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Stockchase Opinions

Brendan CaldwellBrookfield Asset Management Inc.BAMBUYOct 28, 2022

Good time to buy with recent market selloff. Higher interest rates have been tough on company. Excellent assets with good long term prospects.
$40.18

Stock price when the opinion was issued

$47.82

As of Jun 18, 2026. Market Open.

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BUY

Unfortunately, Brookfield is looking like the old Brascan empire, a plate of spaghetti, where they spin off all these entities, then buy them back and it's hard to keep track of how many there are. That said, BAM and BN-T are grossly undervalued. The market is overreacting to the impact of commercial real estate BN-T, in particular. 

PAST TOP PICK
(A Top Pick Dec 08/23, Up 4%)

BAM and BN-T are the top Brookfield stocks. BAM has huge leverage forward, so much money they manage. The market has been done on this during high interest rates and because of commercial real estate. Yes, some CRE buildings stink and won't do well, but others will be fine. If interest rates stop rising, Brookfield will have a lot of leverage. He's a big believer.

BUY

Very reliable dividend yield.
Good place for steady income.
Would recommend for long term hold.

BUY
Owns shares in parent company. Will continue to hold. Great long term performer in the alternative asset management space. Very good long term investment. Strong balance sheet with capacity and ability to grow.
BUY
Believes company has excellent prospects. More than $750 billion under management. 24% compounding rate annually. Shares have sold off this year which creates buying opportunity. Own many inflation linked assets. Valuation is low right now.
BUY
Chart suggesting a strong performance going forward. Higher interests rates/inflation will be good for the business. Assets should inflate with inflation. Is a long term winner.
HOLD
Complex business with many business units. Well run company with high degree of expertise. Long term, will be a good investment. Owns subsidiaries rather than parent company (offers better exposure and yield).
BUY ON WEAKNESS
Stock down 24% this year. Current share price is a good entry point. Over $750 billion in assets under management. Expecting a 1 Trillion portfolio in a few years. Lots of inflation linked assets. Renewable business will be promising going forward.
BUY
Allan Tong’s Discover Picks BAM is no income stock, because it yields only 1.16%. Rather, you’re buying this for share appreciation. Its chart since the market bottomed in March 2009 (during the Great Recession) has climbed from roughly $8 to recent all-time highs above $71. BAM has been compounded annually over 20%, offering total returns as high as 45% in 2019 and 46.45% last year to -2.96% in 2018 as the only negative return in the past decade. True, BAM is down this year, but which stocks outside of commodities are not? A more telling metric is PE, currently right below 20x which is higher than in 2018-19, but far lower than 2021’s 28.13x. A caveat is its high 1.41 beta, and given this market the stock has been choppier than usual. That said, the street targets $78.04 for BAM or 26% higher than current prices, based on four buys. Read 3 Money Stocks to Beat Inflation for our full analysis.
BUY
Likes company and is the premier manager in alternative investment space. Well known for making good infrastructure investments. Has capacity to make deals in poor economic environment. Will continue to raise money when opportunity presents itself.
BUY ON WEAKNESS
Waiting to see which direction company takes with upcoming spinoff planned. Rising interest rates will present pressures on private equity (more expensive to raise capital). Buy a small amount of shares now, and wait until spinoff plans are announced in the fall.
PAST TOP PICK
(A Top Pick Mar 29/21, Up 25%) Very well run company with excellent management team. Core name in portfolio. Best in class name in terms of assets. Good hedge against inflation with assets owned. No plans in selling shares. Long term hold. Talk of spinning off section of business, has caused share price to rise.
BUY ON WEAKNESS
Believes it is a great company. Stock price trades at a premium which is well deserved. Excellent management team that has preformed well over the years. Is a good long term hold. Lots of insider ownership which is a good sign.
HOLD
Believes company is a well run however, not a good time to buy. Rising interest rates will negatively affect private equity as it is hard to raise capital. Not buying shares until clarity on interest rate increase. Stock is over valued.