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Brookfield (TSX:BN) Cyclically Adjusted PS Ratio : 1.05 (As of Apr. 28, 2024)


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What is Brookfield Cyclically Adjusted PS Ratio?

As of today (2024-04-28), Brookfield's current share price is C$55.96. Brookfield's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 was C$53.46. Brookfield's Cyclically Adjusted PS Ratio for today is 1.05.

The historical rank and industry rank for Brookfield's Cyclically Adjusted PS Ratio or its related term are showing as below:

TSX:BN' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 0.78   Med: 1.57   Max: 2.32
Current: 1.05

During the past years, Brookfield's highest Cyclically Adjusted PS Ratio was 2.32. The lowest was 0.78. And the median was 1.57.

TSX:BN's Cyclically Adjusted PS Ratio is ranked better than
87.56% of 876 companies
in the Asset Management industry
Industry Median: 7.44 vs TSX:BN: 1.05

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Brookfield's adjusted revenue per share data for the three months ended in Dec. 2023 was C$20.770. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is C$53.46 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Brookfield Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Brookfield's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Brookfield Cyclically Adjusted PS Ratio Chart

Brookfield Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.52 1.37 1.66 0.94 0.99

Brookfield Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.94 0.92 0.90 0.82 0.99

Competitive Comparison of Brookfield's Cyclically Adjusted PS Ratio

For the Asset Management subindustry, Brookfield's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Brookfield's Cyclically Adjusted PS Ratio Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Brookfield's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Brookfield's Cyclically Adjusted PS Ratio falls into.



Brookfield Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Brookfield's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=55.96/53.46
=1.05

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Brookfield's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Brookfield's adjusted Revenue per Share data for the three months ended in Dec. 2023 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=20.77/125.4675*125.4675
=20.770

Current CPI (Dec. 2023) = 125.4675.

Brookfield Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201403 3.383 98.604 4.305
201406 3.565 99.473 4.497
201409 3.600 99.394 4.544
201412 3.785 98.367 4.828
201503 3.864 99.789 4.858
201506 4.140 100.500 5.168
201509 4.546 100.421 5.680
201512 5.173 99.947 6.494
201603 4.720 101.054 5.860
201606 5.255 102.002 6.464
201609 5.616 101.765 6.924
201612 6.311 101.449 7.805
201703 5.588 102.634 6.831
201706 8.554 103.029 10.417
201709 10.249 103.345 12.443
201712 11.304 103.345 13.724
201803 11.147 105.004 13.319
201806 11.912 105.557 14.159
201809 13.201 105.636 15.679
201812 14.682 105.399 17.478
201903 13.903 106.979 16.306
201906 15.327 107.690 17.857
201909 16.099 107.611 18.770
201912 15.111 107.769 17.593
202003 15.318 107.927 17.807
202006 11.498 108.401 13.308
202009 13.992 108.164 16.230
202012 14.491 108.559 16.748
202103 13.347 110.298 15.183
202106 14.416 111.720 16.190
202109 15.126 112.905 16.809
202112 17.111 113.774 18.870
202203 17.029 117.646 18.161
202206 18.414 120.806 19.125
202209 19.385 120.648 20.159
202212 20.854 120.964 21.630
202303 20.084 122.702 20.537
202306 19.922 124.203 20.125
202309 20.856 125.230 20.895
202312 20.770 125.468 20.770

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Brookfield  (TSX:BN) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Brookfield Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Brookfield's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Brookfield (TSX:BN) Business Description

Address
181 Bay Street, Suite 100, Brookfield Place, P.O. Box 762, Toronto, ON, CAN, M5J 2T3
Brookfield Corp 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. The company generates the majority revenue through Private Equity. Located around the world, its assets are concentrated in the United States, and Canada.