BROOKFIELD CORP (BN.CA) Stock Fundamental Analysis
TSX:BN - Toronto Stock Exchange - CA11271J1075 - Common Stock - Currency: CAD
BN gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 82 industry peers in the Capital Markets industry. Both the profitability and financial health of BN have multiple concerns. BN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year BN was profitable.
BN had a positive operating cash flow in the past year.
Of the past 5 years BN 4 years were profitable.
Each year in the past 5 years BN had a positive operating cash flow.
1.2 Ratios
BN has a Return On Assets of 0.09%. This is in the lower half of the industry: BN underperforms 69.51% of its industry peers.
BN has a Return On Equity of 0.99%. This is in the lower half of the industry: BN underperforms 67.07% of its industry peers.
BN's Return On Invested Capital of 3.48% is in line compared to the rest of the industry. BN outperforms 40.24% of its industry peers.
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
BN has a worse Profit Margin (0.55%) than 65.85% of its industry peers.
BN's Profit Margin has declined in the last couple of years.
BN's Operating Margin of 24.95% is in line compared to the rest of the industry. BN outperforms 47.56% of its industry peers.
In the last couple of years the Operating Margin of BN has grown nicely.
BN's Gross Margin of 35.04% is on the low side compared to the rest of the industry. BN is outperformed by 60.98% of its industry peers.
In the last couple of years the Gross Margin of BN has grown nicely.
| 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
Compared to 5 years ago, BN has about the same amount of shares outstanding.
BN has a worse debt/assets ratio than last year.
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
A Current Ratio of 1.11 indicates that BN should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.11, BN is doing worse than 69.51% of the companies in the same industry.
A Quick Ratio of 0.96 indicates that BN may have some problems paying its short term obligations.
BN has a Quick ratio of 0.96. This is in the lower half of the industry: BN underperforms 71.95% of 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%.
BN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.86% yearly.
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.
The Revenue is expected to grow by 20.22% on average over the next years. This is a very strong growth
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.
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
BN is valuated correctly with a Price/Earnings ratio of 16.29.
BN's Price/Earnings is on the same level as the industry average.
BN's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.50.
The Price/Forward Earnings ratio is 14.36, which indicates a correct valuation of BN.
Based on the Price/Forward Earnings ratio, BN is valued a bit cheaper than 63.41% of the companies in the same industry.
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 | 16.29 | ||
| Fwd PE | 14.36 |
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 | 11.54 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.9
EPS Next 2Y9.25%
EPS Next 3Y11.32%
5. Dividend
5.1 Amount
BN has a Yearly Dividend Yield of 5.94%, which is a nice return.
Compared to an average industry Dividend Yield of 5.35, BN pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, BN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.94% |
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.
BN has decreased its dividend recently.
Dividend Growth(5Y)-3.57%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
BN pays out 151.35% of its income as dividend. This is not a sustainable payout ratio.
DP151.35%
EPS Next 2Y9.25%
EPS Next 3Y11.32%
TSX:BN (7/17/2025, 7:00:00 PM)
93.67
+3.65 (+4.05%)
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 Cap154.37B
Analysts76.67
Price Target93.59 (-0.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.94% |
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)2.82%
PT rev (3m)-6.29%
EPS NQ rev (1m)-0.18%
EPS NQ rev (3m)-3.72%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)-0.47%
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 | 16.29 | ||
| Fwd PE | 14.36 | ||
| P/S | 1.38 | ||
| P/FCF | N/A | ||
| P/OCF | 12.8 | ||
| P/B | 2.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.54 |
EPS(TTM)5.75
EY6.14%
EPS(NY)6.52
Fwd EY6.96%
FCF(TTM)-11.9
FCFYN/A
OCF(TTM)7.32
OCFY7.81%
SpS67.68
BVpS37.8
TBVpS-24.2
PEG (NY)N/A
PEG (5Y)0.9
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%