BMO Capital Markets Raises Price Target for Brookfield Asset Management Stock

BMO Capital Markets has recently increased its price target for Brookfield Asset Management (NYSE:BAM) from $50.00 to $53.00, as stated in a report released on Thursday. The firm currently rates the financial services provider's stock as "market perform." This revised target price suggests a potential downside of 7.62% based on the company’s current share price.

Analyst Ratings and Revisions

Other analysts have also recently shared their perspectives on Brookfield Asset Management. StockNews.com downgraded the rating from "hold" to "sell" on January 9th. Conversely, the Goldman Sachs Group raised their target from $57.00 to $63.00, assigning a "buy" rating on November 19th. Deutsche Bank also increased its target from $56.00 to $59.00, maintaining a "buy" rating on November 11th, while Royal Bank of Canada raised its target from $55.00 to $68.00, giving it an "outperform" rating on November 5th. Scotiabank adjusted their target down from $63.00 to $62.50 and kept an "outperform" rating in their latest report. Across the board, three analysts have rated Brookfield stock as a sell, four have given it a hold rating, and a total of seven have assigned buy ratings according to MarketBeat data. Overall, the consensus rating is a "Hold" with an average target price of $56.71.

Stock Performance Update

On Thursday, shares of Brookfield Asset Management increased by 4.1%, reaching a price of $57.37 during trading hours. Approximately 783,357 shares traded hands, which is below the average volume of 1,365,314 shares. The company has a market capitalization of $25.42 billion, a price-to-earnings ratio of 50.68, a price/earnings to growth (P/E/G) ratio of 2.18, and a beta of 1.46. Current moving averages stand at $56.41 for the 50-day and $50.89 for the 200-day. Over the past year, Brookfield Asset Management has seen its stock reach a low of $37.29 and a high of $62.61.

Earnings Summary

Brookfield Asset Management reported its quarterly earnings on February 12th, where it posted earnings per share (EPS) of $0.40, exceeding analysts’ estimates of $0.39 by a slight margin. The company operates with a net margin of 49.69% and boasts an impressive return on equity of 85.03%. Analysts predict that Brookfield will achieve an EPS of 1.45 for the current fiscal year.

Institutional Investors' Activities

A number of institutional investors have made adjustments to their stakes in Brookfield Asset Management recently. Notably, Norges Bank acquired a new stake worth approximately $287,361,000 in the last quarter. Additionally, William Blair Investment Management acquired shares valued at about $204,169,000. Connor Clark & Lunn Investment Management increased its ownership by 103.4%, now holding almost 4 million shares valued at $216,507,000 after a significant purchase of 2,031,995 additional shares. Madison Investment Advisors and TD Asset Management also made notable acquisitions in the company. Currently, around 68.41% of the shares are owned by institutional investors.

Company Overview

Brookfield Asset Management Ltd. is recognized as a significant player in the asset management industry, particularly in the realm of alternative investments. The firm operates in sectors such as renewable energy, including hydroelectric, wind, and solar power. Its infrastructure division is involved in utilities, transportation, midstream, and data infrastructure ventures.

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