.91B	10.18B	10.09B	9.34B
Cash, Cash Equivalents and Short-Term Investments	438.00M	742.00M	577.00M	445.00M	469.00M	192.00M
Total Debt	13.49B	12.28B	12.05B	4.60B	3.69B	4.62B
Total Liabilities	21.80B	21.36B	19.84B	10.54B	11.51B	9.92B
Stockholders Equity	-1.20B	-1.25B	-399.00M	-1.12B	-2.13B	-1.72B
Cash Flow
Free Cash Flow	1.93B	655.00M	465.00M	372.00M	424.00M	331.00M
Operating Cash Flow	2.23B	1.74B	1.06B	893.00M	839.00M	730.00M
Investing Cash Flow	-1.17B	-1.11B	-3.17B	-1.05B	326.00M	-399.00M
Financing Cash Flow	-326.00M	-428.00M	2.18B	-4.00M	-868.00M	-317.00M

Brookfield Infrastructure Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 64.13
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BIPC, the sentiment is Positive. The current price of 64.13 is above the 20-day moving average (MA) of 63.53, above the 50-day MA of 63.07, and above the 200-day MA of 55.72, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.57 is Neutral, neither overbought nor oversold. The STOCH value of 27.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BIPC.

Brookfield Infrastructure Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CU	72 Outperform	C$11.59B	21.68	8.84%	4.30%	-0.94%	25.64%
ACO.X	69 Neutral	C$5.61B	14.50	9.32%	3.63%	7.75%	11.25%
EMA	69 Neutral	C$20.18B	18.12	8.83%	4.35%	14.10%	65.76%
ALA	66 Neutral	C$12.34B	16.50	9.01%	3.04%	-0.68%	49.61%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
CPX	64 Neutral	C$9.31B	21.21	9.40%	4.44%	-2.99%	-32.11%
BIPC	54 Neutral	C$8.15B	-41.67	―	4.63%	3.29%	76.89%

Brookfield Infrastructure Corporate Events

Brookfield Infrastructure Launches $400 Million Equity Issuance Program

Brookfield Infrastructure Corporation has announced the initiation of an ‘at the market’ equity issuance program, allowing the company to sell up to $400 million of class A exchangeable subordinate voting shares. This program provides the company with the flexibility to issue shares directly into the market under favorable conditions, with proceeds intended for repurchasing partnership units and general corporate purposes. The program is designed to be non-dilutive, maintaining the overall number of shares and units stable, and is set to terminate by February 28, 2027, or upon the sale of all shares.