Brookfield Wealth Solutions Ltd. (BNT)
Valuation Overview•Is Brookfield Wealth Solutions Ltd. Overvalued or Undervalued?
Priced at a premium to peer multiples and intrinsic cash flows, demanding strong execution to justify current levels.
Moderate quality score of 61/100, reflecting stable operating margins and manageable leverage.
Wall Street forecasts a balanced outlook with consensus price targets near the current price.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street sentiment is generally neutral. However, capital return yields remain modest, driven predominantly by aggressive share repurchases.
Returns capital exclusively via buybacks — no active dividend
BNT demonstrates adequate business quality with stable profitability. This is backed by a fortress balance sheet, holding significant net cash ($7.3B) and minimal debt risk.
The company is driving exceptional top-line expansion (39.4% 3Y CAGR) however, earnings have severely contracted over the same period. Operating efficiency remains adequate with margins around 6.5%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $1.6B | -17.4% | +39.4% | +87.3% | — | |
| EBITDA | -$540.4M | — | +36.0% | — | — | |
| Net Income | -$600.6M | -35.8% | +16.0% | — | — | |
| EPS (Diluted) | $-2.25 | -64.5% | -43.3% | +133.7% | — | |
| Free Cash Flow | $479.0M | -42.8% | +61.0% | +45.4% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 43.3% | 32.5% | 20.8% | 29.3% |
| Operating Margin | 6.5% | 9.5% | 5.9% | 4.5% |
| Net Margin | 4.6% | 8.8% | 5.4% | 4.1% |
| FCF Margin | 23.5% | 24.4% | 50.1% | 58.4% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | — | $0.07 | — | ||
| Q1'26 | — | $0.06 | — | ||
| Q4'25 | — | $0.06 | — | ||
| Q3'25 | — | $0.06 | — | ||
| Q2'25 | — | $0.09 | — | ||
| Q1'25 | — | $0.08 | — | ||
| Q4'24 | — | $0.08 | — | ||
| Q3'24 | — | $0.08 | — |
Total return is +12.9% (1Y), lagging the benchmark by -12.1%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -4.3% | -13.6% | — |
| 1Y | +12.9% | -12.1% | +0.7% |
| 3YCAGR | +27.1% | +7.8% | +3.1% |
| 5YCAGR | +3.4% | -9.0% | +10.4% |
| 10YCAGR | +1.7% | -11.9% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Brookfield Wealth Solutions Ltd. (BNT) valuation, health, and returns.
Brookfield Wealth Solutions Ltd. is estimated to be overvalued under our discounted cash flow framework. relative multiples indicate the stock is Slightly expensive versus peers compared to industry peers. overvalued (implying -42.4% downside from DCF intrinsic value of $25.65)
Brookfield Wealth Solutions Ltd. has multiple valuation anchors: DCF Intrinsic Value: $25.65 | Peer Relative Fair Value: $36.42. A convergence of these signals offers higher conviction.
Brookfield Wealth Solutions Ltd. displays good financial health with a composite quality score of 61/100, supported by a Piotroski F-Score of 4/9, Return on Invested Capital (ROIC) of 9.3%.
Brookfield Wealth Solutions Ltd. returns capital via buybacks instead of dividends, carrying a 0.8% buyback yield and reducing outstanding shares by +77.2% in the last 12 months.
Brookfield Wealth Solutions Ltd.'s current growth trajectory is Decelerating. The company achieved -17.4% 1Y revenue growth and -64.5% 1Y EPS growth, compared to its 3Y revenue CAGR of +39.4%.
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 Wealth Solutions Ltd. include: -18.9% 1-year max drawdown, high beta (1.51x market volatility). Volatility risk is characterized by a beta of 1.51x.
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.