CJT and BN

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1. by double digit growth, what numbers are we talking? 15%? 10%? 20?
2. what is BN’s average ROIC?

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Asked on February 24, 2025 3:37 pm
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For Cargojet, most expectations have them producing anywhere from 15-20% growth next year, followed by mid single digit growth in 2027.

Brookfield has a very low ROIC, in the low 1% range. It is low due to a wide variety of reasons, and it is not the best metric to use for the asset manager. For one, Brookfield reports many of its assets at fair value. However, these unrealized gains do not translate into immediate cash flows that would improve ROIC.

In addition to this, it has a ton of investments that are long-term projects, ones that can take a decade to generate substantial cash flows. THis can drag down ROIC.

I could probably go on and on about why it's not the best metric to use with Brookfield, but I would imagine from the first couple of points here you get it!

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Posted by Dan Kent
Answered on February 25, 2025 1:55 pm