Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes (BEPI)
Valuation Overview•Is Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes Overvalued or Undervalued?
Trading at a discount across both intrinsic cash flow and relative peer multiples, indicating a strong margin of safety.
Fragile underlying quality score of 34/100; weak margins or elevated debt leverage warrant caution.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Mixed fundamental profile with offsetting strengths and weaknesses.
Wall Street sentiment is generally neutral. This outlook is strongly supported by highly attractive capital returns, anchored by a strong, well-covered dividend yield.
BEPI struggles with subpar profitability and pressured margins. However, this is severely offset by a highly leveraged balance sheet (Debt/EBITDA > 4.0x) and elevated financial risk.
The company demonstrates solid revenue growth (11.4% 3Y CAGR) paired with stable bottom-line earnings. Operating efficiency remains adequate with margins around 11.3%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $1.5B | +10.9% | +11.4% | +11.3% | +14.9% | |
| EBITDA | $678.5M | — | +3.3% | — | — | |
| Net Income | -$113.4M | +91.1% | +45.9% | — | — | |
| EPS (Diluted) | $-0.40 | +92.4% | — | — | — | |
| Free Cash Flow | -$1.1B | -121.5% | -124.2% | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 34.4% | 44.9% | 54.2% | 59.3% |
| Operating Margin | 11.3% | 17.5% | 20.8% | 25.8% |
| Net Margin | 3.0% | -1.7% | -2.2% | -1.8% |
| FCF Margin | -79.4% | -46.1% | -35.6% | -7.4% |
Total return is +3.6% (1Y), lagging the benchmark by -17.2%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -2.2% | -9.5% | — |
| 1Y | +3.6% | -17.2% | +7.6% |
| 3YCAGR | +4.5% | -14.4% | +22.0% |
| 5YCAGR | -3.7% | -15.2% | +21.4% |
| 10YCAGR | -1.9% | -15.5% | — |
The S&P 500 is at 30.6x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes (BEPI) valuation, health, and returns.
Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes is estimated to be undervalued under our discounted cash flow framework. relative multiples indicate the stock is Cheap versus peers compared to industry peers. undervalued (implying +434.2% upside to DCF intrinsic value of $81.74)
Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes has multiple valuation anchors: DCF Intrinsic Value: $81.74 | Peer Relative Fair Value: $28.98. A convergence of these signals offers higher conviction.
Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes displays weak financial health with a composite quality score of 34/100, supported by a Piotroski F-Score of 5/9, Return on Invested Capital (ROIC) of 0.9%.
Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes pays a 26.4% dividend yield, covered by a 0% payout ratio with 0 years of growth, supplemented by a 0.0% buyback yield.
Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes's current growth trajectory is Stable. The company achieved +10.9% 1Y revenue growth and +92.4% 1Y EPS growth, compared to its 3Y revenue CAGR of +11.4%.
Wall Street consensus is Hold based on 0 analysts. The consensus price target represents a N/A change from current levels.
Investment risks for Brookfield BRP Holdings Canada 4.875% Perpetual Subordinated Notes include: -56.8% 1-year max drawdown. Volatility risk is characterized by a beta of 0.59x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.