Brookfield (NYSE:BN – Get Free Report) is one of 1,744 public companies in the “Capital Markets” industry, but how does it weigh in compared to its competitors? We will compare Brookfield to similar companies based on the strength of its valuation, earnings, analyst recommendations, profitability, risk, institutional ownership and dividends.
Valuation and Earnings
This table compares Brookfield and its competitors gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Net Income | Price/Earnings Ratio | |
| Brookfield | $77.06 billion | $1.31 billion | 71.40 |
| Brookfield Competitors | $2.29 billion | $394.83 million | 15.81 |
Brookfield has higher revenue and earnings than its competitors. Brookfield is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.
Analyst Recommendations
This is a summary of recent ratings for Brookfield and its competitors, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Brookfield | 1 | 1 | 10 | 1 | 2.85 |
| Brookfield Competitors | 5532 | 20091 | 22421 | 640 | 2.37 |
Brookfield currently has a consensus target price of $57.40, suggesting a potential upside of 46.17%. As a group, “Capital Markets” companies have a potential upside of 26.90%. Given Brookfield’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Brookfield is more favorable than its competitors.
Volatility & Risk
Brookfield has a beta of 1.56, meaning that its stock price is 56% more volatile than the S&P 500. Comparatively, Brookfield’s competitors have a beta of 0.81, meaning that their average stock price is 19% less volatile than the S&P 500.
Dividends
Brookfield pays an annual dividend of $0.28 per share and has a dividend yield of 0.7%. Brookfield pays out 50.9% of its earnings in the form of a dividend. As a group, “Capital Markets” companies pay a dividend yield of 3.2% and pay out 30.1% of their earnings in the form of a dividend. Brookfield has raised its dividend for 2 consecutive years. Brookfield lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.
Profitability
This table compares Brookfield and its competitors’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Brookfield | 1.85% | 3.93% | 1.22% |
| Brookfield Competitors | 304.35% | 79.05% | 3.65% |
Institutional & Insider Ownership
61.6% of Brookfield shares are owned by institutional investors. Comparatively, 30.5% of shares of all “Capital Markets” companies are owned by institutional investors. 11.0% of Brookfield shares are owned by company insiders. Comparatively, 13.0% of shares of all “Capital Markets” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Summary
Brookfield beats its competitors on 9 of the 15 factors compared.
About Brookfield
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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