Brookfield Asset Management (TSE:BAM) Shares Pass Below 200-Day Moving Average - Time to Sell?

Key Points

• Shares fell below their 200-day moving average, trading as low as C$60.25 and last at C$62.38 versus the 200-day MA of C$74.38 — a bearish technical signal.
• Analysts still show an average "Buy" rating with a consensus target of C$77.67, despite mixed recent moves (TD trimmed its target while BMO upgraded to "strong-buy").
• The company announced a quarterly dividend of C$0.5025 (annualized C$2.01, ~3.2% yield), but the dividend payout ratio is 115%, indicating the distribution may not be fully covered by earnings.

Brookfield Asset Management Ltd. (TSE:BAM - Get Free Report) NYSE: BAM's share price crossed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of C$74.38 and traded as low as C$60.25. Brookfield Asset Management shares last traded at C$62.38, with a volume of 2,984,439 shares trading hands.

Analysts Set New Price Targets

Several equities research analysts have recently commented on BAM shares. TD Securities decreased their price objective on Brookfield Asset Management from C$76.00 to C$75.00 and set a "buy" rating for the company in a report on Tuesday, January 27th. BMO Capital Markets raised shares of Brookfield Asset Management from a "hold" rating to a "strong-buy" rating in a research report on Thursday, February 5th. Finally, UBS Group upgraded shares of Brookfield Asset Management to a "hold" rating in a report on Thursday, December 11th. Two analysts have rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Buy" and a consensus target price of C$77.67.

Brookfield Asset Management Price Performance

The company has a market cap of C$100.58 billion, a P/E ratio of 41.04, a price-to-earnings-growth ratio of 0.43 and a beta of 1.35. The stock has a fifty day moving average price of C$69.71 and a two-hundred day moving average price of C$74.38.

Brookfield Asset Management (TSE:BAM - Get Free Report) NYSE: BAM last announced its quarterly earnings results on Wednesday, February 4th. The company reported C$0.73 earnings per share (EPS) for the quarter. Brookfield Asset Management had a return on equity of 28.97% and a net margin of 50.88%.The business had revenue of C$1.91 billion during the quarter. Equities analysts predict that Brookfield Asset Management Ltd. will post 2.5564428 earnings per share for the current fiscal year.

Brookfield Asset Management Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 31st will be issued a $0.5025 dividend. The ex-dividend date is Friday, February 27th. This represents a $2.01 annualized dividend and a dividend yield of 3.2%. Brookfield Asset Management's dividend payout ratio is currently 115.13%.

About Brookfield Asset Management

Brookfield Corp, formerly Brookfield Asset Management Inc owns and manages the commercial property, power, and infrastructure assets. Its investment focus includes Real Estate, Infrastructure, Renewable Power and Private Equity. Real Estate is made up of office and retail properties; Renewable power is made up of hydroelectric, wind, solar, and storage generating facilities; Infrastructure is made up of utilities, transport, energy, data infrastructure, and sustainable resource assets; and Private Equity is focused on business services, infrastructure services, and industrial operations.

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