Brookfield Infrastructure Partners L.P.
Brookfield Infrastructure Partners L.P. Fundamental Analysis
Brookfield Infrastructure Partners L.P. (BIP-PB) shows weak financial fundamentals with a PE ratio of 35.04, profit margin of 2.29%, and ROE of 9.74%. The company generates $23.2B in annual revenue with strong year-over-year growth of 17.33%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 30.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BIP-PB's fundamental strength across five key dimensions:
Efficiency Score
WeakBIP-PB struggles to generate sufficient returns from assets.
Valuation Score
ModerateBIP-PB shows balanced valuation metrics.
Growth Score
ModerateBIP-PB shows steady but slowing expansion.
Financial Health Score
WeakBIP-PB carries high financial risk with limited liquidity.
Profitability Score
WeakBIP-PB struggles to sustain strong margins.
Key Financial Metrics
Is BIP-PB Expensive or Cheap?
P/E Ratio
BIP-PB trades at 35.04 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, BIP-PB's PEG of 0.72 indicates potential undervaluation.
Price to Book
The market values Brookfield Infrastructure Partners L.P. at 3.30 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at -3.88 times EBITDA. This is generally considered low.
How Well Does BIP-PB Make Money?
Net Profit Margin
For every $100 in sales, Brookfield Infrastructure Partners L.P. keeps $2.29 as profit after all expenses.
Operating Margin
Core operations generate 25.10 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.74 in profit for every $100 of shareholder equity.
ROA
Brookfield Infrastructure Partners L.P. generates $0.41 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Brookfield Infrastructure Partners L.P. generates strong operating cash flow of $6.00B, reflecting robust business health.
Free Cash Flow
Brookfield Infrastructure Partners L.P. generates weak or negative free cash flow of $462.93M, restricting financial flexibility.
FCF Per Share
Each share generates $1.00 in free cash annually.
FCF Yield
BIP-PB converts 2.52% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
35.04
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.72
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.80
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
11.48
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.004
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How BIP-PB Stacks Against Its Sector Peers
| Metric | BIP-PB Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 35.04 | 19.75 | Worse (Expensive) |
| ROE | 9.74% | 920.00% | Weak |
| Net Margin | 2.29% | 8803.00% | Weak |
| Debt/Equity | 11.48 | 1.80 | Weak (High Leverage) |
| Current Ratio | 0.00 | 1.53 | Weak Liquidity |
| ROA | 0.41% | -6162.00% (disorted) | Weak |
BIP-PB outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Brookfield Infrastructure Partners L.P.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
195.98%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
-74.93%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
101.51%
Industry Style: Defensive, Dividend, Income
High Growth