Quick verdict: ARES vs BN in 2026

Ares Management Corporation (ARES) demonstrates a strong overall edge in this 2026 stock comparison, primarily driven by its exceptional revenue growth and superior profitability metrics. While Brookfield Corporation (BN) garners a higher analyst buy rating percentage, ARES offers significantly higher target price upside and presents a less concerning valuation from a discounted cash flow perspective. ARES stands out as the growth leader, value leader, and margin leader, whereas BN is marginally favored by analysts in terms of buy percentage. Not investment advice.

ARES vs BN: key metrics side by side

Full side-by-side comparison of ARES and BN across valuation, profitability, growth and analyst sentiment. Data updated 2026-04-27.

ARES vs BN valuation comparison

When comparing ARES vs BN valuation in 2026, Ares Management Corporation presents a mixed but generally more favorable picture for investors scrutinizing current market prices relative to fundamental earnings and book value. ARES currently trades at a P/E (Price-to-Earnings) ratio of 48.32x, which, while suggesting a premium, is notably lower than Brookfield Corporation’s P/E of 87.05x. The P/E ratio indicates how much investors are willing to pay for each dollar of a company’s earnings, and in this aspect, investors are paying a significantly higher premium for BN’s earnings compared to ARES, making ARES appear relatively cheaper on this common valuation metric.

However, from a P/B (Price-to-Book) perspective, which compares a company’s market price to its book value of equity, BN appears more attractive at 2.38x compared to ARES’s 5.96x. This suggests that BN’s underlying assets are valued less richly by the market. Despite this, a deeper analysis of the Discounted Cash Flow (DCF) models, which estimates intrinsic value based on projected future cash flows, reveals a critical difference. ARES’s current price of $115.23 is 11.0% above its calculated DCF fair value of $102.52. This indicates a degree of overvaluation, but one that is considerably more contained. In stark contrast, BN’s current price of $45.48 is a staggering 99.7% above its minuscule DCF valuation of $0.14, implying a massive overvaluation according to this intrinsic value model. Therefore, while BN offers a lower P/B, ARES presents a more appealing ARES vs BN valuation for investors concerned with earnings multiples and the disconnect between market price and intrinsic value via DCF.

ARES vs BN growth comparison

In terms of growth trajectory, Ares Management Corporation (ARES) demonstrably outshines Brookfield Corporation (BN), firmly establishing itself as the growth leader in this 2026 stock comparison. ARES reported an impressive year-over-year revenue growth of 66.6%. This exceptional growth rate signals robust expansion across its operations and a strong ability to capture market opportunities, indicating significant operational momentum and increasing demand for its services. Such a high growth figure suggests that ARES is in an aggressive expansion phase, rapidly increasing its top-line performance, which is often a key driver for stock appreciation.

Conversely, Brookfield Corporation’s revenue growth experienced a contraction of -11.5% year-over-year. While BN operates on a much larger scale with $76.13 billion in revenue compared to ARES’s $6.47 billion, its negative growth indicates potential headwinds, market challenges, or a period of divestment and consolidation. For investors prioritizing companies with dynamic expansion trajectories, a rapidly increasing market presence, and strong business momentum, ARES presents a compelling growth profile. The stark difference in revenue growth between ARES and BN highlights that ARES is currently executing a far more aggressive and successful expansion strategy, suggesting it has stronger momentum in driving revenue forward into 2026.

ARES vs BN profitability

Examining ARES vs BN profitability reveals that Ares Management Corporation demonstrates significantly superior efficiency in converting its revenue into bottom-line profits. ARES boasts a net margin of 9.0%, which is considerably higher than Brookfield Corporation’s net margin of 1.72%. This substantial difference indicates that ARES retains a much larger percentage of its revenue as net income after all expenses, taxes, and interest are accounted for. This superior net margin reflects more effective cost management, stronger pricing power, or a more favorable business model inherently geared towards higher profitability.

While ARES clearly leads in net margin, Brookfield Corporation shows a slightly higher EBITDA margin (Earnings Before Interest, Taxes, Depreciation, and Amortization) of 43.04% compared to ARES’s 37.27%. This suggests that BN has strong operational profitability before considering non-operating expenses like interest, taxes, and non-cash items. However, BN’s significantly lower net margin despite a higher EBITDA margin points to a heavier burden from depreciation, amortization, interest expenses, or taxes. Furthermore, ARES generates a healthy Free Cash Flow (FCF) yield of 4.08%, indicating its strong ability to convert profits into actual cash that can be used for reinvestment, debt reduction, or dividends. In contrast, BN has a negative FCF yield of -2.74%, implying it is consuming cash from its operations rather than generating it. Neither company provided a quantifiable Return on Equity (ROE), both showing N/A%. Overall, ARES clearly generates more substantial free cash flow and is more profitable on a net basis, offering a more robust financial picture for investors focused on a company’s ability to generate cash and maintain strong bottom-line performance.

Analyst ratings: ARES vs BN

The analyst consensus for both ARES and BN in 2026 leans towards a “Buy” rating, though there are nuanced differences in their recommendations and potential upsides. Ares Management Corporation is covered by 22 analysts, with 77.2% recommending a “Buy.” Their consensus price target for ARES is $177.38, which implies a substantial upside of +53.9% from its current price of $115.23. This strong potential upside suggests analysts see significant room for ARES’s stock price appreciation in the coming year, reflecting confidence in its growth trajectory and fundamentals.

Brookfield Corporation, while covered by fewer analysts (9 total), boasts a slightly higher “Buy” rating percentage at 88.9%. The consensus price target for BN is $54.4, indicating a more modest potential upside of +19.6% from its current price of $45.48. While a greater proportion of analysts recommend buying BN, the implied return potential is considerably lower than that for ARES. Therefore, for investors seeking higher projected returns based on analyst forecasts, ARES appears to be the more promising option, despite BN’s slightly higher buy consensus percentage. This also aligns with the “ares vs bn fundamentals and valuation” insights, where ARES generally shows a more favorable outlook.

Should I buy ARES or BN stock in 2026?

When contemplating “should I buy ARES or BN stock in 2026,” the optimal choice largely hinges on an investor’s specific objectives and risk tolerance. For growth-oriented investors, Ares Management Corporation (ARES) unequivocally emerges as the more compelling choice. Its remarkable year-over-year revenue growth of 66.6% far outstrips Brookfield Corporation’s revenue contraction of -11.5%, indicating a dynamic and rapidly expanding business poised for continued acceleration. Furthermore, ARES’s superior net margin of 9.0% suggests it is not just growing rapidly but also efficiently converting that growth into robust profitability, making it an attractive option for those prioritizing strong top-line and bottom-line expansion in their portfolio.

For value investors, the comparison presents a nuanced decision, though ARES appears to offer a more grounded proposition. While BN trades at a lower Price-to-Book ratio (2.38x vs ARES’s 5.96x), ARES looks more favorably valued on a Price-to-Earnings basis (48.32x vs BN’s 87.05x), indicating a lower premium paid per dollar of earnings. More critically, ARES’s DCF valuation suggests its current price is only 11.0% above its intrinsic value, implying a relatively contained level of overvaluation. Conversely, BN is calculated to be a dramatic 99.7% overvalued by its DCF model. This significant discrepancy suggests that, from an intrinsic value perspective, ARES presents a comparatively less risky proposition for those concerned with current market price alignment with underlying asset value.

Regarding income generation, both ARES and BN currently offer very modest dividend yields, positioning neither as a primary choice for income-focused portfolios. ARES has a dividend yield of 0.04%, which is only marginally higher than BN’s 0.01%. Therefore, investors seeking significant dividend income will likely need to look elsewhere. However, if dividend income is a secondary consideration, ARES does offer a slightly better return on this front. Overall, ARES presents a stronger investment case across growth, relative value, and higher analyst-projected upside for 2026. This is not investment advice; always conduct your own thorough due diligence and consult with a financial professional before making investment decisions.

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FAQ: ARES vs BN