Brookfield Asset ManagementBAM -0.09%61 Return-on-Tangible-Equity is 33.41% as of Mar. 2026, which is 7% below its 10-year median of 35.98. GuruFocus rates BAM with a GF Score™ of 61/100 and a GF Value™ of $56.21 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,588 Asset Management companies, Brookfield Asset Management ranks better than 87.41% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Brookfield Asset Management's annualized net income for the quarter that ended in Mar. 2026 was $2,468 Mil. Brookfield Asset Management's average shareholder tangible equity for the quarter that ended in Mar. 2026 was $7,388 Mil. Therefore, Brookfield Asset Management's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 33.41%.
The historical rank and industry rank for Brookfield Asset Management's Return-on-Tangible-Equity or its related term are showing as below:
BAM'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 0.8 Med: 35.98 Max: 82.04
Current: 31.08
During the past 4 years, Brookfield Asset Management's highest Return-on-Tangible-Equity was 82.04%. The lowest was 0.80%. And the median was 35.98%.
BAM's Return-on-Tangible-Equity is ranked better than 87.41% of 1588
companies
in the Asset Management industry
Industry Median: 7.165
vs BAM: 31.08
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Brookfield Asset Management Return-on-Tangible-Equity Related Terms
Brookfield Asset Management Return-on-Tangible-Equity Historical Data
* 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.
BAM vs BLK, BX, KKR: Return-on-Tangible-Equity Comparison
For the Asset Management subindustry, Brookfield Asset Management's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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 Asset Management Return-on-Tangible-Equity vs Asset Management Industry
For the Asset Management industry and Financial Services sector, Brookfield Asset Management's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Brookfield Asset Management's Return-on-Tangible-Equity falls into.
* 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.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 33.41% mean?
Brookfield Asset Management (BAM) has a Return-on-Tangible-Equity of 33.41% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Brookfield Asset Management and its competitors. This is near median its historical median of 35.98. Over the past decade, Brookfield Asset Management's Return-on-Tangible-Equity has ranged from 0.80 to 82.04. According to the industry distribution chart, Brookfield Asset Management ranks #200 out of 1588 companies in the Asset Management industry, placing it in the top 12.6%.
Is Brookfield Asset Management's Return-on-Tangible-Equity too high?
Brookfield Asset Management's current Return-on-Tangible-Equity of 33.41% is near median its 10-year median of 35.98. Over the past 10 years, this metric has ranged from a low of 0.80 to a high of 82.04. The Asset Management industry median Return-on-Tangible-Equity is 7.17. Brookfield Asset Management's value of 33.41% is 366.3% above this industry median. Based on the distribution chart, Brookfield Asset Management ranks #200 out of 1588 companies in the Asset Management industry, which is in the top quartile — a strong position relative to peers. Overall, Brookfield Asset Management has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Brookfield Asset Management's Return-on-Tangible-Equity compare to BLK and BX?
According to the Asset Management industry distribution chart, Brookfield Asset Management ranks #200 out of 1588 companies for Return-on-Tangible-Equity. This places Brookfield Asset Management in the top 13% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 7.17. Brookfield Asset Management's value of 33.41% is 366.3% above this benchmark. Historically, Brookfield Asset Management's own Return-on-Tangible-Equity has ranged from 0.80 to 82.04 over the past decade. While the company's 10-year median is 35.98 vs. the industry median of 7.17, Brookfield Asset Management has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for an Asset Management company?
The median Return-on-Tangible-Equity among Asset Management companies is 7.17, based on 1,588 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Brookfield Asset Management's current Return-on-Tangible-Equity of 33.41% is 366.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Brookfield Asset Management and its competitors. For the Asset Management industry, the median Return-on-Tangible-Equity is 7.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Brookfield Asset Management's current Return-on-Tangible-Equity is 33.41%, which is near median its own 10-year median of 35.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Brookfield Asset Management stock overvalued right now?
Based on GuruFocus' analysis, Brookfield Asset Management (BAM) is currently considered Modestly Undervalued. The stock's GF Value™ is $56.21, compared to a current price of $44.62 — trading 20.6% below its estimated fair value. The current Return-on-Tangible-Equity is 33.41%, which is near median its 10-year median of 35.98 and 366.3% above the Asset Management industry median of 7.17. Brookfield Asset Management's overall GF Score™ is 61/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Brookfield Asset Management (BAM), the current Return-on-Tangible-Equity is 33.41% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Brookfield Asset Management (BAM) Overvalued in 2026?
Based on GuruFocus' analysis, Brookfield Asset Management stock appears to be undervalued.
The current stock price of $44.62 is trading 20.6% below its estimated GF Value™ of $56.21.
GuruFocus considers Brookfield Asset Management to be Modestly Undervalued.
Key valuation signals for BAM:
Return-on-Tangible-Equity: 33.41% (near median its 10-year median of 35.98)
GF Value™: $56.21 vs. price of $44.62 (20.6% below fair value)
Industry Position: 366.3% above the Asset Management median (#200 of 1588)
No single metric tells the full story. See the BAM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Brookfield Asset Management is one of the world's largest alternative-asset managers, with USD 1.181 trillion in total managed assets, including USD 602.7 billion in fee-earning AUM, at the end of 2025. The company has three main business segments: credit strategies (USD 363.0 billion in total AUM and USD 279.4 billion in fee-earning AUM), private equity (USD 155.0 billion/USD 48.0 billion), and real estate/real assets (USD 663.0 billion/USD 275.3 billion). The firm primarily serves institutional investors (90% of AUM) and high-net-worth individuals (10%), and is diversified globally, with 67% of revenue from the Americas, 20% from EMEA, and 13% from Asia-Pacific. Canada-based Brookfield Corp. owns 73% of Brookfield's outstanding Class A shares.
61GF Score
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