The Real Investment ShowPublished 2026-09-02
“9-2-26 Q&A Wednesday: What Are Markets Waiting For?”
$BNBearish
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.