Contrasting Hammerson (OTCMKTS:HMSNF) & Brookfield (NYSE:BN)

Brookfield (NYSE:BN) and Hammerson (OTCMKTS:HMSNF) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.

Insider & Institutional Ownership

61.6% of Brookfield shares are held by institutional investors. 11.0% of Brookfield shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Brookfield and Hammerson”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brookfield	$75.10 billion	1.48	$1.31 billion	$0.49	92.66
Hammerson	$278.73 million	8.20	$306.07 million	N/A	N/A

Brookfield has higher revenue and earnings than Hammerson.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Brookfield and Hammerson, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brookfield	0	2	10	1	2.92
Hammerson	0	3	1	0	2.25

Brookfield presently has a consensus price target of $55.65, suggesting a potential upside of 22.56%. Given Brookfield’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Brookfield is more favorable than Hammerson.

Profitability

This table compares Brookfield and Hammerson’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brookfield	1.74%	3.90%	1.22%
Hammerson	N/A	N/A	N/A

Volatility & Risk

Brookfield has a beta of 1.56, indicating that its stock price is 56% more volatile than the S&P 500. Comparatively, Hammerson has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500.

Summary

Brookfield beats Hammerson on 12 of the 13 factors compared between the two stocks.

About Brookfield

Brookfield Corporation is an alternative asset manager and REIT/Real Estate Investment Manager firm focuses on real estate, renewable power, infrastructure and venture capital and private equity assets. It manages a range of public and private investment products and services for institutional and retail clients. It typically makes investments in sizeable, premier assets across geographies and asset classes. It invests both its own capital as well as capital from other investors. Within private equity and venture capital, it focuses on acquisition, early ventures, control buyouts and financially distressed, buyouts and corporate carve-outs, recapitalizations, convertible, senior and mezzanine financings, operational and capital structure restructuring, strategic re-direction, turnaround, and under-performing midmarket companies. It invests in both public debt and equity markets. It invests in private equity sectors with focus on Business Services include infrastructure, healthcare, road fuel distribution and marketing, construction and real estate; Industrials include manufacturers of automotive batteries, graphite electrodes, returnable plastic packaging, and sanitation management and development; and Residential/ infrastructure services. It targets companies which likely possess underlying real assets, primarily in sectors such as industrial products, building materials, metals, mining, homebuilding, oil and gas, paper and packaging, manufacturing and forest product sectors. It invests globally with focus on North America including Brazil, the United States, Canada; Europe; and Australia; and Asia-Pacific. The firm considers equity investments in the range of $2 million to $500 million. It has a four-year investment period and a 10-year term with two one-year extensions. The firm prefers to take minority stake and majority stake. Brookfield Corporation was founded in 1997 and based in Toronto, Canada with additional offices across Northern America; South America; Europe; Middle East and Asia.

About Hammerson

Hammerson is a cities business. An owner, operator and developer of prime urban real estate, with a portfolio value of £4.7billion (as at 30 June 2023), in some of the fastest growing cities in the UK, Ireland and France. Our portfolio and adjacent lands leverage our experience and capabilities to create and manage exceptional city centre destinations with the opportunity to drive value and reshape entire neighbourhoods. Our assets are high profile and play an important role in our communities, welcoming c. 175 million visitors each year and supporting 20,000+ jobs though our retail, dining and social occupiers. These destinations include Bullring in Birmingham, The Oracle in Reading, Dundrum Estate, Dublin and Terraces du Port in Marseille. We also hold investments in Value Retail, best-in-class villages such as Bicester Village, Oxfordshire. Hammerson also holds 80 acres of attractive pre-development and strategic land. This includes complementary adjacent land, creating optionality to enhance both the scale and diversity of the existing estate, and stand-alone land opportunities. These include Martineau Galleries in Birmingham and Bishopsgate Goodsyard, Shoreditch.