BROOKFIELD CORP (BN) Stock Fundamental Analysis
NYSE:BN - New York Stock Exchange, Inc. - CA11271J1075 - Common Stock - Currency: USD
Overall BN gets a fundamental rating of 3 out of 10. We evaluated BN against 231 industry peers in the Capital Markets industry. BN has a bad profitability rating. Also its financial health evaluation is rather negative. While showing a medium growth rate, BN is valued expensive at the moment.
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.
BN had positive earnings in 4 of the past 5 years.
Each year in the past 5 years BN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.09%, BN is doing worse than 74.03% of the companies in the same industry.
With a Return On Equity value of 0.99%, BN is not doing good in the industry: 71.86% of the companies in the same industry are doing better.
With a Return On Invested Capital value of 3.48%, BN perfoms like the industry average, outperforming 42.42% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BN is below the industry average of 7.24%.
| 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 72.73% of its industry peers.
BN's Profit Margin has declined in the last couple of years.
BN has a Operating Margin (24.95%) which is in line with its industry peers.
In the last couple of years the Operating Margin of BN has grown nicely.
The Gross Margin of BN (35.04%) is worse than 69.70% 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
Compared to 1 year ago, BN has less shares outstanding
The number of shares outstanding for BN remains at a similar level compared to 5 years ago.
Compared to 1 year ago, BN has a worse debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 5.43 is on the high side and indicates that BN has dependencies on debt financing.
With a Debt to Equity ratio value of 5.43, BN is not doing good in the industry: 84.42% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.43 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.11 indicates that BN should not have too much problems paying its short term obligations.
The Current ratio of BN (1.11) is comparable to the rest of the industry.
A Quick Ratio of 0.96 indicates that BN may have some problems paying its short term obligations.
BN has a Quick ratio (0.96) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
BN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.71%, which is quite impressive.
BN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.12% yearly.
BN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.17%.
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
The Earnings Per Share is expected to grow by 11.86% on average over the next years. This is quite good.
BN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 19.06% yearly.
EPS Next Y-0.17%
EPS Next 2Y9.46%
EPS Next 3Y11.86%
EPS Next 5YN/A
Revenue Next Year23.4%
Revenue Next 2Y17.85%
Revenue Next 3Y19.06%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
With a Price/Earnings ratio of 13.80, BN is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as BN.
BN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.17, which is the current average of the S&P500 Index.
BN is valuated correctly with a Price/Forward Earnings ratio of 12.13.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BN is on the same level as its industry peers.
BN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.8 | ||
| Fwd PE | 12.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BN is valued cheaper than 86.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.97 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.76
EPS Next 2Y9.46%
EPS Next 3Y11.86%
5. Dividend
5.1 Amount
With a yearly dividend of 0.63%, BN is not a good candidate for dividend investing.
BN's Dividend Yield is slightly below the industry average, which is at 8.18.
With a Dividend Yield of 0.63, BN pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
5.2 History
The dividend of BN decreases each year by -3.57%.
BN has paid a dividend for at least 10 years, which is 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 2Y9.46%
EPS Next 3Y11.86%
57.69
-0.46 (-0.79%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners56.84%
Inst Owner Change-1.7%
Ins Owners10.91%
Ins Owner ChangeN/A
Market Cap95.05B
Analysts76.67
Price Target65.43 (13.42%)
Short Float %0.97%
Short Ratio3.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.63% |
Yearly Dividend0.44
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)-5.87%
PT rev (3m)-4.26%
EPS NQ rev (1m)-1.06%
EPS NQ rev (3m)-5.34%
EPS NY rev (1m)0.1%
EPS NY rev (3m)-0.62%
Revenue NQ rev (1m)-2.04%
Revenue NQ rev (3m)-94.22%
Revenue NY rev (1m)0.55%
Revenue NY rev (3m)-1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.8 | ||
| Fwd PE | 12.13 | ||
| P/S | 1.17 | ||
| P/FCF | N/A | ||
| P/OCF | 10.85 | ||
| P/B | 2.1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.97 |
EPS(TTM)4.18
EY7.25%
EPS(NY)4.76
Fwd EY8.24%
FCF(TTM)-8.65
FCFYN/A
OCF(TTM)5.32
OCFY9.22%
SpS49.19
BVpS27.47
TBVpS-17.59
PEG (NY)N/A
PEG (5Y)0.76
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-0.17%
EPS Next 2Y9.46%
EPS Next 3Y11.86%
EPS Next 5YN/A
Revenue 1Y (TTM)-15.17%
Revenue growth 3Y4.33%
Revenue growth 5Y4.86%
Sales Q2Q%1284.57%
Revenue Next Year23.4%
Revenue Next 2Y17.85%
Revenue Next 3Y19.06%
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%