BROOKFIELD CORP (BN)
CA11271J1075 - Common Stock
Overall BN gets a fundamental rating of 3 out of 10. We evaluated BN against 218 industry peers in the Capital Markets industry. While BN is still in line with the averages on profitability rating, there are concerns on its financial health. BN is not valued too expensively and it also shows 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.
BN had positive earnings in 4 of the past 5 years.
In the past 5 years BN always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of BN (0.15%) is worse than 77.67% of its industry peers.
BN has a Return On Equity of 1.59%. This is in the lower half of the industry: BN underperforms 75.35% of its industry peers.
BN's Return On Invested Capital of 4.03% is in line compared to the rest of the industry. BN outperforms 52.56% of its industry peers.
BN had an Average Return On Invested Capital over the past 3 years of 3.94%. This is below the industry average of 6.96%.
The last Return On Invested Capital (4.03%) for BN is above the 3 year average (3.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.15% | ||
| ROE | 1.59% | ||
| ROIC | 4.03% |
ROA(3y)0.54%
ROA(5y)0.47%
ROE(3y)4.9%
ROE(5y)4.3%
ROIC(3y)3.94%
ROIC(5y)3.62%
1.3 Margins
With a Profit Margin value of 0.81%, BN is not doing good in the industry: 76.28% of the companies in the same industry are doing better.
BN's Profit Margin has declined in the last couple of years.
BN has a Operating Margin of 24.52%. This is comparable to the rest of the industry: BN outperforms 44.65% of its industry peers.
In the last couple of years the Operating Margin of BN has grown nicely.
Looking at the Gross Margin, with a value of 18.62%, BN is doing worse than 72.56% of the companies in the same industry.
BN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.52% | ||
| PM (TTM) | 0.81% | ||
| GM | 18.62% |
OM growth 3Y10.13%
OM growth 5Y6.12%
PM growth 3YN/A
PM growth 5Y-30.16%
GM growth 3Y1.18%
GM growth 5Y6.07%
2. Health
2.1 Basic Checks
The number of shares outstanding for BN has been reduced compared to 1 year ago.
BN has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BN has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.48, we must say that BN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.48, BN is not doing good in the industry: 68.37% of the companies in the same industry are doing better.
BN has a Debt/Equity ratio of 5.26. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 5.26, BN is not doing good in the industry: 85.12% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.26 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.48 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.84 indicates that BN may have some problems paying its short term obligations.
BN has a worse Current ratio (0.84) than 60.00% of its industry peers.
A Quick Ratio of 0.66 indicates that BN may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.66, BN is doing worse than 67.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 92.39% over the past year.
The Earnings Per Share has been growing slightly by 5.73% on average over the past years.
BN shows a decrease in Revenue. In the last year, the revenue decreased by -4.73%.
BN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.06% yearly.
EPS 1Y (TTM)92.39%
EPS 3YN/A
EPS 5Y5.73%
EPS Q2Q%15.07%
Revenue 1Y (TTM)-4.73%
Revenue growth 3Y15.19%
Revenue growth 5Y11.06%
Sales Q2Q%-15.62%
3.2 Future
The Earnings Per Share is expected to grow by 16.82% on average over the next years. This is quite good.
BN is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -37.36% yearly.
EPS Next Y23.96%
EPS Next 2Y19.69%
EPS Next 3Y16.82%
EPS Next 5YN/A
Revenue Next Year-82.97%
Revenue Next 2Y-53.32%
Revenue Next 3Y-37.36%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
BN is valuated correctly with a Price/Earnings ratio of 15.18.
BN's Price/Earnings is on the same level as the industry average.
BN is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
BN is valuated correctly with a Price/Forward Earnings ratio of 13.25.
BN's Price/Forward Earnings ratio is in line with the industry average.
BN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.18 | ||
| Fwd PE | 13.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BN is valued cheaply inside the industry as 85.58% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.28 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
BN's earnings are expected to grow with 16.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.63
PEG (5Y)2.65
EPS Next 2Y19.69%
EPS Next 3Y16.82%
5. Dividend
5.1 Amount
BN has a yearly dividend return of 0.55%, which is pretty low.
Compared to an average industry Dividend Yield of 9.01, BN is paying slightly less dividend.
With a Dividend Yield of 0.55, BN pays less dividend than the S&P500 average, which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
5.2 History
The dividend of BN decreases each year by -5.12%.
BN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-5.12%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
87.94% of the earnings are spent on dividend by BN. This is not a sustainable payout ratio.
DP87.94%
EPS Next 2Y19.69%
EPS Next 3Y16.82%
BROOKFIELD CORP
NYSE:BN (11/21/2024, 8:15:36 PM)
Premarket: 57.52 -0.01 (-0.02%)57.53
+1.15 (+2.04%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap94.74B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.18 | ||
| Fwd PE | 13.25 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.63
PEG (5Y)2.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.15% | ||
| ROE | 1.59% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 24.52% | ||
| PM (TTM) | 0.81% | ||
| GM | 18.62% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.26 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)92.39%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y23.96%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-4.73%
Revenue growth 3Y15.19%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y