Brookfield Business Corporation (BBUC) stock analysis

In our weekly check, Brookfield Business Corporation is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 10 pass, warnings: 6, red flags: 7.

About Brookfield Business Corporation

Brookfield Business Corporation is a Financial Services company (Asset Management) based in the United States, listed on NYSE as BBUC.

What our checks show for BBUC

Red flags

• Net debt is 6.7x a year of EBITDA (debt/equity 8.41). That limits room in a downturn and raises refinancing risk.
• The net margin fell by 2.6 points over 5 years, to -2%: the company keeps less of each sale as profit.
• Earnings per share fell 7.9% a year over the last 3 years.
• The company is losing money: the net margin is -2%.
• Brookfield Business Corporation pays a dividend while losing money: it is funded from reserves or debt.
• The stock has fallen as much as 62% from a peak. Would you have held through that?
• Return on capital (ROCE) is only 5%.

Warning signs

• Operating profit covers interest only 2.8 times: a weak year could make the payments hard.
• Free cash flow is only 1.9% of revenue.
• The price swings a lot: 36.5% annual volatility. Expect large ups and downs.
• Recovering from its deepest fall took about 1.9 years.
• Beta 1.37: the stock usually moves more than the market, both up and down.
• Thinly traded (about 324 thousand shares a day): buying and selling can move the price.

Strengths

• The gross margin is 19.3% and has risen by 13.2 points: pricing power is holding.
• Operating cash flow is 6.14x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 15.5% a year over the next years.
• Analysts expect revenue to grow about 52.9% a year over the next years.
• Analysts expect the net margin to improve by 3.5 points from today's -2%.
• Revenue grew 47% a year over the last 3 years.

Next earnings report: 2026-11-05

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Questions

What grade does Brookfield Business Corporation (BBUC) have?

In our weekly check, Brookfield Business Corporation is graded C (A to F). Of 23 checks on debt, profit, cash flow and trend: 10 pass, warnings: 6, red flags: 7. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of BBUC stock?

This week's biggest flags for Brookfield Business Corporation: High debt, Margins falling, Weak EPS growth. In total 13 of 23 checks show a warning or a red flag.

What does Brookfield Business Corporation do?

Brookfield Business Corporation is a Financial Services company (Asset Management) based in the United States, listed on NYSE as BBUC.

When does Brookfield Business Corporation report earnings next?

The next earnings report is expected on 2026-11-05. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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