Brookfield vs IBM

Brookfield Properties is a global real estate company that manages a diversified portfolio of properties, while IBM is a renowned multinational technology and consulting corporation. Both companies have experienced fluctuations in their stock performance over the years, with Brookfield showing resilience in the real estate market and IBM struggling to keep up with technological advancements. Investors may find Brookfield's stable real estate assets appealing, while IBM's future outlook depends on its ability to adapt to changing industry trends.

Brookfield or IBM?

When comparing Brookfield 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 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 has a dividend yield of 0.73%, while IBM has a dividend yield of 2.86%. 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 58.98%. On the other hand, IBM reports a 5-year dividend growth of 1.32% year and a payout ratio of 72.25%.

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 54.93 and IBM's P/E ratio at 25.43. 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 1.30 while IBM's P/B ratio is 8.92.

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 0.69%, while IBM's is -0.22%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Brookfield's ROE at 2.39% and IBM's ROE at 36.30%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $53.34 for Brookfield and $232.71 for IBM. Over the past year, Brookfield's prices ranged from $28.84 to $54.43, with a yearly change of 88.73%. IBM's prices fluctuated between $135.87 and $237.35, with a yearly change of 74.69%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.