Brookfield Asset Management (NYSE:BAM – Get Free Report) and Vinci Partners Investments (NASDAQ:VINP – Get Free Report) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, valuation, dividends, analyst recommendations, earnings, profitability and institutional ownership.
Profitability
This table compares Brookfield Asset Management and Vinci Partners Investments’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Brookfield Asset Management | 49.69% | 85.03% | 61.67% |
Vinci Partners Investments | 37.79% | 15.00% | 8.52% |
Earnings & Valuation
This table compares Brookfield Asset Management and Vinci Partners Investments”s gross revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Brookfield Asset Management | $522.00 million | 46.45 | $451.00 million | $1.13 | 51.13 |
Vinci Partners Investments | $567.43 million | 1.02 | $44.19 million | $0.62 | 17.42 |
Analyst Ratings
This is a summary of current recommendations for Brookfield Asset Management and Vinci Partners Investments, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Brookfield Asset Management | 2 | 5 | 5 | 0 | 2.25 |
Vinci Partners Investments | 0 | 0 | 2 | 0 | 3.00 |
Brookfield Asset Management presently has a consensus target price of $53.88, suggesting a potential downside of 6.76%. Vinci Partners Investments has a consensus target price of $13.50, suggesting a potential upside of 25.00%. Given Vinci Partners Investments’ stronger consensus rating and higher possible upside, analysts clearly believe Vinci Partners Investments is more favorable than Brookfield Asset Management.
Volatility & Risk
Brookfield Asset Management has a beta of 1.41, indicating that its stock price is 41% more volatile than the S&P 500. Comparatively, Vinci Partners Investments has a beta of 0.09, indicating that its stock price is 91% less volatile than the S&P 500.
Dividends
Brookfield Asset Management pays an annual dividend of $1.52 per share and has a dividend yield of 2.6%. Vinci Partners Investments pays an annual dividend of $0.64 per share and has a dividend yield of 5.9%. Brookfield Asset Management pays out 134.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Vinci Partners Investments pays out 103.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Vinci Partners Investments is clearly the better dividend stock, given its higher yield and lower payout ratio.
Institutional & Insider Ownership
68.4% of Brookfield Asset Management shares are held by institutional investors. Comparatively, 34.1% of Vinci Partners Investments shares are held by institutional investors. 11.0% of Brookfield Asset Management shares are held by company insiders. Comparatively, 49.3% of Vinci Partners Investments shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Summary
Brookfield Asset Management beats Vinci Partners Investments on 10 of the 16 factors compared between the two stocks.
About Brookfield Asset Management
Brookfield Asset Management Ltd. is a real estate investment firm specializing in alternative asset management services. Its renewable power and transition business includes the operates in the hydroelectric, wind, solar, distributed generation, and sustainable solution sector. The company's infrastructure business engages in the utilities, transport, midstream, and data infrastructure sectors. In addition, its private equity business offers industrial, infrastructure, and business services sectors; and real estate business, which includes housing, logistics, hospitality, science and innovation, office, and retail sectors. Further, it provides credit business; and insurance solution in the reinsurance, annuities, operating platform, and investment solutions sectors. Brookfield Asset Management Ltd. was incorporated in 2022 and is headquartered in Toronto, Canada.
About Vinci Partners Investments
Vinci Partners Investments Ltd. operates as an asset management firm in Brazil. The company focuses on private markets, liquid strategies, investment products and solutions, and retirement services. It offers private equity, infrastructure, real estate, credit, special situations, equities, hedge funds, and investment products and solutions comprising portfolio and management services. In addition, the company financial and strategic advisory services, focusing on IPO advisory and mergers and acquisition transactions to entrepreneurs, corporate senior management teams, and boards of directors. Vinci Partners Investments Ltd. was founded in 2009 and is based in Rio de Janeiro, Brazil.
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