Brookfield Seen Positioned for Earnings Growth, Buybacks, RBC Says

MT Newswires Live08-14

Brookfield (BN) may benefit from stronger distributable earnings, continued stock buybacks, growth at Brookfield Wealth Solutions (BNT), higher carried interest and several near-term catalysts, while its valuation remains attractive, RBC Capital Markets said Friday in a report.

RBC expects distributable earnings per share to reach $4.43 in 2028, implying 15% annual growth and a 22% compound annual growth rate from 2026.

Real estate earnings and earnings from listed businesses are expected to each grow about 5% in 2028, the report said.

RBC expects Brookfield to continue buying back stock, forecasting $900 million of repurchases in 2026 and $1.2 billion in 2027.

Upcoming catalysts include the September investor day, the expected closing of the Brookfield-Brookfield Wealth Solutions deal by the end of 2026, and the move to US GAAP in Q1 2027, the report said.

RBC maintained its outperform rating on Brookfield stock and its $61 price target.

Brookfield shares fell 3.6% in Friday trading, and Brookfield Wealth Solutions dropped 2.2%.

Price: 43.50, Change: -1.61, Percent Change: -3.57

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment