Brookfield Reinsurance Ltd.
Brookfield Reinsurance Ltd. Fundamental Analysis
Brookfield Reinsurance Ltd. (BAMR) shows moderate financial fundamentals with a PE ratio of 11.44, profit margin of 10.91%, and ROE of 6.95%. The company generates $1.8B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 65.6/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze BAMR's fundamental strength across five key dimensions:
Efficiency Score
WeakBAMR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBAMR trades at attractive valuation levels.
Growth Score
ModerateBAMR shows steady but slowing expansion.
Financial Health Score
ExcellentBAMR maintains a strong and stable balance sheet.
Profitability Score
WeakBAMR struggles to sustain strong margins.
Key Financial Metrics
Is BAMR Expensive or Cheap?
P/E Ratio
BAMR trades at 11.44 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BAMR's PEG of -0.33 indicates potential undervaluation.
Price to Book
The market values Brookfield Reinsurance Ltd. at 0.63 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 56.51 times EBITDA. This signals the market has high growth expectations.
How Well Does BAMR Make Money?
Net Profit Margin
For every $100 in sales, Brookfield Reinsurance Ltd. keeps $10.91 as profit after all expenses.
Operating Margin
Core operations generate 12.50 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.95 in profit for every $100 of shareholder equity.
ROA
Brookfield Reinsurance Ltd. generates $0.46 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Brookfield Reinsurance Ltd. generates strong operating cash flow of $459.70M, reflecting robust business health.
Free Cash Flow
Brookfield Reinsurance Ltd. generates strong free cash flow of $449.76M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $9.69 in free cash annually.
FCF Yield
BAMR converts 20.53% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.44
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.33
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.63
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.25
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.72
vs 25 benchmark
Current Ratio
Current assets to current liabilities
34.52
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.005
vs 25 benchmark
ROCE
Return on capital employed
0.005
vs 25 benchmark
How BAMR Stacks Against Its Sector Peers
| Metric | BAMR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.44 | 18.73 | Better (Cheaper) |
| ROE | 6.95% | 847.00% | Weak |
| Net Margin | 10.91% | 3919.00% | Weak |
| Debt/Equity | 0.72 | 0.93 | Strong (Low Leverage) |
| Current Ratio | 34.52 | 674.76 | Strong Liquidity |
| ROA | 0.46% | -21563.00% (disorted) | Weak |
BAMR outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Brookfield Reinsurance Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical