AL vs BBU vs ARES vs BN

For growth investors, Ares Management Corporation (ARES) is the stronger pick with 66.

6% revenue growth year-over-year, versus -31. 2% for Brookfield Business Partners L. P. (BBU). Air Lease Corporation (AL) offers the better valuation at 7. 0x trailing P/E (12. 8x forward), making it the more compelling value choice. Analysts rate Air Lease Corporation (AL) a "Buy" — based on 20 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Air Lease Corporation (AL) is the cheapest at 7.

0x versus Brookfield Corporation at 9999. 0x. On forward P/E, Air Lease Corporation is actually cheaper at 12. 8x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Air Lease Corporation wins at 0. 79x versus Ares Management Corporation's 1. 15x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Ares Management Corporation (ARES) delivered a total return of +160.

2%, compared to +5. 0% for Brookfield Business Partners L. P. (BBU). Over 10 years, the gap is even starker: ARES returned +929. 6% versus BBU's +108. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Air Lease Corporation (AL) is the lower-risk stock at 0.

30β versus Ares Management Corporation's 1. 62β — meaning ARES is approximately 446% more volatile than AL relative to the S&P 500. On balance sheet safety, Brookfield Corporation (BN) carries a lower debt/equity ratio of 159% versus 3% for Brookfield Business Partners L. P. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Ares Management Corporation (ARES) is pulling ahead at 66.

6% versus -31. 2% for Brookfield Business Partners L. P. (BBU). On earnings-per-share growth, the picture is similar: Air Lease Corporation grew EPS 179. 0% year-over-year, compared to -99. 8% for Brookfield Corporation. Over a 3-year CAGR, AL leads at 9. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Air Lease Corporation (AL) is the more profitable company, earning 36.

1% net margin versus -0. 1% for Brookfield Business Partners L. P. — meaning it keeps 36. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: AL leads at 50. 5% versus 15. 1% for BBU. At the gross margin level — before operating expenses — ARES leads at 74. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Air Lease Corporation (AL) is the more undervalued stock at a PEG of 0. 79x versus Ares Management Corporation's 1. 15x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Air Lease Corporation (AL) trades at 12. 8x forward P/E versus 20. 2x for Ares Management Corporation — 7. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ARES: 44. 0% to $177. 38.

In this comparison, ARES (6.

6% yield), BBU (2. 2% yield), AL (1. 3% yield) pay a dividend. BN does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Air Lease Corporation (AL) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

30), 1. 3% yield, +129. 9% 10Y return). Brookfield Corporation (BN) carries a higher beta of 1. 57 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (AL: +129. 9%, BN: +308. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (AL (Industrials) and BBU (Industrials) and ARES (Financial Services) and BN (Financial Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: AL is a small-cap deep-value stock; BBU is a small-cap quality compounder stock; ARES is a mid-cap high-growth stock; BN is a mid-cap quality compounder stock. AL, BBU, ARES pay a dividend while BN does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.