Stock Analysis

Brookfield (TSX:BN) Repurchases 6 Million Shares for US$361M Amid 11% Weekly Dip

TSX:BN
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Brookfield (TSX:BN) recently updated its buyback program, repurchasing 6,116,875 shares between October 2024 and March 2025. The buyback represents 0.41% of total shares at an expenditure of $361 million. Meanwhile, the Dow Jones, S&P 500, and Nasdaq suffered significant losses, with declines of 5.5%, 6%, and 5.8%, respectively, due to escalating trade tensions. The broader market fell 9.5% for the week, amplifying pressures on individual stocks such as Brookfield, which saw an 11.27% decrease in share price. The market turbulence overshadowed Brookfield's buyback efforts, reflecting overall investor uncertainty.

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TSX:BN Earnings Per Share Growth as at Apr 2025
TSX:BN Earnings Per Share Growth as at Apr 2025

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Over the past five years, Brookfield Corporation has achieved a total return of 75.33%, reflecting significant growth in shareholder value. This performance is underscored by its ability to exceed both the Canadian Capital Markets industry's return of 16.6% and the broader Canadian market's return of 2.4% over the past year. During this period, the company increased its quarterly dividend by 14% in February 2024, indicating a commitment to shareholder returns. Additionally, Brookfield's active buyback program, authorized to repurchase up to 37.12 million shares, is indicative of efforts to bolster share value amid fluctuating market conditions.

The past year has been marked by earnings declines, as showcased in the Q4 2024 report with net income dropping to US$432 million from US$699 million the previous year. Despite this, Brookfield has pursued growth opportunities, entering into M&A discussions regarding potential acquisitions like Insignia Financial Ltd and Gland Pharma. Furthermore, the issuance of US$500 million senior notes underscores the company's strategic initiatives to finance general corporate purposes, reflecting a proactive approach to navigating the challenging landscape. These activities collectively illustrate Brookfield’s efforts to maintain and enhance long-term shareholder value.

Unlock comprehensive insights into our analysis of Brookfield stock in this financial health report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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