WallStSmart

Brookfield Business Partners LP (BBU)vsCompass Diversified Holdings (CODI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Brookfield Business Partners LP generates 1365% more annual revenue ($27.46B vs $1.87B). BBU leads profitability with a -0.1% profit margin vs -12.1%. BBU earns a higher WallStSmart Score of 52/100 (C-).

BBU

Buy

52

out of 100

Grade: C-

Growth: 4.7Profit: 5.0Value: 5.0Quality: 4.3
Piotroski: 3/9

CODI

Avoid

34

out of 100

Grade: F

Growth: 2.7Profit: 3.5Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: -0.40

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBU2 strengths · Avg: 9.0/10
EPS GrowthGrowth
80.0%10/10

Earnings expanding 80.0% YoY

Price/BookValuation
3.0x8/10

Reasonable price relative to book value

CODI0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

BBU4 concerns · Avg: 2.3/10
Return on EquityProfitability
2.4%3/10

ROE of 2.4% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-4.5%2/10

Revenue declined 4.5%

Profit MarginProfitability
-0.1%1/10

Currently unprofitable

CODI4 concerns · Avg: 2.5/10
Market CapQuality
$419.82M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.652/10

Expensive relative to growth rate

Return on EquityProfitability
-53.7%2/10

ROE of -53.7% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : BBU

The strongest argument for BBU centers on EPS Growth, Price/Book.

Bull Case : CODI

CODI has a balanced fundamental profile.

Bear Case : BBU

The primary concerns for BBU are Return on Equity, Piotroski F-Score, Revenue Growth. Debt-to-equity of 19.07 is elevated, increasing financial risk.

Bear Case : CODI

The primary concerns for CODI are Market Cap, Piotroski F-Score, PEG Ratio. Debt-to-equity of 3.62 is elevated, increasing financial risk.

Key Dynamics to Monitor

BBU carries more volatility with a beta of 1.32 — expect wider price swings.

BBU is growing revenue faster at -4.5% — sustainability is the question.

BBU generates stronger free cash flow (763M), providing more financial flexibility.

Monitor CONGLOMERATES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BBU scores higher overall (52/100 vs 34/100). Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Brookfield Business Partners LP

INDUSTRIALS · CONGLOMERATES · USA

Brookfield Business Partners LP (BBU) is a leading global alternative asset manager that focuses on acquiring, operating, and enhancing a diversified portfolio of high-quality, cash-generating businesses. Capitalizing on the robust resources and expertise of its parent company, Brookfield Asset Management, BBU strategically invests in sectors such as industrials, utilities, and consumer products, employing a disciplined approach to operational improvements. With an emphasis on delivering sustainable cash distributions and capital appreciation, BBU is well-equipped to capitalize on growth opportunities, positioning itself to generate superior returns for its investors over the long term.

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Compass Diversified Holdings

INDUSTRIALS · CONGLOMERATES · USA

Compass Diversified Holdings (CODI) is a leading private equity firm specializing in the acquisition and management of a diversified portfolio of middle-market companies across various sectors, including consumer products, industrials, and outdoor goods. The firm employs a proactive operational strategy aimed at driving sustainable growth and enhancing the performance of its portfolio entities. Leveraging deep industry expertise and a disciplined acquisition approach, CODI positions itself as a significant player in the alternative investment landscape, committed to delivering long-term value creation and robust risk-adjusted returns for its investors.

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