Banco Bradesco S.A. (BBD) valuation at a glance
- Price
- $3.50
- Forward P/E
- 6.4×
- Market cap
- $18.47B
- P/S (TTM)
- 0.8×
CompaniesBBD
BBD
Banco Bradesco S.A.
Financial ServicesBrazilUniversal BankInsuranceControlled Company
Overview
$3.500%
Market Cap
$18.47B
SEC filings
P/E (TTM)
3.9×
SEC filings
Rev Growth YoY
–
SEC filings
Gross Margin
0.0%
SEC filings
FCF Yield
3.5%
Calculated from SEC filings
Fair Value
Not established
Yahoo chart 2026-09-16
Conviction
3/5Can a Brazilian universal bank with rising recurring profit re-rate from about book value once its R$10 billion rights issue settles and the Selic falls?
Research Depth
ScreeningDeep ResearchFull Model
Updated 24d ago
Quality Snowflake
Overall 55/100
Value3/3
Future0/1
Past3/4
Health1/1
Dividend0/1
Each axis scores the checks for which data is available (filled = pass, hollow = no data). Computed from the sourced metrics on this page, not a third-party rating.
Thesis
Banco Bradesco is a large Brazilian private universal bank spanning lending, cards, asset management and the Bradesco Seguros insurance group. The FY2025 20-F (filed 2026-03-25) reports profit attributable to owners of R$23.67 billion on equity attributable to owners of R$178.4 billion and total assets of R$2.33 trillion, in BRL under IFRS. The 2Q26 release (6-K, 2026-08-06) shows recurring net income of R$7.1 billion, up 16.2% year on year, the tenth straight quarterly rise, a 46.5% efficiency ratio, a 4.3% 90-day NPL ratio and 11.3% Common Equity. The deep-value question is price to book: the July 2026 rights issue was priced at R$15.43 per common and R$17.64 per preferred share, a 6% discount to the July 28 close, against a year-end 2025 book value of about R$16.9 per share, so the market has been paying roughly book for a bank whose profit is compounding. The counter-evidence is the reason for the issue: 11.3% CET1 needed up to R$10 billion of new equity, the preemptive round was only 66.5% taken up, and the bank's own release calls Brazilian risk indicators deteriorating. Confirmation would be full settlement on 2026-09-30, a stable NPL ratio and further recurring profit growth in the 3Q26 release.
Bull Case
Earnings momentum2Q26 recurring net income of R$7.1 billion rose 16.2% year on year and 3.5% quarter on quarter, the tenth straight quarterly rise, with total revenue of R$37.6 billion (6-K 2026-08-06, https://www.sec.gov/Archives/edgar/data/1160330/000129281426004099/bbdpr2q26_6k.htm).
Book value anchorFY2025 equity attributable to owners was R$178.4 billion on 10,577,012,028 shares, about R$16.9 per share, while the rights issue was priced at R$15.43 common and R$17.64 preferred, a 6% discount to the July 28, 2026 close (20-F filed 2026-03-25; 6-K 2026-07-30, https://www.sec.gov/Archives/edgar/data/1160330/000129281426003966/bbd20260729_6k.htm).
Controller commitmentThe controlling shareholders gave a firm commitment to subscribe up to BRL 8 billion of the up to R$10 billion capital increase, which management said adds about 0.9 percentage points to the Common Equity ratio (6-K 2026-07-30, https://www.sec.gov/Archives/edgar/data/1160330/000129281426003966/bbd20260729_6k.htm).
Bear Case
Dilution and capital needThe Common Equity ratio was 11.3% at June 2026 against an 8.0% regulatory minimum, and the bank chose to issue up to 604,852,753 new shares, about 5.7% of the share count, to fund investment (6-K 2026-08-06; 6-K 2026-07-30).
Weak minority take-upOnly 402,471,777 of 604,852,753 offered shares were subscribed in the preemptive period ended 2026-09-04, leaving 202,380,976 shares, mostly preferred, for a second-round allocation (6-K 2026-09-17, https://www.sec.gov/Archives/edgar/data/1160330/000129281426004578/bbd20260916_6k.htm).
Credit cycleThe 90-day NPL ratio rose to 4.3% in 2Q26 with MSME delinquency increasing, and the release states that risks in Brazil have deteriorated per Central Bank reports while household income commitment is rising (6-K 2026-08-06, https://www.sec.gov/Archives/edgar/data/1160330/000129281426004099/bbdpr2q26_6k.htm).
Key Metrics
Market Cap
$18.47B
SEC filings
Enterprise Value
$81.50B
Calculated from SEC filings
Revenue (TTM)
$23.89B
SEC filings
P/E (TTM)
3.9×
SEC filings
Forward P/E
6.4×
Yahoo chart 2026-09-16
P/S (TTM)
0.8×
SEC filings
P/B
1.1×
SEC filings
EV/EBITDA
–
Calculated from SEC filings
PEG
1.7×
Calculated from SEC filings
Revenue Growth
–
SEC filings
Gross Margin
0.0%
SEC filings
Operating Margin
34.5%
SEC filings
Net Margin
19.8%
SEC filings
Free Cash Flow
$648M
SEC filings
FCF Yield
3.5%
Calculated from SEC filings
Debt / Equity
–
SEC filings
Current Ratio
–
SEC filings
Short Interest
0.2%
SEC filings
Institutional Own.
24.5%
SEC filings
Insider Own.
0.0%
SEC filings
Shares Out.
5.28B
SEC filings
Float
–
SEC filings
Valuation
Price vs Fair Value
Now $3.50
DCF Summary
DCF awaiting Phase 2+
Discounted cash-flow model is built once research reaches the deep-research stage.
Historical Multiples
Multiple history pending
This section is being deepened.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| BBD | $36.57B | 8.0× | 0.4× | – | +7.0% | 0.0% | 26.0% |
| ITUB | $90.60B | 10.0× | 0.6× | – | +18.0% | 0.0% | 33.0% |
| BSBR | $44.06B | 17.3× | 0.9× | – | +29.0% | 0.0% | 29.0% |
| NU | $66.33B | 18.8× | 7.9× | – | +52.0% | 0.0% | 43.0% |
| BBVA | $158.21B | 13.2× | 4.6× | – | +20.0% | 0.0% | 33.0% |
| BAP | $30.40B | 14.3× | 1.4× | – | +12.0% | 0.0% | 33.0% |
Financials
Income statement pending
Awaiting source-linked statement data.
Balance sheet pending
Awaiting source-linked statement data.
Cash flow pending
Awaiting source-linked statement data.
Statements are in Brazilian reais (BRL) under IFRS with a December fiscal year; annual figures come from the FY2025 Form 20-F filed 2026-03-25 (companyfacts ifrs-full tags) and quarterly figures from the 2Q26 6-K of 2026-08-06; market cap of about USD 39 billion applies the BBD ADR close of USD 3.71 on 2026-09-16 (one ADR = one preferred share) to all 10,577,012,028 common plus preferred shares outstanding at 2025-12-31, before the pending capital increase. Source: 20-F ↗
Catalysts
Q3 '26
Corporatehigh relevance
Second-round subscription and settlement of the capital increase
Unsubscribed shares (50,217,384 common and 152,163,592 preferred) are offered to oversubscribing holders from 2026-09-21 to 2026-09-25 at R$15.43 and R$17.64, with cash settlement on 2026-09-30. Full take-up would complete the up to R$10 billion raise and remove the overhang. Source: https://www.sec.gov/Archives/edgar/data/1160330/000129281426004578/bbd20260916_6k.htm
Q4 '26
Earnings
3Q26 results
Date is an estimate; the 2Q26 release was furnished on 2026-08-06 and the 3Q26 date has not been announced in the research files. Watch recurring net income, 90-day NPL, cost of risk and the post-issue Common Equity ratio. Source: https://www.sec.gov/Archives/edgar/data/1160330/000129281426004099/bbdpr2q26_6k.htm
Q4 '26
Macro
Selic path after the fifth consecutive 25bp cut
Research file records Copom cutting the Selic 25bp to 13.75% on 2026-09-16 (source https://www.riotimesonline.com/brazil-selic-cut-95-percent-copom-september-2026/). Lower policy rates typically support Brazilian bank valuations and borrower capacity; the meeting calendar was not verified this research pass.
Risks
| Risk | Category | Severity | Probability | Impact on Thesis |
|---|---|---|---|---|
| Brazilian credit deterioration, especially MSME and household leverage | Market/Macro | High | Medium | Higher provisions would interrupt the ten-quarter profit recovery and pressure the 11.3% Common Equity ratio. |
| Rights issue under-subscription leaves the raise short of R$10 billion | Financial | Medium | Medium | A shortfall would reduce the roughly 0.9 point capital benefit management projected and could keep capital return constrained. |
| Controlled company governance | Governance | Medium | High | The controlling group holds 71.86% of common shares and only 4 of 11 directors are independent, so minority ADR holders have little influence on capital decisions such as this dilutive issue. |
| BRL depreciation and sovereign risk | Market/Macro | Medium | Medium | ADR returns are in USD while earnings and book value are in BRL; the 20-F notes Brazil is rated Ba1 by Moody's and BB by Fitch. |
| Fintech and rate-driven margin competition | Competition | Medium | Medium | Digital banks compete on fees and deposits; a falling Selic also compresses funding margins on the deposit franchise. |
Technical Snapshot
52-Week Range
–$3.50–
RSI (14)
n/a
insufficient history
50-Day MA
–
insufficient history
200-Day MA
–
insufficient history
Avg Vol (30d)
vs average
Support Levels
Resistance Levels
Technical inputs: SEC filings. See the record-specific source notes for measurement basis.
Ownership & Insider Activity
Institutional Holdersvia Source-linked
Institutional holder details unavailable
This research record does not include a holder-level table.
Insider Activity
Fundacao Bradesco owned 31.53% of capital directly and indirectly at 2025-12-31 (20-F), and the CVM 358 report for August 2026 shows the controlling group at 71.86% of common shares and 2.29% of preferred shares with no controller trades in the month; the Board of Executive Officers group bought 7,000 and sold 76,957 preferred shares in August 2026 (6-K 2026-09-10). Form 4 filings dated 2026-09-09 and 2026-09-11 were not read this research pass.
Detailed insider transactions unavailable
This research record does not include a transaction-level table.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| BBD | $36.57B | 8.0× | 0.4× | – | +7.0% | 0.0% | 26.0% |
| ITUB | $90.60B | 10.0× | 0.6× | – | +18.0% | 0.0% | 33.0% |
| BSBR | $44.06B | 17.3× | 0.9× | – | +29.0% | 0.0% | 29.0% |
| NU | $66.33B | 18.8× | 7.9× | – | +52.0% | 0.0% | 43.0% |
| BBVA | $158.21B | 13.2× | 4.6× | – | +20.0% | 0.0% | 33.0% |
| BAP | $30.40B | 14.3× | 1.4× | – | +12.0% | 0.0% | 33.0% |
Recognizable sector comparables. Source basis: SEC filings; lowest multiple in each column highlighted. Loss-making peers show no P/E.
Research Notes
2026-09-17SEC 6-K
Preemptive round closed 66.5% subscribed
The 6-K furnished 2026-09-17 reports 402,471,777 of 604,852,753 offered shares subscribed by 2026-09-04, with common shares 83% taken and preferred shares 50% taken. The 202,380,976 remaining shares go to holders who reserved them, at 19.90% common and 31.27% preferred per subscribed common share and 51.17% preferred per subscribed preferred share, between 2026-09-21 and 2026-09-25. Source: https://www.sec.gov/Archives/edgar/data/1160330/000129281426004578/bbd20260916_6k.htm
2026-09-17SEC 6-K
2Q26 operating snapshot
The 2Q26 release shows an expanded loan portfolio of R$1,137 billion, up 11.6% year on year with companies up 14.1%, a Basel total ratio of 15.5%, Tier I of 12.8% and Common Equity of 11.3%, and R$4 billion of interest on capital allocated in the quarter. Management flags MSME 90-day delinquency and seasonal John Deere Bank maturities as the drivers of the NPL uptick. Source: https://www.sec.gov/Archives/edgar/data/1160330/000129281426004099/bbdpr2q26_6k.htm
2026-09-17Research
Insider report corrects an earlier summary
An earlier research summary stated there were no insider trades in August 2026; the filed CVM 358 report actually shows the Board of Executive Officers group as a net seller of 69,957 preferred shares in the month while the controller and Board of Directors balances were unchanged. Source: https://www.sec.gov/Archives/edgar/data/1160330/000129281426004520/bbdcvm358aug26_6k.htm
Sources
Banco Bradesco S.A. valuation questions
What is Banco Bradesco S.A.'s forward P/E ratio?
Banco Bradesco S.A. (BBD) trades at a forward P/E of 6.4×, and 0.8× trailing sales.
What is Banco Bradesco S.A.'s market cap?
Banco Bradesco S.A. (BBD) has a market capitalization (its market value, often searched as "net worth") of $18.47B, and an enterprise value of $81.50B.