Inter & Company Incorporation Class A (INTR) AI Stock Analysis

• Market Cap: $4.09B
• Dividend Yield: 0.97%
• Average Volume (3M): 2.42M
• Price to Earnings (P/E): 19.2
• Beta (1Y): 0.66
• Revenue Growth: 24.97%
• EPS Growth: 36.91%
• Country: US
• Employees: 4,030
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.14
• Shares Outstanding: 323,145,720
• 10 Day Avg. Volume: 3,048,668
• 30 Day Avg. Volume: 2,422,745
• PEG Ratio: 0.07
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 1.18
• P/FCF Ratio: 3.53
• Enterprise Value/Market Cap: 7.27
• Enterprise Value/Revenue: 2.28
• Enterprise Value/Gross Profit: 5.32
• Enterprise Value/Ebitda: 16.65
• 1Y Price Target: $10.67
• Price Target Upside: 14.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 0.78
• Revenue Forecast (FY): $1.96B

• Rating: 70 Outperform
• Price Target: $10.50 ▲(12.54% Upside)

Inter & Company's overall stock score is driven by strong financial performance and positive earnings call highlights, including robust client growth and strategic initiatives. However, technical indicators suggest bearish momentum, and high leverage poses a risk. The valuation is moderate, providing a balanced view of the stock's potential.

Positive Factors

Sustained revenue and margin improvement

Consistent top-line growth with a sustained gross margin expansion signals durable operational improvements and pricing power across Inter’s businesses. Higher gross margins provide a structural buffer to absorb cost pressures, supporting long-term profitability and reinvestment capacity.

Large, growing client base and transaction volume

A 41M client base and massive transaction throughput create strong network effects and cross-sell potential across financial and non-financial verticals. High activation and transaction volumes underpin sustainable fee, deposit and lending growth, supporting durable revenue diversification and scale economics.

Regulatory capital boost via subordinated issuance

The R$500M subordinated issuance strengthens bank regulatory capital, improving Basel ratios and enabling measured balance-sheet expansion. Enhanced capital buffers support higher lending capacity, reduce regulatory constraint risk, and provide a structural foundation for sustainable credit growth.

Negative Factors

High leverage

A 2.81 debt-to-equity ratio indicates significant leverage that reduces financial flexibility and increases vulnerability to rising funding costs or credit shocks. Over the medium term this can constrain capital allocation, force deleveraging actions, or raise refinancing and regulatory scrutiny risks.

Declining free cash flow

A near‑18% drop in free cash flow weakens the company’s self-funding capacity for investments, debt servicing and shareholder returns. If persistent, this trend can force reliance on external financing, increase leverage, and limit the firm’s ability to fund long-term growth initiatives sustainably.

Rising cost of risk and fee income slowdown

Higher provisioning (5.35% cost of risk) and slowing fee growth signal credit-quality pressure and margin sensitivity in a high-rate environment. Structurally, this can compress net yields and fee diversification benefits, making earnings more cyclical and dependent on macro and underwriting improvements.

Inter & Company Incorporation Class A Business Overview & Revenue Model

Company Description

Inter & Co, Inc., through its subsidiaries, engages in the banking, securities, insurance brokerage, marketplace, asset management, and services businesses. The company's Banking segment offers banking products and services, including checking accounts, cards, deposits, loans and advances, and other services. Its Securities segment provides services relating to the purchase, sale, and custody of securities; and portfolio management, as well as the establishment, organization, and management of investment funds. The company's Insurance Brokerage segment offers life, property, auto, financial, lost or stolen credit card, dental, warranties, travel, and credit protection insurance products. Its Marketplace segment operates a digital platform that offer goods and/or services to its customers. The company's Asset Management segment is involved in the operations related to the management of fund portfolios and other assets. Its Services segment provides services in the collection and management of personal information; development and licensing of customized and non-customized computer programs; and technical support, maintenance, and other information technology services. The company was founded in 1994 and is based in Belo Horizonte, Brazil.

How the Company Makes Money

Inter & Company generates revenue through multiple streams, primarily by selling proprietary products in its technology and consumer goods sectors. The company leverages its strong branding to command premium pricing on its offerings. Additionally, Inter & Company has established strategic partnerships with key players in the healthcare sector, allowing it to expand its product offerings and reach new markets. Licensing agreements and royalties from innovations further contribute to its income. The combination of these revenue streams, along with a focus on operational efficiency, positions Inter & Company for sustained financial growth.

Inter & Company Incorporation Class A Financial Statement Overview

Summary

Inter & Company shows strong revenue growth and improved profitability margins, reflecting a positive trajectory. However, the high leverage and declining free cash flow growth present potential risks. The company needs to focus on managing its debt levels and enhancing cash flow generation to sustain its growth momentum.

Income Statement

Inter & Company has demonstrated strong revenue growth with a TTM increase of 11.11%, indicating robust business expansion. The gross profit margin has improved to 52.09% from 47.37% in the previous year, reflecting enhanced operational efficiency. However, the net profit margin is relatively moderate at 11.29%, suggesting room for improvement in cost management.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 2.81 in the TTM, which is a potential risk factor, indicating significant leverage. However, the return on equity has improved to 13.20%, showcasing effective utilization of equity to generate profits. The overall asset base has grown, supporting business operations.

Cash Flow

Operating cash flow remains strong at $5.35 billion, but the free cash flow has decreased by 17.61% in the TTM, which could impact future investments. The free cash flow to net income ratio is healthy at 91.34%, indicating efficient cash generation relative to net income. However, the decline in free cash flow growth is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.05B	9.71B	7.64B	5.54B	2.77B	1.12B
Gross Profit	5.60B	4.60B	3.21B	2.48B	1.63B	1.12B
EBITDA	1.79B	1.41B	600.28M	-14.60M	-172.72M	0.00
Net Income	1.21B	907.13M	302.34M	-11.09M	-72.67M	17.91M
Balance Sheet
Total Assets	91.81B	76.46B	60.35B	46.34B	36.63B	19.80B
Cash, Cash Equivalents and Short-Term Investments	32.40B	27.76B	20.51B	15.55B	16.05B	9.68B
Total Debt	16.52B	11.86B	9.33B	8.29B	4.71B	1.86B
Total Liabilities	82.00B	67.39B	52.76B	39.25B	28.18B	16.45B
Stockholders Equity	9.68B	8.90B	7.47B	6.99B	2.66B	3.30B
Cash Flow
Free Cash Flow	4.89B	3.25B	7.27B	1.82B	-196.34M	2.83B
Operating Cash Flow	5.35B	3.76B	7.54B	2.10B	91.64M	2.98B
Investing Cash Flow	-6.54B	-7.73B	-4.67B	-50.81M	-7.18B	-5.05B
Financing Cash Flow	4.49B	683.04M	-38.68M	-1.22B	5.43B	1.11B

Inter & Company Incorporation Class A Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INTR, the sentiment is Positive. The current price of 9.33 is above the 20-day moving average (MA) of 9.02, above the 50-day MA of 8.70, and above the 200-day MA of 8.07, indicating a bullish trend. The MACD of 0.28 indicates Negative momentum. The RSI at 59.46 is Neutral, neither overbought nor oversold. The STOCH value of 47.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INTR.

Inter & Company Incorporation Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UCB	77 Outperform	$4.22B	13.35	9.23%	3.02%	5.63%	65.11%
TCBI	75 Outperform	$4.68B	15.59	8.60%	―	5.19%	3454.95%
INTR	70 Outperform	$4.09B	19.16	12.50%	0.97%	24.97%	36.91%
TFSL	70 Outperform	$3.99B	44.54	4.70%	8.04%	4.45%	14.27%
EBC	70 Outperform	$5.06B	49.30	2.22%	2.72%	-1.18%	-89.13%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AVAL	57 Neutral	$5.65B	13.43	9.69%	3.03%	-6.62%	111.94%

Inter & Company Incorporation Class A Corporate Events

Inter & Co Moves to End Sponsored Level II BDRs and Shift to Unsponsored Level I Program

On January 26, 2026, Inter & Co, Inc. announced that its board has decided to begin discontinuing its Sponsored Level II Brazilian Depositary Receipts (BDR) program and to transition to an Unsponsored Level I BDR structure, subject to approval by B3 and the CVM. As part of this process, the company also plans, after the discontinuation of the Sponsored Level II BDR program, to cancel its registration with the CVM as a category A foreign securities issuer in order to streamline its regulatory footprint and eliminate redundancies from being a public company in multiple jurisdictions. Under the proposed discontinuation plan, once launched and approved, holders of Inter’s Level II BDRs will have 30 days to choose among three options: receive Class A ordinary shares traded on Nasdaq (requiring an active custody account with a Nasdaq-authorized broker), sell the underlying Nasdaq-listed shares through a company-facilitated sales mechanism, or exchange their holdings into Unsponsored Level I BDRs on a one-for-one basis. The company emphasized that this move is aimed at improving efficiency and does not signal any reduction in its long-term commitment to Brazil or to Brazilian capital markets, while potentially altering the way Brazilian investors access its shares and shifting more trading and liquidity focus to the U.S. market and unsponsored BDR instruments.

The most recent analyst rating on (INTR) stock is a Buy with a $10.50 price target. To see the full list of analyst forecasts on Inter & Company Incorporation Class A stock, see the INTR Stock Forecast page.

Inter & Co Overhauls Senior Management Structure to Reflect Global Reporting Lines

On January 26, 2025, Inter & Co, Inc. announced that its Board of Directors approved changes to the company’s officer positions to align its management structure with the executives who now report directly to the Global Chief Executive Officer. The updated lineup confirms João Vitor N. Menin T. de Souza as Global CEO, with Santiago Horacio Stel as Chief Financial Officer, Alexandre Riccio de Oliveira as Brazil CEO, and Antônio Cássio Segura as US Country Manager, alongside appointments for chief information, legal and compliance, risk, commerce, and human resources officers. The company also reaffirmed that Rafaela de Oliveira Vitória remains Head of Investor Relations, reporting to the CFO and retaining her roles as Research Officer and Chief Economist at Banco Inter S.A., while Ray Chalub continues as US Operations Officer, signaling an effort to clarify governance, strengthen oversight across key geographies, and support the group’s cross-border growth strategy.

The most recent analyst rating on (INTR) stock is a Buy with a $10.50 price target. To see the full list of analyst forecasts on Inter & Company Incorporation Class A stock, see the INTR Stock Forecast page.

Inter & Co’s Banco Inter Raises R$500.4 Million via Subordinated Financial Bills to Bolster Capital

On December 18, 2025, Inter & Co announced that its subsidiary Banco Inter S.A. completed a private issuance of subordinated financial bills to professional investors in Brazil, totaling R$500.4 million. The transaction comprised perpetual Tier I notes and Tier II notes of R$250.2 million each, with an issuer repurchase option starting in 2030 subject to prior approval from the Central Bank of Brazil, and is structured so that, under Brazilian Central Bank regulations, the instruments qualify as additional capital for Banco Inter’s regulatory capital base, with an estimated 1.2 percentage-point uplift to its Basel ratio based on its September 30, 2025 capital levels, potentially enhancing the bank’s capacity for future growth and reinforcing its capital position.

The most recent analyst rating on (INTR) stock is a Buy with a $10.50 price target. To see the full list of analyst forecasts on Inter & Company Incorporation Class A stock, see the INTR Stock Forecast page.

Inter & Co Reports Strong Q3 2025 Financial Growth

Inter & Co, Inc. reported strong financial results for the third quarter of 2025, showcasing significant growth and strategic advancements. The company achieved a 30% year-over-year increase in its credit portfolio, outperforming the Brazilian market, and recorded a net income of R$336 million, reflecting a 39% growth year-over-year. The firm added 1.2 million new active clients, bringing its total client base to 24 million, and maintained a stable non-performing loan ratio. These results underscore Inter’s robust digital execution and strategic positioning, highlighting its ability to capture market share and drive sustainable profitability.

The most recent analyst rating on (INTR) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on Inter & Company Incorporation Class A stock, see the INTR Stock Forecast page.

Inter & Co Reports Strong Financial Growth in Q3 2025

Inter & Co, Inc. reported significant financial growth as of September 30, 2025, with a net income of R$ 938.0 million, up 48.4% from the previous year. The company also saw a 31.8% increase in revenues, reaching R$ 6.0 billion, and expanded its customer base to over 41.3 million, with a loan portfolio growing by 23.1% to R$ 43.8 billion. These results underscore Inter & Co’s robust market positioning and operational expansion, reflecting a strong performance in both financial and customer engagement metrics.

The most recent analyst rating on (INTR) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on Inter & Company Incorporation Class A stock, see the INTR Stock Forecast page.