Brookfield Asset Management vs IBM Which Is Superior?

Brookfield Asset Management and IBM are two prominent companies in the financial and technology sectors, respectively. Brookfield is a global asset management company known for its diversified portfolio of real estate, infrastructure, renewable energy, and private equity investments. On the other hand, IBM is a multinational technology corporation with a focus on cloud computing, artificial intelligence, and blockchain technology. Investors looking for stability may lean towards Brookfield, while those seeking growth opportunities may consider IBM. Let's analyze the performance of their stocks in detail.

Brookfield Asset Management or IBM?

When comparing Brookfield Asset Management and IBM, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Brookfield Asset Management and IBM.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Brookfield Asset Management has a dividend yield of 2.65%, while IBM has a dividend yield of 2.89%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Brookfield Asset Management reports a 5-year dividend growth of 0.00% year and a payout ratio of 307.51%. On the other hand, IBM reports a 5-year dividend growth of 1.32% year and a payout ratio of 95.65%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Brookfield Asset Management P/E ratio at 53.57 and IBM's P/E ratio at 33.21. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Brookfield Asset Management P/B ratio is 7.48 while IBM's P/B ratio is 8.69.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Brookfield Asset Management has seen a 5-year revenue growth of -0.82%, while IBM's is -0.22%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Brookfield Asset Management's ROE at 16.72% and IBM's ROE at 27.14%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $57.18 for Brookfield Asset Management and $230.26 for IBM. Over the past year, Brookfield Asset Management's prices ranged from $37.19 to $59.58, with a yearly change of 60.20%. IBM's prices fluctuated between $157.89 and $239.35, with a yearly change of 51.59%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.