Brookfield Asset Management, Inc. (USA) (BAM)

Ladies and Gentlemen... BAM is on sale.

This company has been hurt by all the turmoil in the financial, housing, and mortgage markets... even though it isn't really connected to those risks.

Expect it to jump back to 43.82 in the near future and then continue on to new heights.

firesale pricing

With little to no downside risk at today's price -- due to asset protection and a ridiculous margin of safety based on going concern cash flows...and substantial upside potential -- due to an inevitable multiple re-rating (when the market realizes its current concerns regarding BAM's exposure to credit, housing, and commercial re markets are wildly overblown), BAM has all the attributes of a truly wonderful investment.

The bottom line is that at today's valuation, BAM offers opportunistic investors (with an iron constitution and a longer term view) a classic low risk, high return fat pitch. Outperform.

BAM is truly a best in breed asset management company focused exclusively on delivering value to shareholders by producing increasing, recurring high-quality free cash flow. Due to the recent misunderstanding relating to its potential exposure to the US housing markets, and a more recent (and just as ridiculous) sell-off after its Nov.2nd earnings announcement investors have the ability to purchase the pre-eminent wealth creation company in the market today for a significant discount to its intrinsic value.

Much like BRK or LUK, BAM is difficult to quickly summarize or catagorize. Their basic strategy is to opportunistically acquire and manage long lived assets, at reasonable prices, and manage them actively to maximize total returns. Asset classes include commercial and residential property, financial assets, power generation and transmission, timberlands, and renewable energy.

Considering the recent price of roughly 11x run rate free cash flow (half the multiple of asset managers of similar nature), which I believe is an absurdly low price considering their growth, cash flows, returns on equity, stable and high quality asset base, and inherent inflation and recession resiliency BAM represents an amazing opportunity at today's prices.

Best asset management company.

A good stock for the long term, if you don't mind lumpy earnings. Smart management.

good leadership

Perfect play on multiple macro factors including: (1) strength of Canadian versus US dollar, (2) real estate and infrastructure assets including Brazil as part of the BRIC complex, (3) younger and smaller version of Berkshire Hathaway and (4) disciplined investment and acquisition model based on deep value and cash flows.

Better than Berkshire in performance

A holding company that knows how to put its money to good use. Reminds me somewhat of Berkshire in its infancy.

Long term growth in strategic areas of the world.

Good track record for over 5 years already. If it continues it's same philosophy and strategy, it should do well (short of a global recession).

I have followed this diversified company through 10 years of division purchases and sales. I think they are solid.

Who could benefit from this situation? A bright mind with a steady cash-flow to work with.

being from omaha, I am not rich enough for Berkshire so maybe I can get with BAM train.

Oh Canada.

I have this in my real portfolio and it has gotten destroyed. I recently got out of my recession paralysis and started with my own stocks. This stock may be too soon to buy but Im adding today and willing to buy in 3rds looking 3-4 yrs for 25-35 % return. This company is sound and when (if?) this recession ends... BAM!

Well-managed and discplined company that is a consistent winner quarter in and quarter out. I can't find anything wrong with these guys...

Great price for a great company. Housing the reason you can get this stock for this price. See, something good has come out of the crash!! It will be back to its 52 week high within just that amount of time, maybe a little more.