Brookfield Asset Management is a global alternative asset management company headquartered in Toronto, Canada. It is one of the largest and most prominent alternative asset managers in the world, with a focus on real estate, renewable power, infrastructure, and private equity investments.
Here are some key aspects of Brookfield Asset Management:
- Investment Focus: Brookfield Asset Management specializes in investing in and managing a diverse range of real assets. These include commercial and residential properties, infrastructure projects (such as toll roads, ports, and pipelines), renewable energy facilities, and private equity investments. The company has a long-term investment approach, often holding assets for extended periods.
- Global Presence: Brookfield operates across various regions worldwide, including North America, South America, Europe, Asia, and Australia. Its extensive global footprint allows the company to identify and capitalize on investment opportunities in different markets.
- Asset Management Strategy: The company’s asset management strategy involves actively managing and improving the performance of its portfolio of assets. This includes implementing operational enhancements, optimizing cash flows, and pursuing value-add initiatives to generate attractive returns for its investors.
- Business Segments: Brookfield Asset Management operates through several business segments, including Real Estate, Renewable Power, Infrastructure, Private Equity, and Credit. Each segment focuses on specific investment types and has its own dedicated teams of professionals with expertise in those areas.
- Sustainability and ESG Focus: Brookfield emphasizes sustainability and incorporates Environmental, Social, and Governance (ESG) factors into its investment decisions and asset management practices. The company has a commitment to responsible investing and seeks to create positive impacts in the communities where it operates.
- Publicly Traded Entity: Brookfield Asset Management is a publicly traded company, listed on various stock exchanges, including the Toronto Stock Exchange (TSX), New York Stock Exchange (NYSE), and Euronext Amsterdam.
Brookfield Asset Management has built a reputation for its disciplined investment approach, long-term perspective, and ability to generate value from its diversified portfolio of real assets. It has a track record of successfully navigating economic cycles and delivering strong performance to its shareholders and investors.
Is NBAM Stock a buy?
According to TipRanks, five analysts currently cover NBAM. Three have a “Buy” rating, one has a “Hold” rating and the other has a “Sell” rating.
“Based on 5 Wall Street analysts offering 12 month price targets for Brookfield Asset Management Ltd. Class A in the last 3 months. The average price target is $39.25 with a high forecast of $47.00 and a low forecast of $33.00. The average price target represents a 24.17% change from the last price of $31.61,” TipRanks says.
Stockchase noted that Allan Tong had a”Hold” on the stock on May 9, saying:
“BAM trades at a 7.1x PE, pays a 3.9% dividend yield with a target payout ratio of 90%. Managers are aiming to double its business in five years, which would approach the historic growth average of 14.6% of its parent company. Price-to-book is 1.4x and price-to-cash flow 4.8x. The street has three buys, one hold and one sell at a price target only 8.7% higher at $48.22. Comparing BAM to BN, BAM has gained nearly 13% since Dec. 12 and BN -1.15%.”
Stockchase said Shane Obata likes the stock, paraphrasing a recent appearance on BMM Bloomberg:
“The most pure play exposure to fee-related earnings,” they noted that Obata said. “Fee-related earnings on third-party capital are the most highly valued and sought-after part of the alternative asset managers. About 25% is exposed to real estate, but it’s over-exposed (relative to a BX) to infrastructure and credit, which should do pretty well in an inflationary environment. Infrastructure inflation escalators will continue to hold in. Opportunities in credit, with the carnage we’ve seen in markets. Good environment when you have capital to deploy, and it just raised $15B. Yield is 4.14%.”