BAM stock: buy or sell?

BAM stock price: $50.59 -2.28% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

5

After several days of continuous rises in past weeks, Brookfield Asset Management dropped -2.28% to $50.59.

Brookfield Asset Management Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm invests in the property, power, and infrastructure sectors.

Should I buy BAM stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

These 2 buy setups work for Brookfield Asset Management stock now:

Buy setupElegible
New all-time highYes
New 52 week highYes
Price crossing up 200d MANo
100d MA crossing up 200d MANo

Is Brookfield Asset Management stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we detected 7 ratings published for BAM stock in the last month.

The general sentiment of these ratings is bullish for BAM stock, with 7 positive ratings.
Is BAM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-9TD Securitiesn/aBuy
2019-8-9BMO Capital Marketsn/aOutperform
2019-8-12Royal Bank of Canadan/aOutperform
2019-7-9Citigroupn/aBuy
2019-4-5BMO Capital Marketsn/aBuy
2019-2-19Royal Bank of Canadan/aOutperform
2019-2-15TD Securitiesn/aBuy

BAM stock analysis

Daily outlook

After reaching all time highs yesterday, Brookfield Asset Management dropped -2.28% today to $50.59.

Brookfield Asset Management dropped -2.28% today to $50.59 after marking all time highs yesterday. From a daily perspective, BAM is in a short term uptrend after plotting its last bottom ($49.70, on August/15) higher than the previous bottom, and its last top ($52.09, yesterday) also over the previous top. Now trading in between its last bottom and last top BAM might consolidate in a plain range, waiting to break out over $52.09 or down under $49.70. Yesterday, BAM hit a new all time high, pushing higher than on August 21st tops. Check different trading setups that use ATHs as triggers. On August 6th BAM price bounced up over the SMA of 50 days demonstrating to be a significant support for this stock.

BAM stock chart (daily)

Weekly outlook

Brookfield Asset Management peaked new all time highs back again this week, marking to $52.09. Shares closed at $50.59 and depreciated -1.00% during the week.

Price pattern shows an uptrend with two rising tops and bottoms, and now finally trading above the $49.40 resistance. Since mid January when BAM stock price broke up the SMA40w line, it gained $10.20 (25.25%).

BAM stock chart (weekly)

BAM stock price history

BAM IPO was on December 30th, 1983 at $0.11 per share1. Since then, BAM stock surged a 45,890.90%, with a yearly average of 1,311.20%. If you had invested right after BAM's IPO a $1,000 in BAM stock in 1983, it would worth $458,909.00 today.

1: Adjusted price after possible price splits or reverse-splits.

BAM stock historical price chart

BAM stock reached all-time highs yesterday with a price of $52.09.

BAM stock price target is $57.70

Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. We have 6 price predictions for BAM stock published in the last 30 days:
BAM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-9TD SecuritiesRaises Target$63.00$67.006.3%
2019-8-9BMO Capital MarketsRaises Target$55.00$59.007.3%
2019-8-12Royal Bank of CanadaRaises Target$50.00$54.008%
2019-7-9CitigroupRaises Target$54.00$56.003.7%
2019-2-19Royal Bank of CanadaRaises Target$47.00$48.002.1%
2019-2-15TD SecuritiesRaises Target$57.00$62.008.8%
(in average)$54.30$57.706.0%
The price forecast for Brookfield Asset Management stock is $57.70, moving in a range between $67.00 and $48.00. In average, analysts' outlook on BAM price forecast is positive, improving the target by a 6.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After posting its last earnings report on February, Brookfield Asset Management . Unfortunately, reported EPS is not yet available in our database.
BAM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a-0.08n/a
2017-Q2-n/a0.19n/a
2017-Q3-n/a0.2n/a
2017-Q4-n/an/an/a
2018-Q12018-05-10n/a1.16n/a
2018-Q22018-08-09n/a0.77n/a
2018-Q32018-11-08n/a1.07n/a
2018-Q42019-02-14n/a1.35n/a
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

Compared to 2017, last anual turnover report draw an outstanding gain of 39.19% to $56,771.00 million USD. When comparing 2018 vs 2017, on the other hand, profit margin (that is, the net income divided by revenues) appreciated a 2.73% to 6.31%.

BAM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$21,460 M-$2,180 M10.2%-
2014$18,364 M-14.43%$3,110 M16.9%42.66%
2015$19,913 M8.43%$2,341 M11.8%-24.73%
2016$24,411 M22.59%$1,651 M6.8%-29.47%
2017$40,786 M67.08%$1,462 M3.6%-11.45%
2018$56,771 M39.19%$3,584 M6.3%145.14%

Quarterly financial results

Brookfield Asset Management posted $16,006.00 million in revenues for 2018-Q4, a 7.73% up compared to previous quarter. Reported quarter income marked $1,884.00 million with a profit margin of 11.77%. Profit margin boosted a 10.67% compared to previous quarter when profit margin was 1.10%. When comparing sales to same quarter last year, Brookfield Asset Management sales marked an astounding gain and climbed a 22.51%. Looking back to recent quarterly results, Brookfield Asset Management posted 3 positive quarters in a row.
BAM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$7,940 M-$-49 M-0.6%-
2017-Q2$12,700 M59.95%$303 M2.4%-717.81%
2017-Q3$12,276 M-3.34%$228 M1.9%-24.64%
2017-Q4$13,065 M6.43%$1,046 M8.0%358.77%
2018-Q1$12,631 M-3.32%$857 M6.8%-18.07%
2018-Q2$13,276 M5.11%$680 M5.1%-20.65%
2018-Q3$14,858 M11.92%$163 M1.1%-76.03%
2018-Q4$16,006 M7.73%$1,884 M11.8%1,055.83%

Brookfield Asset Management ownership

When you are planning to buy shares of a company, it's always worth to check its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Brookfield Asset Management, of all outstanding shares are owned by its staff.

Bearish positions for BAM stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

BAMBLKBPY
Market cap$48.5 B$62.9 B$8.0 B
Total shares959.3 M154.5 M427.9 M
Float shares831.8 M118.4 M345.6 M
  - Institutional holdings (%)0.0%83.5%68.8%
  - Insider holdings (%)0.0%3.8%0.9%
Shares in short selling0.0%0.0%0.0%

BAM summary

Friday, August 23rd, 2019
Open$51.51
Close$50.59
Day range$50.46 - $51.81
Previous close$51.77
Session gain-2.28%
Average true range$0.94
50d mov avg$49.06
100d mov avg$48.13
200d mov avg$45.42
Daily patternlt06a
Weekly pattern lb02c

Brookfield Asset Management performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We compared Brookfield Asset Management against BlackRock and Brookfield Property Partners in the following table:
Stock3m6m12m
BAMBrookfield Asset ...8.49%14.61%18.73%
BLKBlackRock-5.83%-5.32%-12.16%
BPYBrookfield Proper...-3.10%-3.05%1.96%

Brookfield Asset Management competitors

Defining a list of competitors for Brookfield Asset Management it's difficult. We selected 2 public companies that are related to and can be considered as competitors of Brookfield Asset Management:

Latest BAM stock news