Brookfield Corporation (BN): A Bull Case Theory

We came across a bullish thesis on Brookfield Corporation on Rijnberk InvestInsights’s Substack by Daan | InvestInsights. In this article, we will summarize the bulls’ thesis on BN. Brookfield Corporation’s share was trading at $47.29 as of January 13th. BN’s trailing and forward P/E were 134.24 and 13.77, respectively according to Yahoo Finance.

Brookfield Corporation is a multi-asset manager focused on real estate, credit, renewable power and transition, infrastructure, venture capital, and private equity including growth capital and emerging growth investments. It manages a range of public and private investment products and services for institutional and retail clients.

Brookfield Corporation is often viewed as one of the most complex businesses in public markets, a perception that has kept many retail investors on the sidelines. That complexity, however, masks what is arguably one of the most powerful long-term compounding machines globally. Frequently compared to a Canadian version of Berkshire Hathaway, Brookfield is a vertically integrated owner and operator of critical real assets, combined with a world-class alternative asset manager and a rapidly scaling insurance and wealth platform. Its model is built around acquiring, operating, and compounding value in long-life, inflation-protected assets such as infrastructure, renewable power, real estate, and private businesses, while simultaneously earning high-margin, recurring fees from managing over $1 trillion in third-party capital.

Brookfield generates earnings through three tightly connected engines. Asset management, via its 73% stake in Brookfield Asset Management, contributes roughly half of earnings through sticky, locked-up fee-bearing capital and a growing pipeline of carried interest. Wealth Solutions, launched in 2020, has already grown into nearly a third of earnings by underwriting long-duration annuities and pension obligations, creating a Berkshire-like insurance float that Brookfield can deploy across its global asset base. The operating businesses, spanning renewables, infrastructure, private equity, and real estate, deliver durable cash flows and steady growth while also serving as platforms for BAM-managed capital.

Despite a three-decade track record of roughly 19% annualized returns and management guiding toward 20 % plus distributable earnings growth, Brookfield trades at a significant sum-of-the-parts discount. The market largely values BAM alone while underappreciating Wealth Solutions, real estate, carried interest, and operating platforms. As capital markets normalize and monetizations accelerate, this mispricing creates a compelling setup for long-term investors, with the potential for both sustained compounding and meaningful multiple expansion.

Previously, we covered a bullish thesis on Brookfield Corporation by 310 Value in April 2025, which highlighted the company’s sum of the parts discount, Plan Value upside, and valuation gap versus peers. The company’s stock price has depreciated by approximately 7.27% since our coverage. This is because complexity continues to obscure the company’s valuation. Daan | InvestInsights shares a similar thesis but emphasizes the insurance and wealth platform.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.