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Investing.com - Piper Sandler has reduced its price target on Brookfield Asset Management (NYSE:BAM) to $60.00 from $65.00 while maintaining a Neutral rating on the stock. The new target sits within the broader analyst range of $54-$75, with InvestingPro data showing the stock currently trades at a P/E ratio of 37.26x.
The adjustment follows Brookfield’s investor day held Wednesday in New York City, which featured presentations from CEO Bruce Flatt, President Conor Teskey, CFO Hadley Peer Marshall, and other company executives.
During the event, Brookfield outlined its target to double both assets under management (AUM) and earnings over the next five years, extending through 2030.
Piper Sandler noted that digital infrastructure and individual investor opportunities, including 401(k)s, represent significant tailwinds that will likely benefit Brookfield Asset Management for years to come.
The firm’s reduced price target is based on approximately 30 times 2026 estimated adjusted earnings per share, down from the previous multiple of about 32.5 times, with the lower multiple attributed to recent peer multiple contraction.
In other recent news, Brookfield Asset Management announced a successful public offering of $750 million in senior notes due in 2055, with an interest rate of 6.077% per annum. The proceeds from this offering will be used for general corporate purposes. The company also reported strong growth in its second quarter of 2025, highlighting significant increases in fee-related and distributable earnings. In terms of analyst ratings, BofA Securities downgraded Brookfield from Buy to Neutral, citing concerns about its positioning for U.S. retail and 401k themes, as well as a premium valuation. Meanwhile, BMO Capital raised its price target for Brookfield to $56, maintaining a Market Perform rating and noting positive fundamentals and double-digit growth in fee-bearing capital. Additionally, Brookfield’s executive David Levi met with China’s vice commerce minister, who welcomed the company’s potential investments in renewable energy funds in China. These developments reflect Brookfield’s ongoing strategic initiatives and market positioning.
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