Brookfield Corporation (BN) AI Stock Analysis

• Market Cap: $112.49B
• Dividend Yield: 0.59%
• Average Volume (3M): 2.11M
• Price to Earnings (P/E): 176.0
• Beta (1Y): 2.00
• Revenue Growth: -13.64%
• EPS Growth: -48.43%
• Country: CA
• Employees: 250,000
• Sector: Financial
• Sector Strength: 83
• Industry: Asset Management
• EPS (TTM): 1.14
• Shares Outstanding: 1,498,531,000
• 10 Day Avg. Volume: 1,443,697
• 30 Day Avg. Volume: 2,109,240
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 5.68
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 35.34
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $88.67
• Price Target Upside: 14.87% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

Brookfield Corporation's overall stock score reflects a solid earnings performance and strong operational efficiency, particularly in asset management. However, high leverage and weak cash flow are major concerns impacting financial stability. The technical analysis suggests caution, while the valuation indicates potential overpricing. Despite these risks, positive earnings call highlights and robust inflows support optimism for future growth.

Positive Factors

Growth Potential

Record bookings bode well for future growth.

Investment Opportunities

The company's value proposition is highlighted in the report, indicating potential investment opportunities.

Negative Factors

EPS Estimates Risk

Consensus' growth expectations are already set, and there is modest risk to '24-'26 EPS estimates.

Brookfield Corporation Business Overview & Revenue Model

Company Description

Brookfield Corporation (BN) is a global alternative asset manager with over a century of experience in owning and operating high-quality assets. The company focuses on real estate, infrastructure, renewable power, private equity, and credit. Brookfield operates across more than 30 countries, providing investors with diversified asset management opportunities and leveraging its expertise in operational excellence and value creation.

How the Company Makes Money

Brookfield Corporation generates revenue through its asset management and investment activities. The company earns management fees from its asset management services, where it oversees investments on behalf of institutional clients, retail investors, and its own balance sheet. Additionally, Brookfield earns performance fees when certain investment benchmarks are met or exceeded. The company also generates income from its direct investments in real assets, which include rental income from real estate properties, tolls from infrastructure assets, revenue from renewable energy generation, and returns from private equity investments. Strategic partnerships and joint ventures further enhance Brookfield's ability to access high-quality assets and capital, contributing to its overall earnings.

Brookfield Corporation Financial Statement Overview

Summary

Brookfield Corporation demonstrates strong operational efficiency with robust EBIT and EBITDA margins. However, declining revenue and net income growth, high leverage, and weak cash flow performance are concerning and pose potential risks to long-term financial health.

Income Statement

Brookfield Corporation's TTM (Trailing-Twelve-Months) shows a decrease in total revenue and net income compared to the previous year. The gross profit margin improved from 16.9% to 27.4%, but the net profit margin dropped to 0.7%. The EBIT and EBITDA margins are relatively strong at 10.6% and 33.6%, respectively, indicating operational efficiency. However, the revenue growth rate from the previous year is negative, which is a concern for future earnings stability.

Balance Sheet

The balance sheet reflects a stable equity base despite high total liabilities. The debt-to-equity ratio stands at 5.11, indicating high leverage, typical in asset management. The equity ratio is 9.4%, showing a solid equity position relative to total assets. Return on equity has decreased significantly, indicating challenges in generating returns from equity. Despite high leverage, the company maintains a substantial asset base.

Cash Flow

The cash flow statement reveals a weak free cash flow position with a significant decline in the free cash flow growth rate. Operating cash flow is positive but low relative to net income, and the free cash flow to net income ratio is negative, indicating cash flow challenges. This situation could impact the company’s ability to finance operations and growth without external funding.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
86.01B	97.99B	92.77B	75.73B	62.75B
	Gross Profit
18.07B	16.58B	14.26B	11.73B	15.37B
	EBIT
0.00	16.51B	17.19B	16.91B	10.18B
	EBITDA
29.19B	30.69B	25.05B	28.75B	14.55B
	Net Income Common Stockholders
641.00M	1.13B	5.20B	12.39B	707.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.18B	11.22B	21.96B	19.66B	9.93B
	Total Assets
490.42B	490.10B	441.28B	391.00B	343.70B
	Total Debt
234.79B	233.71B	214.07B	175.93B	148.40B
	Net Debt
219.74B	222.49B	199.68B	163.24B	138.47B
	Total Liabilities
325.04B	321.85B	299.39B	256.26B	221.05B
	Stockholders Equity
45.98B	45.78B	43.75B	46.35B	35.84B
Cash Flow		Free Cash Flow
-3.60B	-1.60B	1.51B	993.00M	4.33B
	Operating Cash Flow
7.57B	6.47B	8.75B	7.87B	8.34B
	Investing Cash Flow
-29.96B	-29.76B	-39.65B	-21.05B	-13.87B
	Financing Cash Flow
26.90B	19.93B	32.46B	16.26B	8.70B

Brookfield Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 77.19
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BN, the sentiment is Positive. The current price of 77.19 is above the 20-day moving average (MA) of 71.63, above the 50-day MA of 73.82, and above the 200-day MA of 75.38, indicating a bullish trend. The MACD of 0.85 indicates Negative momentum. The RSI at 59.61 is Neutral, neither overbought nor oversold. The STOCH value of 81.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BN.

Brookfield Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SII	79 Outperform	$1.90B	27.06	15.69%	2.10%	19.98%	18.77%
IGM	73 Outperform	$10.37B	11.12	13.00%	5.08%	-9.41%	-18.55%
BAM	69 Neutral	C$124.13B	42.17	18.14%	2.89%	27.17%	16.13%
Sector *	64 Neutral	$12.51B	9.81	7.92%	16985.69%	12.67%	-5.98%
BN	63 Neutral	$112.49B	176.02	1.40%	0.59%	-13.64%	-48.43%
ONEX	60 Neutral	C$6.89B	18.19	3.54%	0.40%	-17.78%	-41.13%
BBUC	40 Underperform	$3.53B	―	-247.20%	0.95%	-11.38%	-259.72%

Brookfield Corporation Corporate Events

Brookfield Corporation Reports Strong Earnings and Strategic Growth

Brookfield Corporation reported a 27% increase in distributable earnings, reaching $1.5 billion, and repurchased $850 million of shares in 2025. The company experienced strong growth in its asset management and wealth solutions businesses, with a record $165 billion in deployable capital. Despite market volatility, Brookfield remains optimistic about its long-term outlook, aiming for 15%+ returns for shareholders. The acquisition of a majority stake in Angel Oak is expected to further enhance its asset management capabilities.

Spark’s Take on TSE:BN Stock

According to Spark, TipRanks’ AI Analyst, TSE:BN is a Neutral.

Brookfield Corporation’s stock score is primarily influenced by its operational efficiency and strong earnings reported in the recent call. However, risks are evident in the form of high leverage, weak cash flow, and a stretched valuation. Technical indicators suggest caution with possible overbought conditions. Investors should weigh the strong operational performance against the financial and valuation challenges.

To see Spark’s full report on TSE:BN stock, click here.

Brookfield Corporation Achieves Record 2024 Results and Increases Dividend

Brookfield Corporation announced record financial results for 2024, with distributable earnings before realizations increasing by 15% to $4.9 billion. The company’s asset management business saw over $135 billion in inflows, and its wealth solutions earnings nearly doubled, driven by the acquisition of American Equity Life and organic growth. The Board declared a 13% increase in the quarterly dividend, reflecting confidence in continued positive momentum across its businesses.