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Bridgemarq Real Estate Services, Inc. (TSE:BRE)
TSX:BRE
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Bridgemarq Real Estate Services (BRE) AI Stock Analysis

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TSE:BRE

Bridgemarq Real Estate Services

(TSX:BRE)

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Neutral 47 (OpenAI - 4o)
Rating:47Neutral
Price Target:
C$14.50
▲(9.35% Upside)
Bridgemarq Real Estate Services' overall stock score reflects significant financial challenges, including declining profitability and a weak balance sheet. While the company has made strides in expanding its realtor network and advertising efforts, these are counterbalanced by market contractions and financial losses. The high dividend yield is a positive, but its sustainability is in question, impacting the overall valuation.

Bridgemarq Real Estate Services (BRE) vs. iShares MSCI Canada ETF (EWC)

Bridgemarq Real Estate Services Business Overview & Revenue Model

Company DescriptionBridgemarq Real Estate Services (BRE) is a leading provider of real estate services in Canada, specializing in residential real estate brokerage and property management. The company operates through a network of franchisees and agents, offering a comprehensive suite of services including marketing, transaction management, and advisory services, aimed at facilitating the buying, selling, and leasing of residential properties. BRE also focuses on empowering its agents with technology and training to enhance their productivity and client satisfaction.
How the Company Makes MoneyBridgemarq Real Estate Services generates revenue primarily through commission-based earnings from real estate transactions facilitated by its network of agents and franchisees. Each time a property is bought or sold, BRE receives a percentage of the commission from the transaction, which is shared between the company and the individual agents involved. Additionally, BRE may charge franchise fees to its franchisees, which can include initial setup fees and ongoing royalties based on sales performance. The company also benefits from ancillary services such as training and support programs for agents, which can provide additional revenue streams. Strategic partnerships with mortgage lenders, insurance companies, and technology providers further enhance BRE's offerings and can contribute to its overall earnings through referral fees or joint marketing ventures.

Bridgemarq Real Estate Services Earnings Call Summary

Earnings Call Date:Aug 14, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 11, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted positive strides in realtor network growth, success in the Quebec market, and advancements in advertising and AI integration. However, these were counterbalanced by significant financial challenges, including a net loss, decreased free cash flow, and market contraction in key areas, leading to concerns about the sustainability of the dividend payout.
Q2-2025 Updates
Positive Updates
Increased Realtor Network
The company increased its realtor network by 2% since the end of last year, with a current count of 21,409 realtors.
Quebec Market Growth
The residential real estate market in Quebec recorded a 20% increase in the second quarter of 2025 compared to the previous year, with unit sales up by 11% and average selling prices up by 8%.
Advertising Campaign Success
The Royal LePage brand's Proudly Canadian national advertising campaign generated over 41 million social media views and reached over 7 million Canadians in Q2.
AI and Technology Integration
The company is embracing AI technologies to enhance productivity, marketing, and client service, offering AI-driven training opportunities to improve realtor productivity and lead generation.
Negative Updates
Net Loss in Q2
The company reported a net loss of $5.4 million in the second quarter, compared to net earnings of $10.5 million in 2024, largely driven by a $4.9 million loss on the noncash fair valuation of exchangeable units.
Decrease in Free Cash Flow
Free cash flow in Q2 was $3.6 million, down from $5.6 million in the same quarter of 2024, primarily due to softer brokerage earnings and higher corporate costs resulting from onetime expenses.
Market Contraction in Key Areas
The Canadian residential real estate market contracted by 4% in Q2 2025 compared to 2024, with the Greater Toronto and Greater Vancouver areas experiencing double-digit volume declines and single-digit average selling price declines.
Soft Market Environment
The payout ratio remains meaningfully above 100%, with concerns about maintaining the dividend amid a soft market environment.
Company Guidance
During the Bridgemarq Real Estate Services Inc. 2025 Second Quarter Results Conference Call, the company provided several key metrics and insights into its financial performance and market conditions. Revenue for the first half of 2025 was reported at $186 million, up from $122 million in 2024, despite a slight decrease in Q2 revenue to $108 million from $111 million last year. The company experienced a net loss of $5.4 million in Q2, compared to net earnings of $10.5 million in 2024, primarily due to a $4.9 million noncash fair valuation loss on exchangeable units. Adjusted net earnings were $2.2 million, consistent with the previous year. The Canadian residential real estate market contracted by 4%, with the Greater Toronto and Vancouver areas experiencing significant declines, while Quebec's market grew by 20%. The company expanded its network to 21,409 realtors, reflecting a 2% increase, and continued to enhance its technology platforms and marketing efforts, including a national advertising campaign with over 41 million social media views. Despite market challenges, the company maintained its annualized dividend of $1.35 per share, drawing on debt facilities to support payouts, and expressed optimism about future growth initiatives and market recovery.

Bridgemarq Real Estate Services Financial Statement Overview

Summary
Bridgemarq Real Estate Services faces significant financial challenges, with declining revenues and profitability, a weak balance sheet characterized by negative equity, and operational difficulties. While cash flow generation remains relatively stable, the overall financial health is under pressure, requiring strategic improvements.
Income Statement
45
Neutral
The income statement shows a significant decline in revenue growth with a negative trend in net profit margins, indicating challenges in maintaining profitability. The gross profit margin has decreased over time, and the net income has turned negative in the TTM period, reflecting operational difficulties.
Balance Sheet
30
Negative
The balance sheet reveals a concerning negative stockholders' equity, leading to a high and negative debt-to-equity ratio. This indicates financial instability and potential solvency issues. The return on equity is positive in the TTM but remains low, suggesting limited returns for shareholders.
Cash Flow
50
Neutral
Cash flow analysis shows a decline in free cash flow growth, but the company maintains a positive operating cash flow. The free cash flow to net income ratio is strong, indicating efficient cash generation relative to net income, despite the negative net income.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue414.29M350.67M48.45M49.87M50.20M40.34M
Gross Profit77.65M65.87M47.42M48.66M49.17M39.62M
EBITDA11.19M18.52M23.11M27.67M28.36M23.33M
Net Income-18.34M-10.32M4.00M20.97M4.76M767.00K
Balance Sheet
Total Assets176.71M157.44M64.89M72.63M78.60M88.96M
Cash, Cash Equivalents and Short-Term Investments11.41M9.09M5.74M6.42M6.22M9.16M
Total Debt93.01M87.16M67.02M66.96M68.42M73.38M
Total Liabilities262.76M237.69M122.01M120.94M135.08M137.40M
Stockholders Equity-86.06M-80.25M-57.12M-48.31M-56.48M-48.44M
Cash Flow
Free Cash Flow7.92M15.57M12.79M15.08M15.14M18.68M
Operating Cash Flow9.07M17.10M13.67M15.10M15.14M19.87M
Investing Cash Flow-1.53M2.48M-1.48M-598.00K-275.00K-3.11M
Financing Cash Flow-10.21M-16.24M-12.87M-14.30M-17.80M-12.80M

Bridgemarq Real Estate Services Technical Analysis

Technical Analysis Sentiment
Negative
Last Price13.26
Price Trends
50DMA
14.24
Negative
100DMA
14.43
Negative
200DMA
13.84
Negative
Market Momentum
MACD
-0.24
Negative
RSI
40.54
Neutral
STOCH
30.80
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BRE, the sentiment is Negative. The current price of 13.26 is below the 20-day moving average (MA) of 13.46, below the 50-day MA of 14.24, and below the 200-day MA of 13.84, indicating a bearish trend. The MACD of -0.24 indicates Negative momentum. The RSI at 40.54 is Neutral, neither overbought nor oversold. The STOCH value of 30.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BRE.

Bridgemarq Real Estate Services Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
C$1.73B5.6319.75%0.09%14.29%144.57%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
65
Neutral
$10.00B52.3111.14%0.71%14.10%28.82%
63
Neutral
$11.11B71.788.68%0.20%22.85%-25.32%
56
Neutral
C$2.43B-39.933.20%1.12%-33.01%-2201.72%
47
Neutral
$126.99M-6.4010.50%184.78%-222.63%
47
Neutral
C$1.76B-501.04-2.63%0.24%9.98%93.01%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:BRE
Bridgemarq Real Estate Services
13.26
-0.19
-1.41%
TSE:FSV
FirstService
212.68
-47.40
-18.23%
TSE:CIGI
Colliers International Group
212.69
2.02
0.96%
TSE:AIF
Altus Group
47.18
-8.81
-15.73%
TSE:MEQ
Mainstreet Equity
186.00
-18.24
-8.93%
TSE:SVI
Storagevault Canada
4.83
0.71
17.23%

Bridgemarq Real Estate Services Corporate Events

Business Operations and StrategyDividendsPrivate Placements and Financing
Bridgemarq Declares Dividend and Secures Financial Support Amid Market Challenges
Neutral
Oct 16, 2025

Bridgemarq Real Estate Services announced a cash dividend of $0.1125 per restricted voting share, payable on November 28, 2025. The company has secured support from its largest shareholder, Brookfield Business Partners, to enhance financial flexibility amid a challenging economic environment. This includes deferring payments on exchangeable units and establishing a credit facility to support liquidity. The measures aim to safeguard the company during low activity levels in the Canadian real estate market and enable continued investment in growth and margin enhancement strategies.

The most recent analyst rating on (TSE:BRE) stock is a Hold with a C$14.50 price target. To see the full list of analyst forecasts on Bridgemarq Real Estate Services stock, see the TSE:BRE Stock Forecast page.

Dividends
Bridgemarq Declares Cash Dividend for Shareholders
Positive
Sep 19, 2025

Bridgemarq Real Estate Services announced a cash dividend of $0.1125 per restricted voting share, payable on October 31, 2025, to shareholders of record as of September 30, 2025. This decision reflects the company’s ongoing commitment to providing value to its shareholders and may impact its financial positioning and stakeholder relations positively.

The most recent analyst rating on (TSE:BRE) stock is a Hold with a C$15.00 price target. To see the full list of analyst forecasts on Bridgemarq Real Estate Services stock, see the TSE:BRE Stock Forecast page.

Bridgemarq’s Earnings Call: Growth Amid Challenges
Sep 1, 2025

Bridgemarq Real Estate Services Inc. recently held its earnings call, revealing a mixed sentiment among stakeholders. While the company celebrated growth in its realtor network, success in the Quebec market, and advancements in advertising and AI integration, these achievements were overshadowed by financial difficulties. The company reported a net loss, decreased free cash flow, and market contraction in key areas, raising concerns about the sustainability of its dividend payout.

Bridgemarq Real Estate Services Q2 2025 Financial Overview
Aug 15, 2025

Bridgemarq Real Estate Services Inc. is a prominent provider of services to residential real estate brokers and a network of over 21,000 REALTORS® across Canada, operating under various well-known brands. The company recently released its second-quarter financial results for 2025, highlighting a revenue of $108 million and a declared monthly dividend for shareholders. Despite a slight decline in revenue compared to the previous year, the company saw an increase in franchise fees due to higher fees and an expanded REALTOR® base. However, the quarter ended with a net loss of $5.4 million, attributed mainly to a loss on the fair valuation of Exchangeable Units. Adjusted Net Earnings stood at $2.2 million, while Free Cash Flow was reported at $3.6 million, both showing a decrease from the previous year. Looking forward, Bridgemarq remains focused on leveraging its comprehensive services and innovative tools to attract top-performing professionals and navigate market challenges, positioning itself for growth in the evolving real estate industry.

Business Operations and StrategyDividendsFinancial Disclosures
Bridgemarq Reports Q2 Results Amid Market Challenges
Negative
Aug 14, 2025

Bridgemarq Real Estate Services reported a decrease in revenue and net earnings for the second quarter of 2025, with revenue at $108 million and a net loss of $5.4 million. Despite these challenges, the company declared a monthly dividend and highlighted its ability to attract top-performing professionals and provide advanced tools for productivity and client service. The Canadian residential real estate market saw a contraction, with economic uncertainty affecting consumer confidence, although signs of improved sentiment were noted by the end of the quarter.

The most recent analyst rating on (TSE:BRE) stock is a Buy with a C$17.00 price target. To see the full list of analyst forecasts on Bridgemarq Real Estate Services stock, see the TSE:BRE Stock Forecast page.

Financial Disclosures
Bridgemarq to Discuss Q2 Financial Results in Upcoming Conference Call
Neutral
Aug 5, 2025

Bridgemarq Real Estate Services announced it will host a conference call on August 14, 2025, to discuss its second quarter financial results. This announcement is part of the company’s ongoing efforts to maintain transparency and engage with stakeholders, reflecting its commitment to providing insights into its financial performance and strategic direction.

The most recent analyst rating on (TSE:BRE) stock is a Buy with a C$17.00 price target. To see the full list of analyst forecasts on Bridgemarq Real Estate Services stock, see the TSE:BRE Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 02, 2025