No. of Recommendations: 2
I should say how I arrived at a preliminary valuation for BN of $39/share. I used this analysis from the Motley Fool Brookfield Asset Management discussion board
discussion.fool.com - Conservative valuationupdating the numbers to Q3 and subtracting the distribution of 25% of the management business (about 1/8th of the total value).
This analysis values properties at the IFRS carrying value and the fee business at 15x fee related earnings. Brookfield's 'plan value' values properties above IFRS and values the fee business at 25x to 35x fee related earnings.
A couple of people on the Motley Fool board and the Shred board who know BN and BAM better than I do have said that after the next financial reports come out they plan to update their estimates of IV.
