Analysts Split on Brookfield: Ratings and Targets Revealed

Amid mixed ratings from 5 analysts for Brookfield, a shift towards bullish sentiment is noted. Analysts project a 12-month price target average of $72.8, indicating cautious optimism despite a revenue decline. Investors should proceed with diligence.

Date: 08-04-2025

AI Rating: 5

Overview of Analyst Sentiment: In recent months, analysts have provided a diverse range of ratings for Brookfield (NYSE: BN). While there is a significant divide in sentiment, with only 1 bullish rating recorded in the past 30 days, there remains a cautiously optimistic view overall due to raised price targets.

Price Targets: The current average price target stands at $72.8, reflecting a notable increase of 3.26% from the previous target of $70.5. The range of price estimates varies from a high of $80 to a low of $68, suggesting some analysts have high expectations despite recent performance challenges.

Financial Indicators: Brookfield has encountered a decline in revenue growth, approximately -20.77% over the past three months. This decline in top-line earnings, while concerning, is juxtaposed with raised price targets which may signal analyst confidence in the company's long-term recovery potential.

Furthermore, the firm’s net margin of 2.01% and ROE of 0.93% are below industry averages, indicating operational and profitability challenges. These metrics suggest that Brookfield is struggling with cost management and return efficiency, which could impact investor sentiment negatively.

Debt Risk: Brookfield's debt-to-equity ratio of 5.61 is substantially higher than the industry average, indicating a heavier reliance on borrowed funds and thus greater financial risk. This may deter conservative investors who prioritize financial stability.

In a nutshell, while the mixed recommendations and elevated price targets invite cautious optimism, the underlying financial challenges raise questions about Brookfield's near-term performance. Investors should weigh these factors carefully as they consider their positions.

Stocks: BN