Brookfield vs Blackstone Which Is More Favorable?

Brookfield and Blackstone are two prominent players in the global investment and real estate industries. Both companies have a strong track record of delivering impressive returns to their investors. Brookfield is known for its diversified portfolio of real assets, while Blackstone is renowned for its expertise in private equity and alternative investments. Investors seeking exposure to these sectors may find value in both Brookfield and Blackstone stocks, but it's important to carefully assess the risk and return characteristics of each before making an investment decision.

Brookfield or Blackstone?

When comparing Brookfield and Blackstone, 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 and Blackstone.

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 has a dividend yield of 0.41%, while Blackstone has a dividend yield of 1.82%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Brookfield reports a 5-year dividend growth of -10.22% year and a payout ratio of 71.80%. On the other hand, Blackstone reports a 5-year dividend growth of -1.93% year and a payout ratio of 196.69%.

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 P/E ratio at 98.27 and Blackstone's P/E ratio at 65.47. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Brookfield P/B ratio is 1.92 while Blackstone's P/B ratio is 20.78.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Brookfield has seen a 5-year revenue growth of 0.59%, while Blackstone's is 1.12%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Brookfield's ROE at 2.00% and Blackstone's ROE at 32.22%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $58.40 for Brookfield and $184.98 for Blackstone. Over the past year, Brookfield's prices ranged from $35.72 to $62.44, with a yearly change of 74.80%. Blackstone's prices fluctuated between $112.09 and $200.96, with a yearly change of 79.28%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.