Upside case
Bull case
$39+898.4%
BBD would need investors to value it at roughly 14x earnings — about 13x more generous than today's 1x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewHoldUpdated May 1, 2026
Banco Bradesco S.A. (BBD) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
15
analysts
5 bullish · 1 bearish · 15 covering BBD
Strong Buy
0
Buy
5
Hold
9
Sell
1
Strong Sell
0
Consensus Target
$3
-17.1% vs today
Scenario Range
$2 – $39
Model bear to bull value window
Coverage
15
Published analyst ratings
Valuation Context
1.4x
Forward P/E · Market cap $40.8B
BBD price targets
Three scenarios for where BBD stock could go
Current
~$4
Confidence
25 / 100
Updated
May 1, 2026
Where we are now
Current · $4
Bear
$2
Base
$9
Bull
$39
Market caseClosest to today
Base case
$9+125.6%
At 3x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$2-44.3%
If investor confidence fades or macro conditions deteriorate, a 1x multiple contraction could push BBD down roughly 44% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Banco Bradesco S.A.
BBD · NYSEFinancial ServicesBanks - RegionalDecember year-end
Banco Bradesco is a major Brazilian full-service bank offering retail banking, insurance, and investment products to individuals and businesses. It generates revenue primarily through net interest income from lending operations — including consumer credit, mortgages, and corporate loans — complemented by insurance premiums and fee-based services. The bank's competitive advantage lies in its extensive branch network across Brazil, integrated financial ecosystem — which cross-sells banking and insurance products — and long-established brand recognition in the Brazilian market.
Market Cap
$40.8B
Net Income TTM
$23.2B
BBD Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
9%Exceptional
12 quarters tracked
Revenue Beat Rate
80%Exceptional
vs consensus estimates
Avg EPS Surprise
-3.6%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q1 2026
Last 4 Quarters
EPS beats: 3 of 4Q3 2025
EPS
$0.10/$0.10
Revenue
$14.1B/$6.1B
Q4 2025
EPS
$0.09/$0.11
Revenue
$15.1B/$6.7B
Q1 2026
EPS
$0.11/$0.11
Revenue
$6.9B/$6.6B
Q1 2026
EPS
$0.11/$0.11
Revenue
$6.9B/$6.6B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q3 2025 | $0.10/$0.10 | +0.0% | $14.1B/$6.1B | +131.5% |
| Q4 2025 | $0.09/$0.11 | -18.2% | $15.1B/$6.7B | +126.2% |
| Q1 2026 | $0.11/$0.11 | +0.0% | $6.9B/$6.6B | +5.1% |
| Q1 2026 | $0.11/$0.11 | +0.0% | $6.9B/$6.6B | +5.1% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$75.5B
-15.3% YoY
FY2
$61.5B
-18.6% YoY
EPS Outlook
FY1
$1.20
-46.6% YoY
FY2
$1.02
-14.4% YoY
Trailing FCF (TTM)-$201.5B
Next Earnings
May 6, 2026
Expected EPS
$0.11
Expected Revenue
$7.1B
BBD beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
BBD Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Undervalued
Fair value est. $19 — implies +406.1% from today's price.
Upside to Fair Value
406.1%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
BBD
8.7x
vs
S&P 500
25.2x
65% discount
vs Financial Services Trailing P/E
BBD
8.7x
vs
Financial Services
13.4x
35% discount
vs BBD 5Y Avg P/E
Today
8.7x
vs
5Y Average
1.7x
+422% premium
Forward PE
1.4x
S&P 500
19.1x
-92%
Financial Services
10.5x
-86%
5Y Avg
—
—
Trailing PE
8.7x
S&P 500
25.2x
-65%
Financial Services
13.4x
-35%
5Y Avg
1.7x
+422%
PEG Ratio
1.07x
S&P 500
1.75x
-39%
Financial Services
1.03x
+4%
5Y Avg
—
—
EV/EBITDA
—
S&P 500
15.3x
—
Financial Services
11.4x
—
5Y Avg
13.8x
—
Price/FCF
—
S&P 500
21.3x
—
Financial Services
10.6x
—
5Y Avg
0.9x
—
Price/Sales
0.6x
S&P 500
3.1x
-81%
Financial Services
2.3x
-74%
5Y Avg
0.1x
+327%
Dividend Yield
5.87%
S&P 500
1.88%
+213%
Financial Services
2.68%
+119%
5Y Avg
11.91%
-51%
| Metric | BBD | S&P 500 | Financial Services | 5Y Avg BBD |
|---|---|---|---|---|
| Forward PE | 1.4x | 19.1x-92% | 10.5x-86% | — |
| Trailing PE | 8.7x | 25.2x-65% | 13.4x-35% | 1.7x+422% |
| PEG Ratio | 1.07x | 1.75x-39% | 1.03x | — |
| EV/EBITDA | — | 15.3x | 11.4x | 13.8x |
| Price/FCF | — | 21.3x | 10.6x | 0.9x |
| Price/Sales | 0.6x | 3.1x-81% | 2.3x-74% | 0.1x+327% |
| Dividend Yield | 5.87% | 1.88% | 2.68% | 11.91% |
BBD trades above S&P 500 benchmarks on 0 of 4 measured multiples — appears modestly priced relative to the S&P 500 on most measures.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolBBD Financial Health
Verdict
Stressed
BBD generates 13.2% ROE and 1.1% return on assets — the two primary signals for banking profitability. FCF-based metrics are not applicable to financial companies.
Earnings Engine
Revenue, profitability, and return on capital
Revenue (TTM)
Trailing-twelve-month sales base
—
Revenue Growth
TTM vs prior year
—
Operating Margin
Operating income divided by revenue
—
Net Margin
Net income divided by revenue
—
EPS (TTM)
Diluted earnings per share, trailing twelve months
$2.19
ROE
Return on equity — the primary profitability signal for banks
13.2%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
-0.3%
ROA
Return on assets, trailing twelve months
1.1%
Cash & Equivalents
Liquid assets on the balance sheet
$160.8B
Net Debt
Total debt minus cash
$637.5B
FCF Analysis
Traditional FCF and debt/FCF ratios are not meaningful for financial companies. Focus on ROE and ROA above.
ROE
Return on equity — the headline bank profitability metric
13.2%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
6.0%
Dividend
5.9%
Buyback
0.1%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$223M
Dividend / Share
Annualized trailing dividend per share
$1.12
Payout Ratio
Share of earnings distributed as dividends
51.0%
Shares Outstanding
Declining as buybacks retire shares
10.6B
All figures from the trailing twelve months. For financial companies, ROE and ROA are the primary health signals — FCF-based metrics are not applicable.
Open full ratios pageBBD Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 11, 2026
High Risk
Aviation Industry Cyclicality
Bombardier’s business jet demand is highly sensitive to macroeconomic cycles. A downturn can sharply reduce orders, compressing revenue and margin growth. Historical downturns have led to multi‑month delivery delays and backlog erosion.
High Risk
Brazilian Economic Headwinds
Inflation, interest‑rate uncertainty, and overall economic instability in Brazil can erode loan demand and increase default risk for Banco Bradesco. These macro‑economic pressures can tighten the bank’s profitability and strain its balance sheet.
High Risk
High Leverage Ratio
Banco Bradesco’s leverage ratio stands at 12.3, higher than many peers, signaling potential liquidity strain. A high leverage ratio can limit capital growth and increase vulnerability to economic shocks.
High Risk
Supply Chain Disruptions
Bombardier’s production and delivery timelines are vulnerable to global supply chain disruptions. Delays in key component deliveries can postpone aircraft deliveries, eroding revenue and backlog commitments.
Medium
Competitive Pressure
Bombardier faces intense competition from other business aviation leaders such as Gulfstream and Dassault. Market share erosion could compress pricing power and margin expansion.
Medium
Loan Portfolio Quality
Banco Bradesco’s loan portfolio quality remains a concern, with restructured assets requiring close monitoring. Poor asset quality could lead to higher provisioning and margin compression.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why BBD Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 11, 2026
Robust Earnings Growth
Banco Bradesco is projected to grow earnings by 16.22% next year, rising from $0.37 to $0.43 per share. In 2025, revenue increased 13.16% YoY while earnings jumped 37.21%, and recurring net income in Q4 2025 grew 26.1% YoY.
Undervalued Valuation Metrics
The stock trades at a P/E of 9.1x versus a peer average of 15.5x and a market average of 43.66x. Its PEG ratio is 0.48 and P/B is 1.33, with analysts suggesting a 25% upside if the P/B expands to 1.5x.
Future Cash Flow Discount
BBD is trading more than 20% below its future cash flow value, indicating a significant discount to intrinsic value.
Operational Turnaround & Growth
The bank has improved operational efficiency, reduced restructured assets, and strengthened its CET1 ratio. The loan portfolio expanded 11% and insurance revenue grew 16.1% in Q4 2025, with overall revenue up 10% YoY.
Attractive Dividend Yield
Banco Bradesco offers a dividend yield of about 1.1%, supported by a low payout ratio of roughly 4.9%, implying dividends are well‑backed by earnings.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
BBD Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$3.86
52W Range Position
78%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$2.26
+70.8% from the low
52-Week High
$4.30
-10.2% from the high
1 Month
+3.76%
3 Month
-3.02%
YTD
+14.9%
1 Year
+64.3%
3Y CAGR
+7.8%
5Y CAGR
-1.2%
10Y CAGR
+0.5%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
BBD vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
1.4x
vs 3.4x median
-57% below peer median
Revenue Growth
-15.3%
vs +2.5% median
-702% below peer median
Net Margin
—
vs 2.0% median
Peer median unavailable
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
BBD BBD Banco Bradesco S.A. | $40.8B | 1.4x | -15.3% | — | Hold | -17.1% |
ITU ITUB Itaú Unibanco Holding S.A. | $93.1B | 1.8x | +8.0% | — | Buy | -24.5% |
BSB BSBR Banco Santander (Brasil) S.A. | $44.8B | 6.7x | +1.6% | — | Buy | +20.4% |
ABE ABEV Ambev S.A. | $53.6B | 3.4x | +2.5% | 17.6% | Hold | -17.2% |
GGB GGB Gerdau S.A. | $9.9B | 1.9x | +2.6% | 2.0% | Buy | +6.5% |
SID SID Companhia Siderúrgica Nacional | $1.9B | 12.5x | -0.5% | -3.4% | Sell | 0.0% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
BBD Dividend and Capital Return
BBD returns 6.0% total yield, led by a 5.87% dividend.
Dividend SustainableFCF Unknown
Total Shareholder Yield
6.0%
Dividend + buyback return per year
Buyback Yield
0.1%
Dividend Yield
5.87%
Payout Ratio
51.0%
How BBD Splits Its Return
Div 5.87%
Dividend 5.87%Buybacks 0.1%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$1.12
Growth Streak
Consecutive years of dividend increases
1Y
3Y Div CAGR
56.7%
5Y Div CAGR
23.3%
Ex-Dividend Date
—
Payment Cadence
Monthly
16 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$223M
Estimated Shares Retired
58M
Approx. Share Reduction
0.5%
Shares Outstanding
Current diluted share count from the screening snapshot
10.6B
At 0.5%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2026 | $0.05 | — | — | — |
| 2025 | $0.32 | +121.2% | 0.6% | 34.2% |
| 2024 | $0.14 | -56.0% | 2.8% | 35.1% |
| 2023 | $0.33 | +295.5% | 0.0% | 24.0% |
| 2022 | $0.08 | -51.9% | 0.7% | 12.6% |
FAQ
7 questionsBBD Investor Questions
Common questions answered from live analyst data and company financials.
01Is Banco Bradesco S.A. (BBD) stock a buy or sell in 2026?
Banco Bradesco S.A. (BBD) is rated Hold by Wall Street analysts as of 2026. Of 15 analysts covering the stock, 5 rate it Buy or Strong Buy, 9 rate it Hold, and 1 rate it Sell or Strong Sell. The consensus 12-month price target is $3, implying -17.1% from the current price of $4. The bear case scenario is $2 and the bull case is $39.
02What is the BBD stock price target for 2026?
The Wall Street consensus price target for BBD is $3 based on 15 analyst estimates. The high-end target is $3 (-17.1% from today), and the low-end target is $3 (-17.1%). The base case model target is $9.
03Is Banco Bradesco S.A. (BBD) stock overvalued in 2026?
BBD trades at 1.4x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals significantly undervalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Banco Bradesco S.A. (BBD) stock in 2026?
The primary risks for BBD in 2026 are: (1) Aviation Industry Cyclicality — Bombardier’s business jet demand is highly sensitive to macroeconomic cycles. (2) Brazilian Economic Headwinds — Inflation, interest‑rate uncertainty, and overall economic instability in Brazil can erode loan demand and increase default risk for Banco Bradesco. (3) High Leverage Ratio — Banco Bradesco’s leverage ratio stands at 12. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Banco Bradesco S.A.'s revenue and earnings forecast?
Analyst consensus estimates BBD will report consensus revenue of $75.5B (-15.3% year-over-year) and EPS of $1.20 (-46.6% year-over-year) for the upcoming fiscal year. The following year, analysts project $61.5B in revenue.
06When does Banco Bradesco S.A. (BBD) report its next earnings?
Banco Bradesco S.A. is expected to report its next earnings on approximately 2026-05-06. Consensus expects EPS of $0.11 and revenue of $7.1B. Over recent quarters, BBD has beaten EPS estimates 9% of the time.
07How much free cash flow does Banco Bradesco S.A. generate?
Banco Bradesco S.A. (BBD) had a free cash outflow of $201.5B in free cash flow over the trailing twelve months. BBD returns capital to shareholders through dividends (5.9% yield) and share repurchases ($223M TTM).