Brookfield (NYSE:BN – Get Free Report) posted its quarterly earnings results on Thursday. The company reported $0.66 EPS for the quarter, beating the consensus estimate of $0.62 by $0.04, Zacks reports. Brookfield had a net margin of 1.76% and a return on equity of 3.86%.
Here are the key takeaways from Brookfield’s conference call:
- Distributable earnings before realizations rose 15% year over year to $1.4 billion in the quarter, or $0.61 per share. Brookfield also reported record quarterly fundraising of $77 billion, fee-bearing capital growth of 19% to $672 billion, and $210 billion of deployable capital.
- Management highlighted significant growth opportunities in AI infrastructure, power generation, and nuclear energy, including a planned $100 billion Kentucky AI campus and a $17.5 billion U.S. government financing commitment supporting Westinghouse’s reactor pipeline. Brookfield also expects to recycle stabilized AI assets to institutional investors over time.
- Wealth Solutions continued to expand, with insurance assets exceeding $190 billion after the Just Group acquisition, $5 billion of annuity sales during the quarter, and distributable earnings up 23% year over year to $480 million. Management sees a path to more than $300 billion of insurance assets by the end of the decade, supported by bank and broker-dealer distribution.
- Just Group generated an initial return on equity of approximately 12%, but management said its cost structure is two to three times that of some competitors and that pension pricing remains too aggressive to meet Brookfield’s return targets. Brookfield is exiting unprofitable initiatives, cutting costs, and rotating the investment portfolio to improve spreads toward 200 basis points.
Brookfield Price Performance
BN stock traded up $0.09 during mid-day trading on Thursday, reaching $44.77. 2,709,266 shares of the company’s stock were exchanged, compared to its average volume of 5,197,148. The company has a debt-to-equity ratio of 1.54, a current ratio of 1.32 and a quick ratio of 1.20. Brookfield has a 12-month low of $37.93 and a 12-month high of $49.56. The stock’s 50 day moving average is $43.64 and its 200 day moving average is $43.97. The company has a market cap of $109.78 billion, a price-to-earnings ratio of 87.89 and a beta of 1.54.
Analyst Upgrades and Downgrades
Check Out Our Latest Analysis on Brookfield
Institutional Investors Weigh In On Brookfield
Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Parallel Advisors LLC raised its holdings in shares of Brookfield by 50.2% during the 4th quarter. Parallel Advisors LLC now owns 4,345 shares of the company’s stock worth $199,000 after acquiring an additional 1,453 shares during the period. Vivaldi Capital Management LP purchased a new stake in shares of Brookfield in the third quarter valued at about $202,000. Legacy Advisors LLC acquired a new stake in Brookfield during the third quarter worth about $202,000. Johnson Financial Group Inc. increased its position in Brookfield by 348.2% during the third quarter. Johnson Financial Group Inc. now owns 2,304 shares of the company’s stock worth $158,000 after purchasing an additional 1,790 shares during the last quarter. Finally, HUB Investment Partners LLC purchased a new stake in shares of Brookfield during the 2nd quarter valued at approximately $207,000. Hedge funds and other institutional investors own 61.60% of the company’s stock.
About Brookfield
Brookfield Corporation (NYSE:BN) is a global alternative asset manager that specializes in real assets. The company invests in and operates businesses across real estate, infrastructure, renewable power and energy, private equity and credit. Its activities span both ownership and active management of physical assets as well as the operation of investment funds and vehicles that provide institutional and retail investors access to long‑lived, cash‑generating assets.
Brookfield’s services include asset management, direct investing, property development and the operation of infrastructure and energy businesses.
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