Post #75 by Baybrooke on the Brookfield Corporation board

Stocks A to Z / Stocks B / Brookfield Corporation (BN)

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No. of Recommendations: 9


Brookfield asset management (BAM) 75%		37,813 (3/15/23 market quote)
Brookfield property group (BPG)  100%		31,868 (IFRS)
Brookfield renewable energy partners (BEP) 48% 	9,563 (3/15/23 market quote)
Brookfield infrastructure partners (BIP) 27%  	9,188 (3/15/23 market quote) 
Brookfield business partners (BBU) 65% 		2,511 (3/15/23 market quote)
Corporate cash and financial Assets		2,893 (IFRS)
Insurance Solutions				3,996 (IFRS)
Energy contracts				639 (IFRS)
Other unlisted					2,855 (IFRS)
Corporate borrowings/Interest expense		-11,390 (IFRS)
Net Working Capital*				-944 (IFRS)
Preferred shares				-4,375 (IFRS)

==============================================================================

Common Shareholder's Equity			84,617 million
Market Capitalization				46,896 (3/15/23 market quote)

==============================================================================

Observations:

1. Market cap is 84,617 - 46,896 = 37,721 less than the blended common shareholder's equity. That's a 45% discount.
2. Assuming BPG IFRS is the primary issue, market is valuing BPG at 31,868 - 37,721 = -5,853 million!
3. In 2022, BPG had FFO of 953 million and disposition gains of 791 million.
4. Management thought they were getting a bargain when they privatized BPG at 70% of IFRS (31,868).

Questions:

Are my numbers wrong? How can BPG be worth negative 6 billion? Even during the height of the pandemic, BPG fell to 9 and change, but not zero! What are we missing?

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