The Goldman Sachs Group Has Lowered Expectations for Brookfield Asset Management (NYSE:BAM) Stock Price

Key Points

• Goldman Sachs cut its price target on Brookfield Asset Management from $60 to $49 while maintaining a "buy" rating, implying roughly a 12.4% upside from the prior close.
• Analysts' consensus shows an average target of $61.82 with an overall "Hold" rating (1 Strong Buy, 7 Buy, 8 Hold, 2 Sell), while the stock recently traded at $43.60 within a 1‑year range of $41.78–$64.10 and a market cap of $71.4B.
• Brookfield slightly beat quarterly EPS estimates ($0.47 vs. $0.41) and reported strong profitability (net margin 51.59%, ROE 29.81%), though revenue was roughly in line with expectations.

Brookfield Asset Management (NYSE:BAM - Get Free Report) TSE: BAM.A had its price objective lowered by analysts at The Goldman Sachs Group from $60.00 to $49.00 in a report released on Tuesday,Benzinga reports. The brokerage presently has a "buy" rating on the financial services provider's stock. The Goldman Sachs Group's target price suggests a potential upside of 12.40% from the stock's previous close.

Several other research firms also recently commented on BAM. Morgan Stanley set a $63.00 price objective on shares of Brookfield Asset Management in a report on Tuesday, February 17th. Piper Sandler decreased their price objective on shares of Brookfield Asset Management from $53.00 to $48.00 and set a "neutral" rating on the stock in a report on Tuesday. Loop Capital set a $60.00 price objective on shares of Brookfield Asset Management in a report on Tuesday, January 6th. JPMorgan Chase & Co. upped their price objective on shares of Brookfield Asset Management from $68.00 to $72.00 and gave the company a "neutral" rating in a report on Thursday, February 5th. Finally, Weiss Ratings reiterated a "buy (b-)" rating on shares of Brookfield Asset Management in a report on Monday, December 22nd. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, eight have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $61.82.

Brookfield Asset Management Stock Performance

Shares of NYSE:BAM traded down $0.63 on Tuesday, hitting $43.60. The company had a trading volume of 2,273,967 shares, compared to its average volume of 3,717,748. Brookfield Asset Management has a 1-year low of $41.78 and a 1-year high of $64.10. The stock has a market cap of $71.42 billion, a price-to-earnings ratio of 28.68, a P/E/G ratio of 1.57 and a beta of 1.38. The stock has a 50 day moving average price of $47.32 and a 200 day moving average price of $51.64. The company has a current ratio of 0.92, a quick ratio of 0.92 and a debt-to-equity ratio of 0.05.

Brookfield Asset Management (NYSE:BAM - Get Free Report) TSE: BAM.A last released its quarterly earnings data on Wednesday, February 4th. The financial services provider reported $0.47 EPS for the quarter, beating the consensus estimate of $0.41 by $0.06. Brookfield Asset Management had a net margin of 51.59% and a return on equity of 29.81%. The firm had revenue of $1.39 billion for the quarter, compared to the consensus estimate of $1.40 billion. Analysts expect that Brookfield Asset Management will post 1.7 EPS for the current year.

Institutional Investors Weigh In On Brookfield Asset Management

A number of large investors have recently added to or reduced their stakes in the stock. Connor Clark & Lunn Investment Management Ltd. grew its stake in Brookfield Asset Management by 72.6% during the third quarter. Connor Clark & Lunn Investment Management Ltd. now owns 3,904,677 shares of the financial services provider's stock worth $222,161,000 after buying an additional 1,642,375 shares in the last quarter. Vanguard Group Inc. grew its stake in Brookfield Asset Management by 1.5% during the third quarter. Vanguard Group Inc. now owns 17,425,392 shares of the financial services provider's stock worth $991,677,000 after buying an additional 253,789 shares in the last quarter. Cumberland Partners Ltd grew its stake in Brookfield Asset Management by 78.0% during the third quarter. Cumberland Partners Ltd now owns 126,015 shares of the financial services provider's stock worth $7,168,000 after buying an additional 55,225 shares in the last quarter. Hillsdale Investment Management Inc. grew its stake in Brookfield Asset Management by 65.6% during the third quarter. Hillsdale Investment Management Inc. now owns 254,212 shares of the financial services provider's stock worth $14,463,000 after buying an additional 100,713 shares in the last quarter. Finally, New York State Common Retirement Fund grew its stake in Brookfield Asset Management by 18.5% during the third quarter. New York State Common Retirement Fund now owns 465,600 shares of the financial services provider's stock worth $26,511,000 after buying an additional 72,600 shares in the last quarter. Institutional investors and hedge funds own 68.41% of the company's stock.

About Brookfield Asset Management

Brookfield Asset Management is a global alternative asset manager headquartered in Toronto, Canada, that specializes in investments in real assets and related private equity and credit strategies. The firm acquires, manages and develops assets in sectors such as real estate, renewable power, infrastructure and private equity, seeking long-term value through active asset management and operational improvements. Brookfield structures and manages commingled funds, listed partnerships and separate accounts for institutional and retail investors.

The company's products and services include fund management across equity and debt strategies, direct asset ownership and operations, property and facilities management, and capital markets solutions.

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