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1. Company Snapshot

1.a. Company Description

Brookfield Corporation is an alternative asset manager and REIT/Real Estate Investment Manager firm focuses on real estate, renewable power, infrastructure and venture capital and private equity assets.It manages a range of public and private investment products and services for institutional and retail clients.It typically makes investments in sizeable, premier assets across geographies and asset classes.


It invests both its own capital as well as capital from other investors.Within private equity and venture capital, it focuses on acquisition, early ventures, control buyouts and financially distressed, buyouts and corporate carve-outs, recapitalizations, convertible, senior and mezzanine financings, operational and capital structure restructuring, strategic re-direction, turnaround, and under-performing midmarket companies.It invests in both public debt and equity markets.


It invests in private equity sectors with focus on Business Services include infrastructure, healthcare, road fuel distribution and marketing, construction and real estate; Industrials include manufacturers of automotive batteries, graphite electrodes, returnable plastic packaging, and sanitation management and development; and Residential/ infrastructure services.It targets companies which likely possess underlying real assets, primarily in sectors such as industrial products, building materials, metals, mining, homebuilding, oil and gas, paper and packaging, manufacturing and forest product sectors.It invests globally with focus on North America including Brazil, the United States, Canada; Europe; and Australia; and Asia-Pacific.


The firm considers equity investments in the range of $2 million to $500 million.It has a four-year investment period and a 10-year term with two one-year extensions.The firm prefers to take minority stake and majority stake.


Brookfield Corporation was founded in 1997 and based in Toronto, Canada with additional offices across Northern America; South America; Europe; Middle East and Asia.

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1.b. Last Insights on BN

Brookfield Corporation's recent performance was negatively impacted by a decline in revenue, down 8.2% from FY 2023 to US$90.0b. The company's net income also decreased to US$0.31 per share, a significant drop from US$0.62 in FY 2023. Although the company reported record distributable earnings before realizations of US$4.9b, or US$3.07 per share, and raised its quarterly dividend by 13%, the decline in revenue and net income weighed on its overall performance.

1.c. Company Highlights

2. Brookfield Corporation's Q3 2025 Earnings: Strong Performance and Growth Outlook

Brookfield Corporation reported distributable earnings before realizations of $1.3 billion, or $0.56 per share, and $5.4 billion over the last 12 months, representing an 18% increase over the same period last year. However, the actual EPS came out at $0.2356, significantly lower than the estimated $0.807. The company's financial performance was driven by its diversified franchise, with key highlights including $140 billion of debt financing and $75 billion of asset sales at attractive values, as well as a record $180 billion of deployable capital.

Publication Date: Nov -14

📋 Highlights
  • Strong Q3 Distributable Earnings:: $1.3 billion (Q3 2025) and $5.4 billion (12-months), up 18% YoY.
  • Record Deployable Capital:: $180 billion available for strategic investments and growth initiatives.
  • Oaktree Acquisition Impact:: $3 billion deal to expand asset management, with no disruption to $250 million share buyback plan.
  • Insurance Spread Growth:: 165 basis points this quarter, expected to widen as capital deploys into higher-yield assets.
  • Energy Transition Projects:: $80 billion US nuclear reactors initiative and AI/data center investments driving long-term growth.

Business Segment Performance

The company's businesses, including Asset Management, Wealth Solutions, and operating businesses, continue to perform well, with strong fundraising momentum, increased fee-related earnings, and growing insurance assets. In the Wealth Solutions business, Brookfield signed a reinsurance agreement in Japan, expanding its global footprint, and expects to grow in Japan and other markets, particularly in Asia. The insurance business saw significant growth, with sales coming through nicely, but the spread was 165 basis points this quarter.

Growth Outlook and Strategic Transactions

Brookfield expects continued growth in results over 2025 and into 2026, driven by its diversified franchise, particularly in renewable energy, nuclear, and other energy sources, as well as its data center and AI fund. The company is investing in a disciplined way to drive impressive results, including the acquisition of Just Group in the UK and a reinsurance agreement in Japan. The $3 billion Oaktree acquisition will have zero impact on Brookfield's buyback strategy, with the company planning to buy back 250 million shares issued.

Valuation and Dividend

With a P/B Ratio of 2.11 and an ROE of 1.83%, Brookfield's valuation appears reasonable. The company's quarterly dividend of $0.06 per share was declared, representing a Dividend Yield of 0.53%. Analysts estimate next year's revenue growth at 12.6%, which is expected to drive the company's continued growth. The EV/EBITDA ratio of 10.89 suggests that Brookfield's enterprise value is reasonable relative to its EBITDA.

Management's Insights

In response to a question about the Wealth Solutions business, management noted that the year-over-year performance remains strong, with no significant issues, and that the drop in spread is due to capital inflows being parked in cash until suitable real asset investment opportunities arise. As capital is invested, the spread is expected to increase back towards long-term targets, with a target net investment yield spread of 200 basis points being a medium- to long-term goal.

3. NewsRoom

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The Bull Case For Digital Realty Trust (DLR) Could Change Following Massive India AI Data Center Push

Dec -03

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How Brookfield’s (TSX:BN) $11 Billion AI Data Centre Bet Could Shape Its Future in India

Nov -30

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Brookfield (BAM) Q3 2025 Earnings Call Transcript

Nov -27

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Brookfield (BN) Q3 2025 Earnings Call Transcript

Nov -27

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Brookfield Completes C$250 Million Preferred Share Issue

Nov -26

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Brookfield to Present at the Goldman Sachs U.S. Financial Services Conference

Nov -26

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India's Reliance Industries JV to invest $11 billion for data centre

Nov -26

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Reliance Industries, JV partners to invest $11 billion in India AI data capacity

Nov -26

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4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (11.89%)

6. Segments

Private Equity

Expected Growth: 14.9%

Brookfield's private equity segment is expected to grow driven by its ability to invest in quality assets, leverage its operational expertise, and benefit from its global scale and diversified portfolio.

Asset Management

Expected Growth: 10.5%

Brookfield Corporation's diversified asset management and investment strategies, along with its global presence, drive growth. Strong fundamentals, including increasing demand for infrastructure and real assets, contribute to its forecasted growth.

Corporate

Expected Growth: 7.4%

Brookfield Corporation’s diversified portfolio of infrastructure, real estate, and private equity investments drives growth. Strong fundamentals, such as increasing demand for renewable energy and infrastructure modernization, support its growth trajectory.

Infrastructure

Expected Growth: 7.4%

Brookfield Corporation's Infrastructure segment is expected to grow driven by increasing demand for renewable energy, expansion of transportation networks and growth in data infrastructure.

Renewable Power and Transition

Expected Growth: 12.5%

Brookfield’s Renewable Power and Transition segment growth is driven by increasing demand for clean energy, government incentives, and declining costs of renewable energy production.

Real Estate

Expected Growth: 6.2%

Brookfield’s real estate segment benefits from growing demand for logistics and e-commerce facilities, as well as its presence in high-growth markets

Inter-Segment and Other

Expected Growth: 6.3%

Brookfield's Inter-Segment and Other operations are driven by increasing demand for real assets, growing need for infrastructure, and strategic investments in high-growth sectors

7. Detailed Products

Real Estate

Brookfield Corporation's real estate segment owns and operates a diversified portfolio of commercial properties, including office buildings, retail centers, and industrial facilities.

Renewable Energy

Brookfield Corporation's renewable energy segment develops, owns, and operates hydroelectric, wind, and solar power generation facilities.

Infrastructure

Brookfield Corporation's infrastructure segment owns and operates transportation, energy, and social infrastructure assets, including toll roads, bridges, and ports.

Private Equity

Brookfield Corporation's private equity segment invests in and operates businesses across various industries, including manufacturing, services, and technology.

Asset Management

Brookfield Corporation's asset management segment provides investment management services to institutional clients, including pension funds, endowments, and sovereign wealth funds.

Homebuilding

Brookfield Corporation's homebuilding segment develops and builds residential communities, including single-family homes, condominiums, and apartments.

8. Brookfield Corporation's Porter Forces

Forces Ranking

Threat Of Substitutes

Brookfield Corporation operates in a diversified portfolio of businesses, including real estate, infrastructure, renewable power, and private equity. While there are substitutes available in each of these industries, the company's diversified portfolio and strong brand presence mitigate the threat of substitutes.

Bargaining Power Of Customers

Brookfield Corporation's customers are largely institutional investors, pension funds, and high net worth individuals. These customers have limited bargaining power due to the company's strong brand presence and diversified portfolio of businesses.

Bargaining Power Of Suppliers

Brookfield Corporation's suppliers are largely construction companies, equipment providers, and service providers. While the company has some bargaining power due to its scale and diversified portfolio, suppliers still have some negotiating power due to the specialized nature of their services.

Threat Of New Entrants

The threat of new entrants is low in Brookfield Corporation's industries due to the high barriers to entry, including significant capital requirements, regulatory hurdles, and the need for specialized expertise.

Intensity Of Rivalry

The intensity of rivalry is high in Brookfield Corporation's industries, particularly in the real estate and infrastructure sectors, where there are several established players competing for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 83.62%
Debt Cost 7.95%
Equity Weight 16.38%
Equity Cost 12.40%
WACC 8.68%
Leverage 510.54%

11. Quality Control: Brookfield Corporation passed 1 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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Yield: 7.0

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Yield: 6.0

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Brookfield

A-Score: 4.7/10

Value: 5.2

Growth: 4.0

Quality: 3.1

Yield: 1.0

Momentum: 7.5

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Yield: 2.0

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

64.54$

Current Price

64.54$

Potential

-0.00%

Expected Cash-Flows