Motley Fool Top Picks for 2021BAM.A was one of only two companies to get two recommendations. GLTA
We asked our Foolish writers for their top ideas for 2021 – here are their choices: Kay Ng: Brookfield Asset Management
Brookfield Asset Management (TSX:BAM.A)(NYSE:BAM) is my top pick for 2021. It is a worthy core holding and growing to be more diversified than ever!
BAM is a leading global alternative asset manager with sizeable businesses in real estate, renewable power, infrastructure, private equity, and credit. Its assets under management (AUM) are at US$575 billion and growing. About half of its AUM is fee-bearing capital.
Some of the large-cap growth stock’s recent big moves include spinning off its reinsurance business in the first half of 2021 and acquiring the portion of Brookfield Property it does not already own.
At US$38.50 per share (or roughly CAD$49 per share), BAM stock trades at a discount of approximately 21% from analysts’ average 12-month price target. It is attractively priced for estimated annualized returns of 17-20% over the next five years.
Fool contributor Kay Ng owns shares of Brookfield Asset Management.
Daniel Da Costa: Brookfield Asset Management
My top pick for 2021 is one of the top long-term TSX stocks you can buy, Brookfield Asset Management. From 2010 to 2020, Brookfield earned investors a roughly 500% return.
Today, the stock is facing short-term headwinds due to the coronavirus pandemic. These headwinds have created an incredible buying opportunity for such an impressive long-term business.
Not only will it bounce back from the pandemic, but it will be stronger than ever as Brookfield’s forte is taking advantage of these types of situations to make value accretive acquisitions.
Brookfield offers investors superior long-term potential with minimal risk, making it the top stock to add to your portfolio in 2021.
Fool contributor Daniel Da Costa owns shares of Brookfield Asset Management Inc.