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1. Company Snapshot

1.a. Company Description

Brookfield Asset Management Ltd.provides alternative asset management services.Its renewable power and transition business includes the ownership, operation, and development of hydroelectric, wind, solar, and energy transition power generating assets.


The company's infrastructure business engages in the ownership, operation, and development of utilities, transport, midstream, data and sustainable resource assets.In addition, its private equity business offers business, infrastructure, and industrials services; and real estate business, which includes core investments, and transitional and development investments.Further, the company engages in the residential development business including homebuilding, and condominium and land development.


The company was incorporated in 2022 and is headquartered in Toronto, Canada.

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1.b. Last Insights on BAM

The recent performance of Brookfield Asset Management Ltd. was negatively impacted by a price target reduction by Scotiabank to $62.50 from $63, despite strong Q4 earnings and revenue surprises. Additionally, the company's February share price erosion was driven by market headwinds, which are expected to be navigated through strategic positioning for future opportunities.

1.c. Company Highlights

2. Brookfield Asset Management's Strong Q3 Earnings Driven by Record Fundraising and Deployment

Brookfield Asset Management reported a robust third quarter, with fee-related earnings (FRE) growing 17% year-over-year to $754 million, and distributable earnings (DE) growing 7% to $661 million. The company's earnings per share (EPS) came in at $0.577, in line with analyst estimates. Fee-bearing capital reached $581 billion, an 8% increase year-over-year, driven by the company's strongest fundraising period ever, with $30 billion raised in the quarter and $106 billion over the past 12 months. The company's operating margin remained stable at 58%.

Publication Date: Nov -10

📋 Highlights
  • Record Fundraising & Earnings Growth:: Fee-related earnings surged 17% YoY to $754M, while fee-bearing capital hit $581B, up 8%, driven by $30B in Q3 fundraising and $106B over 12 months.
  • Infrastructure & Renewable Power Performance:: Raised $30B, deployed $30B, and monetized $10B at 20% returns over 12 months, alongside a $20B global energy transition fund and AI infrastructure fund targeting $7T.
  • Capital Deployment & Monetization:: Over $70B deployed in 12 months, with $106B raised, including $20B for the second global transition fund and $17B for real estate strategies.
  • 2030 Growth Targets:: Aims to double business by 2030, targeting $5.8B fee-related earnings, $5.9B distributable earnings, and $1.2T fee-bearing capital, supported by the Oaktree acquisition (expected H1 2026).

Fundraising and Deployment Momentum

The company's infrastructure and renewable power franchise raised $30 billion, deployed $30 billion, and monetized over $10 billion at approximately 20% returns over the past 12 months. Brookfield launched its AI infrastructure fund, targeting $7 trillion in AI-related infrastructure investments over the next decade. The company also closed its second vintage of the global transition flagship fund at $20 billion, the largest private fund ever dedicated to the global energy transition. Management is confident that 2025 will be its best fundraising year ever, with a strong momentum for 2026.

Valuation and Growth Prospects

With a Price-to-Book Ratio (P/B) of 10.1 and a Return on Equity (ROE) of 41.55%, Brookfield's valuation appears to reflect its strong growth prospects. Analysts estimate next year's revenue growth at 15.3%. The company's plan to double its business by 2030, with fee-related earnings reaching $5.8 billion, distributable earnings reaching $5.9 billion, and fee-bearing capital reaching $1.2 trillion, suggests a strong growth trajectory.

Business Segment Performance

The credit business saw an "outsized growth" of almost 15%, with roughly half attributed to organic growth and the other half to the full-quarter impact of an acquisition within the Castlelake business. The private equity business is optimistic about raising a larger fund, focusing on essential assets and services that produce consistent results across the market cycle. The business has delivered over 25% IRRs for 2 decades, with over half of the value creation coming from operational improvement.

Margin Profile and Outlook

The company operates at 58% operating margins, with Oaktree margins depressed but improving. Core margins are rising, but acquisitions have lower margins, mildly diluting overall margin levels. The company expects margins to improve over time, driven by growth initiatives and operating levers. The acquisition of the remaining 26% of Oaktree is expected to close in the first half of 2026, creating a fully integrated leading global credit platform.

3. NewsRoom

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Bookfield takes pick-and-shovels approach to AI with $10bn investment plan

Nov -19

Source: proactiveinvestors.com

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Financial Services Roundup: Market Talk

Nov -13

Source:

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Brookfield Wealth Solutions Announces Third Quarter Results and Declares Regular Quarterly Distribution

Nov -13

Source:

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Brookfield Corporation Reports Strong Third Quarter Results

Nov -13

Source:

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Brookfield shares slip on Q3 earnings miss

Nov -13

Source: proactiveinvestors.com

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Catalyst Dearth Caps Wall Street Pre-Bell; Asia, Europe Up

Nov -13

Source:

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ASP Isotopes (ASPI) Is Up 5.2% After Expanding Into Radiopharmaceuticals and Securing Major Supply Agreements—Has the Bull Case Changed?

Nov -13

Source:

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How Recent Infrastructure Investments Are Shaping Brookfield Asset Management’s 2025 Valuation

Nov -13

Source:

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (8.90%)

6. Segments

Asset Management

Expected Growth: 8.9%

Brookfield Asset Management's 8.9% growth in Asset Management is driven by increasing demand for alternative investments, expansion into new markets, and strategic acquisitions. The company's diversified portfolio, including real estate, infrastructure, and private equity, has also contributed to its growth. Additionally, Brookfield's strong brand reputation and ability to attract and retain institutional clients have fueled its asset growth.

7. Detailed Products

Real Estate

Brookfield Asset Management Ltd. offers a diversified portfolio of high-quality commercial properties, including office buildings, retail centers, and industrial facilities.

Renewable Energy

Brookfield Renewable Partners operates a global portfolio of hydroelectric, wind, and solar power generation facilities, providing clean energy to communities worldwide.

Infrastructure

Brookfield Infrastructure Partners owns and operates a diverse range of infrastructure assets, including transportation, energy, and utilities, providing essential services to communities.

Private Equity

Brookfield's private equity business invests in and operates companies across various industries, including business services, healthcare, and industrials.

Credit

Brookfield's credit business provides financing solutions to companies and projects across various industries, including real estate, infrastructure, and energy.

Asset Management

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

8. Brookfield Asset Management Ltd.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Brookfield Asset Management Ltd. operates in a diversified portfolio of assets, which reduces the threat of substitutes. However, the company is still vulnerable to changes in market trends and customer preferences.

Bargaining Power Of Customers

Brookfield Asset Management Ltd. has a diversified customer base, which reduces the bargaining power of individual customers. The company's strong brand reputation and quality of services also contribute to its bargaining power.

Bargaining Power Of Suppliers

Brookfield Asset Management Ltd. has a moderate level of dependence on its suppliers, particularly in its real estate and infrastructure businesses. However, the company's diversified portfolio and strong relationships with suppliers mitigate the bargaining power of suppliers.

Threat Of New Entrants

The threat of new entrants is low in Brookfield Asset Management Ltd.'s industries, particularly in real estate and infrastructure, due to high barriers to entry and significant capital requirements.

Intensity Of Rivalry

The intensity of rivalry is high in Brookfield Asset Management Ltd.'s industries, particularly in real estate and infrastructure, due to the presence of established players and the need for continuous innovation and differentiation.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 17.94%
Debt Cost 12.88%
Equity Weight 82.06%
Equity Cost 12.88%
WACC 12.88%
Leverage 21.87%

11. Quality Control: Brookfield Asset Management Ltd. passed 4 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

Stock-Card
Federated Hermes

A-Score: 7.7/10

Value: 5.9

Growth: 6.6

Quality: 8.0

Yield: 7.0

Momentum: 9.0

Volatility: 10.0

1-Year Total Return ->

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Stock-Card
IGM Financial

A-Score: 7.0/10

Value: 4.6

Growth: 4.6

Quality: 6.3

Yield: 9.0

Momentum: 7.5

Volatility: 10.0

1-Year Total Return ->

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Stock-Card
State Street

A-Score: 6.5/10

Value: 6.6

Growth: 4.7

Quality: 5.6

Yield: 6.0

Momentum: 7.5

Volatility: 8.3

1-Year Total Return ->

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Stock-Card
Brookfield Asset Management

A-Score: 5.9/10

Value: 0.5

Growth: 5.8

Quality: 9.1

Yield: 6.0

Momentum: 6.5

Volatility: 7.7

1-Year Total Return ->

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Stock-Card
Prospect Capital

A-Score: 5.9/10

Value: 6.3

Growth: 3.9

Quality: 6.9

Yield: 10.0

Momentum: 0.0

Volatility: 8.3

1-Year Total Return ->

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Stock-Card
Cohen & Steers

A-Score: 5.3/10

Value: 3.8

Growth: 3.3

Quality: 8.8

Yield: 7.0

Momentum: 1.5

Volatility: 7.7

1-Year Total Return ->

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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

73.68$

Current Price

73.68$

Potential

-0.00%

Expected Cash-Flows