BN is not suitable for a 5-8% portfolio weight due to an extended run beyond fundamentals, declining EPS/sales, high yield, and being overbought; max 2-3% weight only near $35.

I got a question about Brookfield uh Brookfield Corporation BN. Um question is is um what do you think of the company as a core compounder in the portfolio at a 5 to 8% weight? No.

And the reason is this. First of all, this company's had a huge run. This is a monthly chart by the way, not daily. Previous to this, over the previous, you know, kind of previous 2020, the stock was just growing at a very steady rate, very normal.

Yes, at that point you could have overweighted the stock. However, just in recent years, because of the speculation in the markets and a lot of the changes we've had and the way the markets are operating, you've had this massive extended run in Brookfield that is far beyond the fundamentals.

If you take a look at, for instance, uh GAP EPS is declining for the company. Sales are declining and this is in the midst of buybacks for the company as well. Company pays about a 74% dividend yield.

It's extremely overbought on on a on a monthly basis. doesn't mean that the stock is going to go, you know, just collapse immediately, but this is not the type of company you would put an 8% weight in the portfolio, right?

Um, this is something that might be a 2 or 3% weight if you really believe in the company. And if I could buy it closer to $35 a share and kind of capture that bottom of that rising trend, that that would probably be an okay position.

But outside of of that, I I would not be overweight in the stock. isn't this isn't the type of company you would overweight in a portfolio.