BROOKFIELD CORP (BN.CA) Stock Fundamental Analysis
TSX:BN - Toronto Stock Exchange - CA11271J1075 - Common Stock - Currency: CAD
Taking everything into account, BN scores 3 out of 10 in our fundamental rating. BN was compared to 82 industry peers in the Capital Markets industry. BN may be in some trouble as it scores bad on both profitability and health. BN is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year BN was profitable.
In the past year BN had a positive cash flow from operations.
Of the past 5 years BN 4 years were profitable.
BN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BN has a worse Return On Assets (0.09%) than 69.51% of its industry peers.
The Return On Equity of BN (0.99%) is worse than 67.07% of its industry peers.
BN has a Return On Invested Capital (3.48%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for BN is below the industry average of 7.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.09% | ||
| ROE | 0.99% | ||
| ROIC | 3.48% |
ROA(3y)0.24%
ROA(5y)0.32%
ROE(3y)2.5%
ROE(5y)2.99%
ROIC(3y)3.69%
ROIC(5y)3.45%
1.3 Margins
The Profit Margin of BN (0.55%) is worse than 65.85% of its industry peers.
In the last couple of years the Profit Margin of BN has declined.
The Operating Margin of BN (24.95%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of BN has grown nicely.
BN has a Gross Margin of 35.04%. This is in the lower half of the industry: BN underperforms 60.98% of its industry peers.
BN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.95% | ||
| PM (TTM) | 0.55% | ||
| GM | 35.04% |
OM growth 3Y4.81%
OM growth 5Y5.87%
PM growth 3Y-52.22%
PM growth 5Y-32.46%
GM growth 3Y8.55%
GM growth 5Y6.54%
2. Health
2.1 Basic Checks
BN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for BN remains at a similar level compared to 5 years ago.
The debt/assets ratio for BN is higher compared to a year ago.
2.2 Solvency
A Debt/Equity ratio of 5.43 is on the high side and indicates that BN has dependencies on debt financing.
BN has a worse Debt to Equity ratio (5.43) than 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.43 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
BN has a Current Ratio of 1.11. This is a normal value and indicates that BN is financially healthy and should not expect problems in meeting its short term obligations.
BN has a Current ratio of 1.11. This is in the lower half of the industry: BN underperforms 69.51% of its industry peers.
A Quick Ratio of 0.96 indicates that BN may have some problems paying its short term obligations.
BN has a worse Quick ratio (0.96) than 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 35.71% over the past year.
The Earnings Per Share has been growing by 18.12% on average over the past years. This is quite good.
Looking at the last year, BN shows a very negative growth in Revenue. The Revenue has decreased by -15.17% in the last year.
The Revenue has been growing slightly by 4.86% on average over the past years.
EPS 1Y (TTM)35.71%
EPS 3Y-49.52%
EPS 5Y18.12%
EPS Q2Q%27.27%
Revenue 1Y (TTM)-15.17%
Revenue growth 3Y4.33%
Revenue growth 5Y4.86%
Sales Q2Q%1284.57%
3.2 Future
BN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.32% yearly.
Based on estimates for the next years, BN will show a very strong growth in Revenue. The Revenue will grow by 20.22% on average per year.
EPS Next Y-0.27%
EPS Next 2Y9.25%
EPS Next 3Y11.32%
EPS Next 5YN/A
Revenue Next Year28.06%
Revenue Next 2Y20.03%
Revenue Next 3Y20.22%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.08, BN is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as BN.
Compared to an average S&P500 Price/Earnings ratio of 27.50, BN is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 14.20, the valuation of BN can be described as correct.
63.41% of the companies in the same industry are more expensive than BN, based on the Price/Forward Earnings ratio.
BN is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.08 | ||
| Fwd PE | 14.2 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as BN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.5 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y9.25%
EPS Next 3Y11.32%
5. Dividend
5.1 Amount
BN has a Yearly Dividend Yield of 4.70%, which is a nice return.
Compared to an average industry Dividend Yield of 4.97, BN has a dividend in line with its industry peers.
BN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.7% |
5.2 History
The dividend of BN decreases each year by -3.57%.
BN has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of BN decreased recently.
Dividend Growth(5Y)-3.57%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
151.35% of the earnings are spent on dividend by BN. This is not a sustainable payout ratio.
DP151.35%
EPS Next 2Y9.25%
EPS Next 3Y11.32%
TSX:BN (7/18/2025, 7:00:00 PM)
92.31
-1.36 (-1.45%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners56.19%
Inst Owner ChangeN/A
Ins Owners10.27%
Ins Owner ChangeN/A
Market Cap152.13B
Analysts76.67
Price Target93.74 (1.55%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.7% |
Yearly Dividend0.6
Dividend Growth(5Y)-3.57%
DP151.35%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.97%
Min EPS beat(2)6.19%
Max EPS beat(2)11.75%
EPS beat(4)3
Avg EPS beat(4)21.57%
Min EPS beat(4)-0.3%
Max EPS beat(4)68.65%
EPS beat(8)7
Avg EPS beat(8)14.69%
EPS beat(12)9
Avg EPS beat(12)-3.55%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)1228.35%
Min Revenue beat(2)1136.66%
Max Revenue beat(2)1320.03%
Revenue beat(4)4
Avg Revenue beat(4)1410.47%
Min Revenue beat(4)1136.66%
Max Revenue beat(4)1712.11%
Revenue beat(8)8
Avg Revenue beat(8)707.05%
Revenue beat(12)12
Avg Revenue beat(12)490.56%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.98%
PT rev (3m)-6.14%
EPS NQ rev (1m)-0.18%
EPS NQ rev (3m)-3.72%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)0%
Revenue NQ rev (1m)3.27%
Revenue NQ rev (3m)1.16%
Revenue NY rev (1m)0.86%
Revenue NY rev (3m)2.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.08 | ||
| Fwd PE | 14.2 | ||
| P/S | 1.37 | ||
| P/FCF | N/A | ||
| P/OCF | 12.66 | ||
| P/B | 2.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.5 |
EPS(TTM)5.74
EY6.22%
EPS(NY)6.5
Fwd EY7.04%
FCF(TTM)-11.86
FCFYN/A
OCF(TTM)7.29
OCFY7.9%
SpS67.47
BVpS37.68
TBVpS-24.13
PEG (NY)N/A
PEG (5Y)0.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.09% | ||
| ROE | 0.99% | ||
| ROCE | 4.67% | ||
| ROIC | 3.48% | ||
| ROICexc | 3.58% | ||
| ROICexgc | 4.35% | ||
| OM | 24.95% | ||
| PM (TTM) | 0.55% | ||
| GM | 35.04% | ||
| FCFM | N/A |
ROA(3y)0.24%
ROA(5y)0.32%
ROE(3y)2.5%
ROE(5y)2.99%
ROIC(3y)3.69%
ROIC(5y)3.45%
ROICexc(3y)3.83%
ROICexc(5y)3.59%
ROICexgc(3y)4.77%
ROICexgc(5y)4.39%
ROCE(3y)4.96%
ROCE(5y)4.64%
ROICexcg growth 3Y2.5%
ROICexcg growth 5Y4.8%
ROICexc growth 3Y1.58%
ROICexc growth 5Y3.93%
OM growth 3Y4.81%
OM growth 5Y5.87%
PM growth 3Y-52.22%
PM growth 5Y-32.46%
GM growth 3Y8.55%
GM growth 5Y6.54%
F-Score6
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.43 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.21 | ||
| Cap/Depr | 236.74% | ||
| Cap/Sales | 28.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 29.26% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | N/A |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)209.51%
Cap/Depr(5y)213.66%
Cap/Sales(3y)20.38%
Cap/Sales(5y)19.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.71%
EPS 3Y-49.52%
EPS 5Y18.12%
EPS Q2Q%27.27%
EPS Next Y-0.27%
EPS Next 2Y9.25%
EPS Next 3Y11.32%
EPS Next 5YN/A
Revenue 1Y (TTM)-15.17%
Revenue growth 3Y4.33%
Revenue growth 5Y4.86%
Sales Q2Q%1284.57%
Revenue Next Year28.06%
Revenue Next 2Y20.03%
Revenue Next 3Y20.22%
Revenue Next 5YN/A
EBIT growth 1Y-4.56%
EBIT growth 3Y9.35%
EBIT growth 5Y11.02%
EBIT Next Year486.05%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-69.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-8.13%
OCF growth 3Y-1.38%
OCF growth 5Y3.07%