Skip to Content
Morningstar
Get 14 Days Free

Bank Bradesco SA BBD

Morningstar Rating
Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Bradesco Reports Mixed First-Quarter Results; We Maintain Our $ 3.82 Fair Value Estimate

Michael Miller Equity Analyst

Analyst Note

| Michael Miller |

No-moat rated Bank Bradesco’s reported mixed first-quarter results with recurring net income of BRL 6.5 billion, down 4.2% sequentially and up 73.6% on a year-over-year basis. These results equate to an annualized return on average equity of 18.7%. The first-quarter results were marked by sequentially lower net interest income, lower provisioning, controlled costs, and manageable asset quality. As we incorporate these results, we do not expect to materially change our fair value estimate of $3.82 per ADR share.

Read Full Analysis

Company Profile

Business Description

Banco Bradesco is Brazil's fourth- largest bank, with about 15% of deposits, and the largest insurance provider in Brazil, with roughly 25% market share. The bank provides services through a network of more than 4,600 branches, the largest footprint of all privately controlled banks in Brazil. Banking provides roughly 70% of profits, while the insurance segment contributes the remaining 30%. In 2016, Bradesco acquired the Brazilian operations of HSBC.

Contact
Cidade de Deus S/N, Vila Yara
Osasco, SP, 06029‑900, Brazil
T +55 1136844011
Sector Financial Services
Industry Banks - Regional
Most Recent Earnings Jun 30, 2008
Fiscal Year End Dec 31, 2020
Stock Type —
Employees 89,575

Related

Premium Article
5 Beaten Down Yet Still Overpriced Stocks
These stocks have all lost more than 10% this year but continue to trade well above our fair value estimates.
Susan Dziubinski
Market Update
Can Latin American Stock Funds Continue Their Run?
2017 will bring its fair share of challenges to this relatively small investment universe.
Manuela Badawy
Stock Strategist
Banco Santander's Moat Flows Beyond Spain's Borders
Economic moats at the bank's subsidiaries are reservoirs that preserve the narrow moat at a global level.
Timothy Puls
Fund Times
Matthews Pacific Tiger Fund to Slow Inflows
The Gold-rated Matthews fund will undergo a change to protect the integrity of its investment process. Also, Goldman Sachs Asset Management's Rob Cignarella exits, Dreyfus rolls out a floating-rate fund, RiverPark launches a "strategic income" fund, Nomura to exit the U.S. fund business, and Santander and Bradesco ready U.S. fund launches.
Robert Goldsborough
Stock Strategist Industry Reports
Brazilian Banks Poised to Capitalize on Economic Expansion
The country has proved resilient in times of stress, and its financial institutions appear to be attractive long-term investments.
Morningstar Analysts
Quarter-End Insights
Our Outlook for Financial-Services Stocks
A summer rally in financial stocks has lowered the margin of safety for investors in this volatile sector.
Jim Sinegal
Stock Strategist Industry Reports
Santander Brasil's Results Mask Its True Potential
This extraordinarily solvent bank has good growth prospects.
Maclovio Pina
Quarter-End Insights
Our Outlook for Financial-Services Stocks
Europe's troubles are casting a dark cloud on the financial sector, but several catalysts for higher stock prices could be on the horizon.
Jim Sinegal
Fund Spy
Experts Divided on Brazil
Banks, retailers join commodity giants in the spotlight, but have they come too far too fast?
Karin Anderson
Premium Article
More Picks from the Pullback
Amid the sell-off, these stocks are looking more attractively priced.
Jeremy Glaser
Stock Strategist Industry Reports
What's In Store for International Banks?
The financial crisis revealed several winners and losers among foreign banks.
Erin Davis
US Videos
Santander Brasil Is Primed for Growth
The Brazilian banking oligopoly gives IPO Santander Brasil impressive pricing power, but risks of government intervention remain.
Bill Buhr
Stock Strategist
Time to Bet on This Brazilian Bank?
Santander Brasil is primed to benefit from opportunities in Brazil's lucrative banking market.
Bill Buhr
Stock Strategist
Banco Santander Brasil Has Our Attention
This upcoming IPO has room to grow in Brazil's lucrative banking market.
Bill Buhr
Our Picks
Two Brazilian Banks to Keep on Your Watch List
Despite potential short-term pain, Bradesco and Itau Unibanco show long-term promise.
Maclovio Pina
Stock Strategist Industry Reports
Three Bright Spots for International Investors
Why these countries are uniquely positioned to ride out the economic downturn.
Imari Love
Stock Strategist Industry Reports
Banks and the Avalanche of Deflation
Let's examine how we arrived at asset deflation, the impacts of deleveraging, future banking trends, and the impact of massive stimulus.
Matthew Warren
Fund Spy
Our Take on This Year's Hottest-Performing ETFs
Tread wisely with these specialized exchange-traded funds.
Jeffrey Ptak
Market Update
First Quarter in Funds: Small- and Mid-Caps Lead Again
Equities surge, while bonds continue to founder.
John Coumarianos
Market Update
First Quarter in Stocks: Equities Still Climbing
Small caps, energy continue their surge.
John Coumarianos

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.