BROOKFIELD ASSET MGMT-A (BAM) Stock Fundamental Analysis
USA - NYSE:BAM - CA1130041058 - Common Stock
58.52 USD
+0.68 (+1.18%)
58.52 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to BAM. BAM was compared to 237 industry peers in the Capital Markets industry. While BAM has a great health rating, its profitability is only average at the moment. While showing a medium growth rate, BAM is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
BAM had positive earnings in the past year.
BAM had a positive operating cash flow in the past year.
BAM had positive earnings in each of the past 5 years.
BAM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
BAM has a Return On Assets of 8.71%. This is amongst the best in the industry. BAM outperforms 86.08% of its industry peers.
With a decent Return On Equity value of 13.61%, BAM is doing good in the industry, outperforming 72.15% of the companies in the same industry.
BAM has a better Return On Invested Capital (7.21%) than 79.32% of its industry peers.
BAM had an Average Return On Invested Capital over the past 3 years of 1.40%. This is significantly below the industry average of 7.61%.
The 3 year average ROIC (1.40%) for BAM is below the current ROIC(7.21%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.71% | ||
| ROE | 13.61% | ||
| ROIC | 7.21% |
ROA(3y)9%
ROA(5y)7.21%
ROE(3y)13.06%
ROE(5y)12.5%
ROIC(3y)1.4%
ROIC(5y)3.71%
1.3 Margins
The Profit Margin of BAM (57.13%) is better than 95.36% of its industry peers.
In the last couple of years the Profit Margin of BAM has grown nicely.
With an excellent Operating Margin value of 51.12%, BAM belongs to the best of the industry, outperforming 86.08% of the companies in the same industry.
In the last couple of years the Operating Margin of BAM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.12% | ||
| PM (TTM) | 57.13% | ||
| GM | N/A |
OM growth 3Y-30.79%
OM growth 5Y-18.69%
PM growth 3Y22.85%
PM growth 5Y4.98%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
BAM has more shares outstanding than it did 1 year ago.
The number of shares outstanding for BAM has been reduced compared to 5 years ago.
BAM has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 10.32 indicates that BAM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 10.32, BAM belongs to the top of the industry, outperforming 93.67% of the companies in the same industry.
The Debt to FCF ratio of BAM is 2.32, which is a good value as it means it would take BAM, 2.32 years of fcf income to pay off all of its debts.
BAM's Debt to FCF ratio of 2.32 is amongst the best of the industry. BAM outperforms 85.23% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that BAM is not too dependend on debt financing.
BAM has a Debt to Equity ratio of 0.22. This is in the better half of the industry: BAM outperforms 76.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.32 | ||
| Altman-Z | 10.32 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.31 indicates that BAM should not have too much problems paying its short term obligations.
BAM has a Current ratio (1.31) which is comparable to the rest of the industry.
BAM has a Quick Ratio of 1.31. This is a normal value and indicates that BAM is financially healthy and should not expect problems in meeting its short term obligations.
BAM has a Quick ratio (1.31) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
BAM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.94%, which is quite good.
The earnings per share for BAM have been decreasing by -22.95% on average. This is quite bad
Looking at the last year, BAM shows a very strong growth in Revenue. The Revenue has grown by 531.03%.
BAM shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -26.01% yearly.
EPS 1Y (TTM)15.94%
EPS 3Y-15.34%
EPS 5Y-22.95%
EPS Q2Q%23.53%
Revenue 1Y (TTM)531.03%
Revenue growth 3Y-46.15%
Revenue growth 5Y-26.01%
Sales Q2Q%-5.05%
3.2 Future
Based on estimates for the next years, BAM will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.78% on average per year.
Based on estimates for the next years, BAM will show a quite strong growth in Revenue. The Revenue will grow by 12.16% on average per year.
EPS Next Y12.59%
EPS Next 2Y14.95%
EPS Next 3Y15.78%
EPS Next 5YN/A
Revenue Next Year12.27%
Revenue Next 2Y13.07%
Revenue Next 3Y12.16%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BAM is valuated quite expensively with a Price/Earnings ratio of 36.58.
BAM's Price/Earnings ratio is a bit more expensive when compared to the industry. BAM is more expensive than 74.68% of the companies in the same industry.
BAM is valuated rather expensively when we compare the Price/Earnings ratio to 27.20, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 30.55, the valuation of BAM can be described as expensive.
BAM's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. BAM is more expensive than 71.73% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.71, BAM is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.58 | ||
| Fwd PE | 30.55 |
4.2 Price Multiples
BAM's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 99.42 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of BAM may justify a higher PE ratio.
A more expensive valuation may be justified as BAM's earnings are expected to grow with 15.78% in the coming years.
PEG (NY)2.91
PEG (5Y)N/A
EPS Next 2Y14.95%
EPS Next 3Y15.78%
5. Dividend
5.1 Amount
BAM has a Yearly Dividend Yield of 2.23%.
Compared to an average industry Dividend Yield of 7.96, BAM is paying slightly less dividend.
BAM's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
5.2 History
BAM has been paying a dividend for at least 10 years, so it has a reliable track record.
BAM has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)N/A
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
122.97% of the earnings are spent on dividend by BAM. This is not a sustainable payout ratio.
DP122.97%
EPS Next 2Y14.95%
EPS Next 3Y15.78%
58.52
+0.68 (+1.18%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners17.02%
Inst Owner Change12276.8%
Ins Owners1.94%
Ins Owner ChangeN/A
Market Cap95.84B
Analysts69.09
Price Target65.34 (11.65%)
Short Float %5.77%
Short Ratio11.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP122.97%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.8%
Min EPS beat(2)-1.13%
Max EPS beat(2)6.73%
EPS beat(4)3
Avg EPS beat(4)3.2%
Min EPS beat(4)-1.13%
Max EPS beat(4)6.73%
EPS beat(8)5
Avg EPS beat(8)2.65%
EPS beat(12)8
Avg EPS beat(12)3.3%
EPS beat(16)10
Avg EPS beat(16)14.49%
Revenue beat(2)0
Avg Revenue beat(2)-16.78%
Min Revenue beat(2)-17.67%
Max Revenue beat(2)-15.9%
Revenue beat(4)0
Avg Revenue beat(4)-12.82%
Min Revenue beat(4)-17.67%
Max Revenue beat(4)-0.58%
Revenue beat(8)0
Avg Revenue beat(8)-9.19%
Revenue beat(12)1
Avg Revenue beat(12)-15.43%
Revenue beat(16)3
Avg Revenue beat(16)127.5%
PT rev (1m)6.1%
PT rev (3m)11.71%
EPS NQ rev (1m)0.42%
EPS NQ rev (3m)0.04%
EPS NY rev (1m)-1.06%
EPS NY rev (3m)-1.6%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)0.82%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.58 | ||
| Fwd PE | 30.55 | ||
| P/S | 38.94 | ||
| P/FCF | 99.42 | ||
| P/OCF | 99.22 | ||
| P/B | 9.28 | ||
| P/tB | 9.28 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.6
EY2.73%
EPS(NY)1.92
Fwd EY3.27%
FCF(TTM)0.59
FCFY1.01%
OCF(TTM)0.59
OCFY1.01%
SpS1.5
BVpS6.31
TBVpS6.31
PEG (NY)2.91
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.71% | ||
| ROE | 13.61% | ||
| ROCE | 9.83% | ||
| ROIC | 7.21% | ||
| ROICexc | 7.47% | ||
| ROICexgc | 7.81% | ||
| OM | 51.12% | ||
| PM (TTM) | 57.13% | ||
| GM | N/A | ||
| FCFM | 39.17% |
ROA(3y)9%
ROA(5y)7.21%
ROE(3y)13.06%
ROE(5y)12.5%
ROIC(3y)1.4%
ROIC(5y)3.71%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)1.93%
ROCE(5y)4.85%
ROICexcg growth 3Y-36.28%
ROICexcg growth 5YN/A
ROICexc growth 3Y-36.35%
ROICexc growth 5YN/A
OM growth 3Y-30.79%
OM growth 5Y-18.69%
PM growth 3Y22.85%
PM growth 5Y4.98%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.32 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 21.69 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 68.56% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 10.32 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)18.12%
Cap/Sales(5y)11.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.94%
EPS 3Y-15.34%
EPS 5Y-22.95%
EPS Q2Q%23.53%
EPS Next Y12.59%
EPS Next 2Y14.95%
EPS Next 3Y15.78%
EPS Next 5YN/A
Revenue 1Y (TTM)531.03%
Revenue growth 3Y-46.15%
Revenue growth 5Y-26.01%
Sales Q2Q%-5.05%
Revenue Next Year12.27%
Revenue Next 2Y13.07%
Revenue Next 3Y12.16%
Revenue Next 5YN/A
EBIT growth 1Y2319.23%
EBIT growth 3Y-62.73%
EBIT growth 5Y-39.83%
EBIT Next Year12.14%
EBIT Next 3Y17.48%
EBIT Next 5YN/A
FCF growth 1Y139.98%
FCF growth 3Y-25.34%
FCF growth 5Y-6.68%
OCF growth 1Y140.66%
OCF growth 3Y-24.26%
OCF growth 5Y-5.43%