Banco Bradesco (BBDO)
NYSE:BBDO
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Banco Bradesco
(NYSE:BBDO)
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Rating:59Neutral
Price Target:
$3.00
â–¼(-0.33% Downside)
Action:Reiterated
Date:06/06/26
The score is driven primarily by mixed financial performance: strong cash generation offsets a sharp TTM revenue decline and high leverage risk. Technical indicators are notably weak and weigh on the score, while attractive valuation (low P/E and high dividend yield) provides meaningful support.
Positive Factors
Strong free cash flow
Sustained, rising free cash flow (TTM +27.5%) and a high free-cash-flow-to-net-income ratio indicate durable internal funding for dividends, buybacks or investment. This strengthens financial flexibility and supports long-term capital allocation even amid revenue volatility.
Negative Factors
Elevated leverage
Consistently high debt-to-equity (~4.45) constrains balance-sheet flexibility, raises refinancing and interest-rate sensitivity, and limits the bank's ability to absorb shocks or pursue opportunistic investments. High leverage increases funding risk over investment horizons.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow
Sustained, rising free cash flow (TTM +27.5%) and a high free-cash-flow-to-net-income ratio indicate durable internal funding for dividends, buybacks or investment. This strengthens financial flexibility and supports long-term capital allocation even amid revenue volatility.
Read all positive factors
Banco Bradesco (BBDO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$34.16B
Dividend Yield2.8%
Average Volume (3M)47.97K
Price to Earnings (P/E)9.1
Beta (1Y)0.39
Revenue Growth28.16%
EPS Growth27.23%
CountryUS
Employees71,953
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.40
Shares Outstanding5,303,870,600
10 Day Avg. Volume57,685
30 Day Avg. Volume47,969
Financial Highlights & Ratios
PEG Ratio0.21
Price to Book (P/B)0.93
Price to Sales (P/S)0.49
P/FCF Ratio0.66
Enterprise Value/Market Cap25.15
Enterprise Value/Revenue2.60
Enterprise Value/Gross Profit9.33
Enterprise Value/Ebitda28.64
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Banco Bradesco Business Overview & Revenue Model
Company Description
Banco Bradesco S.A., operating with its subsidiaries, functions as a comprehensive financial services provider, extending its offerings to individuals, corporate clients, and businesses both within Brazil and internationally. Its operations are di...
How the Company Makes Money
Bradesco generates revenue primarily through a mix of (1) net interest income, (2) fees and commissions, and (3) results from insurance-related operations and other financial activities. Net interest income is earned on the spread between interest...
Banco Bradesco Earnings Call Summary
Earnings Call Date:Feb 05, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Jul 29, 2026
Earnings Call Sentiment Positive
The call conveyed a broadly positive tone driven by strong recurring net income growth (Q4 and full year), ROAE surpassing cost of capital, significant digital and SME progress, robust NII and fee trends, capital markets and insurance outperformance, and continued high technology investment and AI adoption. Management acknowledged near‑term tradeoffs—higher operating expenses driven by technology and restructuring, regulatory/capital timing risks (CET1 and DTAs), some revenue detractors (checking/collections) and conservative guidance that tempered market expectations—but characterized these as controlled or temporary and part of a multi‑year transformation aimed at sustainable ROAE improvement.Positive Updates
Strong recurring net income and annual growth
Recurring net income of BRL 6.5 billion in Q4 2025, up 20.6% year‑over‑year; full year recurring net income BRL 24.7 billion, up 26.1% YoY.
Negative Updates
Operating expenses growth
Operating expenses increased by 8.5% in 2025; even excluding certain affiliates (EloPar and Cielo) OpEx grew ~7.2%, above inflation in parts and driven by higher technology spending, profit sharing and some advertising/marketing investments.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong recurring net income and annual growth
Recurring net income of BRL 6.5 billion in Q4 2025, up 20.6% year‑over‑year; full year recurring net income BRL 24.7 billion, up 26.1% YoY.
Read all positive updates
Company Guidance
The management guided to continued profitable growth in 2026 with expanded loan‑book growth targeted roughly 8.5%–10.5% (management cited ~9.5% as a baseline), CET1 around 11%, and recurring net income momentum off 2025’s BRL 6.5bn Q4 / BRL 24.7bn full year (ROAE 15.2%) expected to keep improving; top‑line growth is guided to be close to 10% next year while operating expenses are guided to rise about 8% (with roughly 3% attributable to continued technology investment and ~5% to personnel/HR), technology spend having risen 22% in 2025 and contributing ~3% of the 2026 growth assumption. Other guideposts: IOE planned above BRL 15bn (vs. BRL 14.5bn in 2025), insurance operations growth already +16.1% (insurance ROE ~24.3%), an efficiency ratio around ~50% today with a 40% target by 2028, continued capital discipline with DTAs expected to be stable in 2026 and decline thereafter, and digital/SME targets (19m fully digital clients at year‑end to ~40m target, SME market share rising from 14.3% to 16.6% by Sept‑25) underpinning the revenue and ROAE outlook.Banco Bradesco Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
45
Neutral
Cash Flow
74
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 330.47B | 62.49B | 55.80B | 60.62B | 68.00K | 26.00K |
| Gross Profit | 92.12B | 21.62B | 0.00 | 0.00 | 32.00K | 11.00K |
| EBITDA | 30.00B | 28.09B | 4.08B | 3.24B | 4.45B | 8.82B |
| Net Income | 23.25B | 4.24B | 3.20B | 2.85B | 0.00 | 0.00 |
Balance Sheet | ||||||
| Total Assets | 466.33B | 425.26B | 334.98B | 396.81B | 339.46B | 300.82B |
| Cash, Cash Equivalents and Short-Term Investments | 28.55B | 46.53B | 0.00 | 0.00 | 5.00K | 18.00K |
| Total Debt | 161.74B | 144.87B | 110.14B | 128.12B | 0.00 | 0.00 |
| Total Liabilities | 431.80B | 392.61B | 307.64B | 362.42B | 309.16B | 273.85B |
| Stockholders Equity | 34.42B | 32.56B | 27.26B | 34.24B | 30.22B | 26.89B |
Cash Flow | ||||||
| Free Cash Flow | 43.47B | 46.19B | 31.69B | 36.38B | 28.87B | 19.57B |
| Operating Cash Flow | 46.11B | 47.08B | 32.12B | 36.77B | 29.34B | 19.78B |
| Investing Cash Flow | -51.46B | -78.23B | -39.01B | -39.14B | -17.78B | -43.17B |
| Financing Cash Flow | 29.92B | 28.85B | 10.94B | 17.56B | 19.12B | 614.39M |
Banco Bradesco Technical Analysis
Negative
3.01
Price Trends
3.32
Negative
3.36
Negative
3.11
Negative
Market Momentum
-0.11
Positive
39.92
Neutral
14.64
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BBDO, the sentiment is Negative. The current price of 3.01 is below the 20-day moving average (MA) of 3.07, below the 50-day MA of 3.32, and below the 200-day MA of 3.11, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 39.92 is Neutral, neither overbought nor oversold. The STOCH value of 14.64 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BBDO.
Banco Bradesco Risk Analysis
Banco Bradesco disclosed 42 risk factors in its most recent earnings report. Banco Bradesco reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Banco Bradesco Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $33.63B | 9.49 | 10.54% | 2.79% | 1.35% | 7.91% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
64 Neutral | $15.06B | 13.90 | 20.90% | 4.29% | -3.09% | 2.72% | |
62 Neutral | $29.53B | 9.06 | 9.08% | 2.86% | 1.72% | 13.27% | |
61 Neutral | $19.86B | 15.91 | 20.11% | 5.56% | -7.31% | -7.03% | |
59 Neutral | $34.16B | 9.11 | 13.55% | 2.80% | 28.16% | 27.23% | |
58 Neutral | $19.91B | 15.69 | 11.11% | 4.98% | 17.17% | -1.33% |
* Financial Sector Average
BBDO
Banco Bradesco
2.97
0.47
18.61%
BCH
Banco De Chile
39.78
9.80
32.70%
BSBR
Banco Santander Brasil
5.37
0.29
5.73%
BSAC
Banco Santander Chile
32.42
7.92
32.34%
KB
Kb Financial Group
103.33
23.72
29.80%
SHG
Shinhan Financial Group Co
65.58
21.97
50.38%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.