MeritValue

BROOKFIELD Corp /ON/

BNdata completeness 100%10 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'depreciationAmortization'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'; no data for concept 'pretaxIncome'

The thesis, from the filings

BROOKFIELD Corp /ON/ earns about 1% on equity, but has diluted owners by 46% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $6 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$75.7B1$92.8B2$95.9B3$86B4$75.1B4
Net income$3.97B5$2.06B6$1.13B7$641M8$1.31B8
Operating cash flow$7.87B9$8.75B10$6.47B11$7.57B12$11B12
Capital expenditure$6.88B13$7.24B14$8.07B15$11.2B16$14.8B16
Free cash flow (derived)$993M9$1.52B10−$1.6B11−$3.6B12−$3.79B12
Total debt$10.9B17$11.4B18$12.2B19$14.2B20$14.3B20
Cash & equivalents$12.7B21$14.4B22$11.2B23$15.1B23$16.2B23
Diluted shares1.54B1.57B1.56B2.27B2.25B

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$739.49
your share of equity
Profit it earned you last year
$5.82
Free cash flow it threw off
−$16.88
Debt you’d be carrying
$63.63

10 shares is a claim on $739.49 of net worth that earned you $5.82 and generated −$16.88 of cash last year, against $63.63 of debt.

iii. Is this a good business?
Moat signal · return on equity
1% avg · 5y
FY21 3%FY22 1%FY23 1%FY24 0%FY25 1%

It earned an average 1% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+46% shares · 5y

Share count is up 46% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 32% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
$6
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$1.31B
  • growthAssumed0.0%
Graham Number
$28.55
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 40-F · period ending 2021-12-31 · accession 0001001085-23-000007 (Revenue)
  2. 40-F · period ending 2022-12-31 · accession 0001001085-24-000007 (Revenue)
  3. 40-F · period ending 2023-12-31 · accession 0001001085-25-000007 (Revenue)
  4. 40-F · period ending 2024-12-31 · accession 0001001085-26-000006 (Revenue)
  5. 40-F · period ending 2021-12-31 · accession 0001001085-23-000007 (ProfitLossAttributableToOwnersOfParent)
  6. 40-F · period ending 2022-12-31 · accession 0001001085-24-000007 (ProfitLossAttributableToOwnersOfParent)
  7. 40-F · period ending 2023-12-31 · accession 0001001085-25-000007 (ProfitLossAttributableToOwnersOfParent)
  8. 40-F · period ending 2024-12-31 · accession 0001001085-26-000006 (ProfitLossAttributableToOwnersOfParent)
  9. 40-F · period ending 2021-12-31 · accession 0001001085-23-000007 (CashFlowsFromUsedInOperatingActivities)
  10. 40-F · period ending 2022-12-31 · accession 0001001085-24-000007 (CashFlowsFromUsedInOperatingActivities)
  11. 40-F · period ending 2023-12-31 · accession 0001001085-25-000007 (CashFlowsFromUsedInOperatingActivities)
  12. 40-F · period ending 2024-12-31 · accession 0001001085-26-000006 (CashFlowsFromUsedInOperatingActivities)
  13. 40-F · period ending 2021-12-31 · accession 0001001085-23-000007 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  14. 40-F · period ending 2022-12-31 · accession 0001001085-24-000007 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  15. 40-F · period ending 2023-12-31 · accession 0001001085-25-000007 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  16. 40-F · period ending 2024-12-31 · accession 0001001085-26-000006 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  17. 40-F · period ending 2021-12-31 · accession 0001001085-23-000007 (Borrowings)
  18. 40-F · period ending 2022-12-31 · accession 0001001085-24-000007 (Borrowings)
  19. 40-F · period ending 2023-12-31 · accession 0001001085-25-000007 (Borrowings)
  20. 40-F · period ending 2024-12-31 · accession 0001001085-26-000006 (Borrowings)
  21. 40-F · period ending 2021-12-31 · accession 0001001085-24-000007 (CashAndCashEquivalents)
  22. 40-F · period ending 2022-12-31 · accession 0001001085-25-000007 (CashAndCashEquivalents)
  23. 40-F · period ending 2023-12-31 · accession 0001001085-26-000006 (CashAndCashEquivalents)