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. There are concerns on the financial health of BN while its profitability can be described as average. 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.
BN had a positive operating cash flow in the past year.
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
The Return On Assets of BN (0.09%) is worse than 68.29% of its industry peers.
With a Return On Equity value of 0.99%, BN is not doing good in the industry: 65.85% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 3.48%, BN is in line with its industry, outperforming 41.46% of the companies in the same industry.
BN had an Average Return On Invested Capital over the past 3 years of 3.69%. This is below the industry average of 7.96%.
| 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 64.63% of its industry peers.
In the last couple of years the Profit Margin of BN has declined.
Looking at the Operating Margin, with a value of 24.95%, BN is in line with its industry, outperforming 48.78% of the companies in the same industry.
In the last couple of years the Operating Margin of BN has grown nicely.
Looking at the Gross Margin, with a value of 35.04%, BN is in line with its industry, outperforming 40.24% of the companies in the same industry.
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.
BN has a worse debt/assets ratio than last year.
2.2 Solvency
BN has a Debt/Equity ratio of 5.43. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 5.43, BN is doing worse than 87.80% of the companies in the same industry.
| 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.
With a Current ratio value of 1.11, BN is not doing good in the industry: 70.73% of the companies in the same industry are doing better.
BN has a Quick Ratio of 1.11. This is a bad value and indicates that BN is not financially healthy enough and could expect problems in meeting its short term obligations.
BN's Quick ratio of 0.96 is on the low side compared to the rest of the industry. BN is outperformed by 73.17% 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.
BN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.12% yearly.
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-0.22%
EPS Next 2Y9.3%
EPS Next 3Y11.32%
EPS Next 5YN/A
Revenue Next Year26.97%
Revenue Next 2Y19.63%
Revenue Next 3Y20.22%
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.
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 15.06, BN is valued correctly.
BN's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.29, BN is valued a bit cheaper.
BN is valuated correctly with a Price/Forward Earnings ratio of 13.27.
63.41% of the companies in the same industry are more expensive than BN, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of BN to the average of the S&P500 Index (21.74), we can say BN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.06 | ||
| Fwd PE | 13.27 |
4.2 Price Multiples
BN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BN is cheaper than 60.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.26 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.83
EPS Next 2Y9.3%
EPS Next 3Y11.32%
5. Dividend
5.1 Amount
BN has a Yearly Dividend Yield of 5.91%, which is a nice return.
BN's Dividend Yield is comparable with the industry average which is at 5.39.
BN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
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
151.35% of the earnings are spent on dividend by BN. This is not a sustainable payout ratio.
DP151.35%
EPS Next 2Y9.3%
EPS Next 3Y11.32%
TSX:BN (7/7/2025, 7:00:00 PM)
85.98
-1.41 (-1.61%)
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 Cap141.66B
Analysts76.67
Price Target93.59 (8.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.91% |
Yearly Dividend0.59
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)3.58%
PT rev (3m)-6.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.55%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)-0.41%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.04%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.06 | ||
| Fwd PE | 13.27 | ||
| P/S | 1.28 | ||
| P/FCF | N/A | ||
| P/OCF | 11.84 | ||
| P/B | 2.29 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.26 |
EPS(TTM)5.71
EY6.64%
EPS(NY)6.48
Fwd EY7.53%
FCF(TTM)-11.81
FCFYN/A
OCF(TTM)7.26
OCFY8.44%
SpS67.17
BVpS37.52
TBVpS-24.02
PEG (NY)N/A
PEG (5Y)0.83
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-0.22%
EPS Next 2Y9.3%
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 Year26.97%
Revenue Next 2Y19.63%
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%