Brookfield Corporation Class A Limited Voting Shares (BN)

FairStock Score: 34/100 — RISKY

Key Financials

Strengths

• Strong Piotroski F-Score of 8/9 indicating robust financial health across profitability, leverage, and efficiency metrics

Concerns

• Trades significantly above Graham Number ($15) with negative 199% margin of safety—limited downside protection
• Altman Z-Score of 0.3 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Brookfield Corporation Class A Limited Voting Shares is a large-cap financial services company valued at $102.5 billion. Revenue stands at $77.7 billion. From a quality standpoint, Brookfield shows near-perfect Piotroski F-Score of 8/9 indicating exceptional financial health and distressed Altman Z-Score of 0.3 warrants caution. On valuation, the stock is commanding a steep 92.6x multiple, with trades far above its Graham Number ($15) with no margin of safety. Growth dynamics show revenue growing at 3.8% and profit growth of 72.0%. Our composite FairStock Score of 34/100 reflects below-average fundamentals overall. The premium valuation demands continued execution and leaves limited room for disappointment.

Bull Case

Brookfield's dominant market position and scale advantages create a durable moat that supports premium valuation over time. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

At 93x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Sluggish 4% growth in a large-cap company leaves the stock vulnerable to de-rating if the market rotates toward higher-growth opportunities.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer