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This Stock, Up Over 306% in 10 Years, Looks Like a Genius Buy Right Now

Alex Smith

Alex Smith

2 hours ago

5 min read 👁 1 views
This Stock, Up Over 306% in 10 Years, Looks Like a Genius Buy Right Now

Over the long term, Brookfield (TSX:BN) has built a reputation for delivering strong, consistent returns. Management explicitly targets annualized returns of over 15%, and its track record backs that up. Over the last decade, Brookfield stock has climbed roughly 306%, and when dividends are included, total returns reach about 360% — a compound annual growth rate of about 16.5%. That easily surpasses the broader Canadian market’s return of about 228% over the same period.

Yet, this impressive history doesn’t stop the stock from having its share of volatility. For long-term investors, a combination of proven performance and temporary weakness is where the best opportunities may be found.

A proven compounder with momentum

Brookfield’s strength lies in its ability to compound capital across cycles. In 2025, the company delivered a record year, raising US$112 billion, selling US$91 billion in assets, and financing approximately US$175 billion. This capital rotation allowed it to deploy US$126 billion into new investments, fueling future growth. Unsurprisingly, shares responded with a 21% return for the year.

But this isn’t just about one strong year. Brookfield’s strategy is built on acquiring and scaling high-quality, essential assets — businesses that underpin the global economy. Its portfolio includes telecom towers, data centres, renewable power assets, and battery storage systems. These are not speculative ventures; they are critical infrastructure with long-term demand tailwinds.

Positioned to benefit from global megatrends

Looking ahead, Brookfield appears well-positioned for sustained growth through 2030 and beyond. Management expects earnings per share (EPS) to grow at a double-digit rate, driven by several powerful engines.

First, its asset management division continues to expand as institutional investors allocate more capital to alternative assets. Second, its rapidly growing insurance and wealth solutions arm provides a steady and scalable source of capital. Third, Brookfield is aggressively investing in areas tied to major global trends, including artificial intelligence infrastructure and renewable energy.

Importantly, the company doesn’t operate in isolation. It partners with some of the world’s most influential organizations, including Google, NVIDIA, JPMorgan, and Microsoft, as well as the U.S. government. These partnerships validate Brookfield’s strategy and help secure long-term, large-scale opportunities.

Why the current pullback looks like an opportunity

Despite its strengths, Brookfield stock is not immune to market volatility. At around $61 per share, it currently trades at roughly a 15% discount to analyst consensus price targets. For a company with this level of diversification, growth visibility, and historical performance, that valuation looks reasonable.

Brookfield also has a built-in advantage: flexibility. With global operations and deep expertise, it can shift capital toward the most attractive opportunities. Additionally, when its publicly listed subsidiaries trade at steep discounts, Brookfield can repurchase shares to enhance shareholder value.

For patient investors, short-term weakness can be an entry point into a long-term compounder. And if broader market corrections push the stock lower, that could present an even more attractive opportunity to build a position.

Investor takeaway

Brookfield stock combines a proven 10-year track record of market-beating returns with strong positioning in high-growth global sectors. Its disciplined capital allocation, strategic partnerships, and exposure to long-term trends like AI infrastructure and renewable energy support continued expansion. With the stock currently trading at a discount, this dip offers investors a good chance to accumulate shares in a high-quality compounder at a reasonable price — making it look like a genuinely smart long-term investment today.

The post This Stock, Up Over 306% in 10 Years, Looks Like a Genius Buy Right Now appeared first on The Motley Fool Canada.

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JPMorgan Chase is an advertising partner of Motley Fool Money. Fool contributor Kay Ng has positions in Brookfield Corporation and Microsoft. The Motley Fool has positions in and recommends Brookfield Corporation. The Motley Fool recommends JPMorgan Chase, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.

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