Head-To-Head Contrast: Brookfield (NYSE:BN) vs. City Developments (OTCMKTS:CDEVY)

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
City Developments	N/A	N/A	N/A
Brookfield	1.34%	3.92%	1.24%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for City Developments and Brookfield, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
City Developments	0	0	1	0	3.00
Brookfield	1	1	10	2	2.93

Brookfield has a consensus price target of $53.87, suggesting a potential upside of 14.02%. Given Brookfield’s higher possible upside, analysts plainly believe Brookfield is more favorable than City Developments.

Dividends

City Developments pays an annual dividend of $0.02 per share and has a dividend yield of 0.3%. Brookfield pays an annual dividend of $0.24 per share and has a dividend yield of 0.5%. Brookfield pays out 66.7% of its earnings in the form of a dividend. Brookfield has increased its dividend for 2 consecutive years. Brookfield is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Institutional & Insider 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 endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares City Developments and Brookfield”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
City Developments	$2.45 billion	2.59	$150.66 million	N/A	N/A
Brookfield	$86.01 billion	1.36	$641.00 million	$0.36	131.23

Brookfield has higher revenue and earnings than City Developments.

Volatility and Risk

City Developments has a beta of 0.25, indicating that its stock price is 75% less volatile than the S&P 500. Comparatively, Brookfield has a beta of 1.58, indicating that its stock price is 58% more volatile than the S&P 500.

Summary

Brookfield beats City Developments on 13 of the 16 factors compared between the two stocks.

About City Developments

City Developments Limited (CDL) is a leading global real estate company with a network spanning 112 locations in 29 countries and regions. Listed on the Singapore Exchange, the Group is one of the largest companies by market capitalisation. Its income-stable and geographically-diverse portfolio comprises residences, offices, hotels, serviced apartments, shopping malls and integrated developments. With a proven track record of over 55 years in real estate development, investment and management, CDL has developed over 47,000 homes and owns over 23 million square feet of gross floor area in residential, commercial and hospitality assets globally. Its diversified global land bank offers 3.5 million square feet of land area.

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.