Brookfield Corporation (BN) AI Stock Analysis

• Market Cap: C$154.68B
• Dividend Yield: 0.53%
• Average Volume (3M): 2.72M
• Price to Earnings (P/E): 121.8
• Beta (1Y): 1.87
• Revenue Growth: -19.04%
• EPS Growth: 17.82%
• Country: CA
• Employees: 250,000
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.79
• Shares Outstanding: 2,476,003,200
• 10 Day Avg. Volume: 3,248,577
• 30 Day Avg. Volume: 2,720,594
• PEG Ratio: -1.81
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 0.67
• P/FCF Ratio: -16.87
• 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: C$72.05
• Price Target Upside: 13.48% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 3.32
• Revenue Forecast (FY): C$11.48B

• Rating: 65 Neutral
• Price Target: C$69.00 ▲(8.68% Upside)

Brookfield Corporation's overall stock score reflects a mix of strong strategic growth initiatives and operational efficiency, offset by high leverage and valuation concerns. The company's robust earnings call guidance and positive technical indicators are significant strengths, while financial performance and valuation present notable risks.

Positive Factors

Record Deployable Capital

The record deployable capital positions Brookfield to capitalize on investment opportunities, supporting long-term growth and strategic initiatives.

Strategic Transactions and Partnerships

Strategic acquisitions and partnerships enhance Brookfield's market position and expand its operational capabilities, driving sustainable growth.

Strong Financial Performance

Strong financial performance with increased distributable earnings indicates effective management and operational efficiency, supporting long-term stability.

Negative Factors

High Leverage

High leverage can strain financial flexibility and increase risk, potentially impacting Brookfield's ability to invest and grow sustainably.

Negative Revenue Growth

Negative revenue growth challenges future profitability and may hinder Brookfield's ability to fund new initiatives and maintain competitive advantage.

Cash Flow Challenges

Negative free cash flow indicates potential issues in liquidity management, affecting Brookfield's capacity to invest in growth and manage debt.

Brookfield Corporation Business Overview & Revenue Model

Company Description

Brookfield Corporation is an alternative asset manager and REIT/Real Estate Investment Manager firm focuses on real estate, renewable power, infrastructure and venture capital and private equity assets. It manages a range of public and private investment products and services for institutional and retail clients. It typically makes investments in sizeable, premier assets across geographies and asset classes. It invests both its own capital as well as capital from other investors. Within private equity and venture capital, it focuses on acquisition, early ventures, control buyouts and financially distressed, buyouts and corporate carve-outs, recapitalizations, convertible, senior and mezzanine financings, operational and capital structure restructuring, strategic re-direction, turnaround, and under-performing midmarket companies. It invests in both public debt and equity markets. It invests in private equity sectors with focus on Business Services include infrastructure, healthcare, road fuel distribution and marketing, construction and real estate; Industrials include manufacturers of automotive batteries, graphite electrodes, returnable plastic packaging, and sanitation management and development; and Residential/ infrastructure services. It targets companies which likely possess underlying real assets, primarily in sectors such as industrial products, building materials, metals, mining, homebuilding, oil and gas, paper and packaging, manufacturing and forest product sectors. It invests globally with focus on North America including Brazil, the United States, Canada; Europe; and Australia; and Asia-Pacific. The firm considers equity investments in the range of $2 million to $500 million. It has a four-year investment period and a 10-year term with two one-year extensions. The firm prefers to take minority stake and majority stake. Brookfield Corporation was founded in 1997 and based in Toronto, Canada with additional offices across Northern America; South America; Europe; Middle East and Asia.

How the Company Makes Money

Brookfield Corporation generates revenue primarily through management fees and performance fees associated with its investment funds. The company earns management fees from its various investment vehicles, which are based on the assets under management (AUM). Additionally, Brookfield collects performance fees when its funds exceed certain benchmarks, aligning its interests with those of its investors. Key revenue streams include income from real estate investments through rental income and property sales, earnings from renewable power generation, cash flows from infrastructure assets, and returns from private equity investments. The company also benefits from strategic partnerships with institutional investors and other asset managers, which provide access to additional capital and investment opportunities, further enhancing its revenue potential.

Brookfield Corporation Financial Statement Overview

Summary

Brookfield Corporation faces a challenging financial landscape with declining revenue growth and high leverage. While operational efficiency remains strong, as evidenced by healthy EBIT and EBITDA margins, the company needs to address its high debt levels and improve profitability. Cash flow management is crucial, given the negative free cash flow growth.

Income Statement

Brookfield Corporation's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a decline in revenue growth rate by 6.13%, reflecting a challenging market environment. However, the company maintains a strong EBIT margin of 27.62% and an EBITDA margin of 40.52%, indicating efficient operations. The net profit margin is relatively low at 1.11%, suggesting room for improvement in profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 5.38, which could pose a risk if market conditions worsen. The return on equity is modest at 1.83%, indicating limited returns for shareholders. However, the equity ratio stands at 9.21%, suggesting a stable asset base despite the high leverage.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 43.71% in the TTM period, highlighting potential liquidity challenges. The operating cash flow to net income ratio is 0.15, indicating adequate cash generation relative to net income. However, the negative free cash flow to net income ratio of -0.12 suggests the company is not generating sufficient free cash flow relative to its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.37B	86.01B	95.92B	92.77B	75.73B	62.75B
Gross Profit	25.66B	18.07B	14.52B	14.26B	11.73B	15.37B
EBITDA	30.64B	29.19B	30.69B	25.05B	28.75B	14.55B
Net Income	996.00M	641.00M	1.13B	2.06B	3.97B	-134.00M
Balance Sheet
Total Assets	514.59B	490.42B	490.10B	441.28B	391.00B	343.70B
Cash, Cash Equivalents and Short-Term Investments	16.68B	20.18B	16.89B	21.96B	19.66B	15.42B
Total Debt	262.97B	234.79B	233.71B	214.07B	175.93B	156.62B
Total Liabilities	351.51B	325.04B	321.85B	299.39B	256.26B	221.05B
Stockholders Equity	46.66B	45.98B	45.78B	43.75B	46.35B	35.84B
Cash Flow
Free Cash Flow	-2.81B	-3.43B	-1.63B	1.45B	984.26M	4.56B
Operating Cash Flow	9.74B	7.21B	6.59B	8.40B	7.80B	8.78B
Investing Cash Flow	-26.72B	-20.09B	-2.59B	-27.57B	-18.62B	-1.19B
Financing Cash Flow	21.62B	16.97B	-7.43B	20.82B	13.67B	-4.23B

Brookfield Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 63.49
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BN, the sentiment is Neutral. The current price of 63.49 is below the 20-day moving average (MA) of 63.98, below the 50-day MA of 63.58, and above the 200-day MA of 57.63, indicating a neutral trend. The MACD of -0.44 indicates Positive momentum. The RSI at 44.57 is Neutral, neither overbought nor oversold. The STOCH value of 15.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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	C$3.46B	49.19	14.90%	1.36%	35.51%	7.55%
IGM	76 Outperform	C$14.55B	14.16	12.37%	3.57%	-1.02%	-5.65%
ONEX	69 Neutral	C$7.61B	12.71	5.15%	0.36%	2.46%	-27.48%
BAM	68 Neutral	C$117.96B	31.75	36.59%	3.40%	597.75%	50.43%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BN	65 Neutral	C$154.68B	121.75	2.14%	0.53%	-19.04%	17.82%
BBUC	47 Neutral	C$4.79B	-3.22	―	0.70%	-0.16%	-2945.66%

Brookfield Corporation Corporate Events

Brookfield Completes C$250 Million Preferred Share Offering

Brookfield Corporation announced the successful completion of a C$250 million issuance of Class A Preference Shares, Series 54, which will trade on the Toronto Stock Exchange. The proceeds will be used to redeem the company’s outstanding Series 44 shares, marking a strategic financial maneuver to optimize its capital structure and potentially enhance shareholder value.

Brookfield CEO to Present at Goldman Sachs Conference

Brookfield Corporation announced that its CEO, Bruce Flatt, will present at the Goldman Sachs U.S. Financial Services Conference on December 9, 2025. This presentation is expected to provide insights into Brookfield’s strategic direction and operational focus, potentially impacting its industry positioning and offering stakeholders a deeper understanding of its market approach.

Brookfield Corporation Announces Investor Day for Strategic Insights

Brookfield Corporation and Brookfield Asset Management Ltd. have announced their upcoming Investor Day on September 10, 2025, in New York. The event will feature presentations from both entities, highlighting their strategic initiatives and financial outlooks. This event is significant for stakeholders as it provides insights into the company’s future directions and potential impacts on its market positioning. The webcast will be accessible to interested parties, with a replay available for those unable to attend live.