Banco Bradesco (NYSE:BBD) Releases Quarterly Earnings Results, Hits Expectations

Key Points

• Banco Bradesco reported $0.10 earnings per share for the quarter, meeting consensus estimates with a return on equity of 12.33%.
• The bank announced a new dividend of $0.0023 per share, which represents a yield of 0.99%, a positive change from its previous dividend of $0.00.
• Goldman Sachs and Citigroup have upgraded their ratings on Banco Bradesco's stock, now classified as a "buy" by multiple analysts, with an average target price of $2.40.

Banco Bradesco (NYSE:BBD - Get Free Report) posted its earnings results on Wednesday. The bank reported $0.10 EPS for the quarter, hitting the consensus estimate of $0.10, Zacks reports. The firm had revenue of $5.87 billion during the quarter, compared to analysts' expectations of $32.70 billion. Banco Bradesco had a net margin of 9.76% and a return on equity of 13.02%.

Banco Bradesco Stock Performance

BBD stock traded up $0.04 during midday trading on Friday, hitting $2.81. 29,530,451 shares of the company traded hands, compared to its average volume of 32,056,876. The business has a 50 day simple moving average of $2.93 and a 200-day simple moving average of $2.47. The company has a quick ratio of 0.76, a current ratio of 0.76 and a debt-to-equity ratio of 0.63. Banco Bradesco has a twelve month low of $1.84 and a twelve month high of $3.13. The stock has a market capitalization of $29.90 billion, a price-to-earnings ratio of 8.03, a price-to-earnings-growth ratio of 0.39 and a beta of 0.69.

Banco Bradesco Increases Dividend

The business also recently announced a dividend, which will be paid on Thursday, September 11th. Investors of record on Wednesday, August 6th will be issued a $0.0023 dividend. This is an increase from Banco Bradesco's previous dividend of $0.00. The ex-dividend date is Tuesday, August 5th. This represents a yield of 99.0%. Banco Bradesco's dividend payout ratio is presently 8.57%.

Wall Street Analysts Forecast Growth

Several research firms have commented on BBD. Bank of America raised shares of Banco Bradesco from a "neutral" rating to a "buy" rating in a research note on Thursday, May 8th. Citigroup upgraded shares of Banco Bradesco from a "hold" rating to a "buy" rating in a research report on Wednesday, May 28th. One analyst has rated the stock with a sell rating, one has issued a hold rating and three have given a buy rating to the company. According to data from MarketBeat, the stock currently has an average rating of "Hold" and an average target price of $2.40.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Jones Financial Companies Lllp boosted its holdings in Banco Bradesco by 3,749.8% during the first quarter. Jones Financial Companies Lllp now owns 38,613 shares of the bank's stock valued at $86,000 after acquiring an additional 37,610 shares during the period. Millennium Management LLC increased its stake in Banco Bradesco by 28.4% in the first quarter. Millennium Management LLC now owns 6,834,192 shares of the bank's stock valued at $15,240,000 after acquiring an additional 1,510,481 shares during the period. Finally, Goldman Sachs Group Inc. lifted its position in shares of Banco Bradesco by 116.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 33,132,112 shares of the bank's stock worth $73,885,000 after buying an additional 17,853,712 shares during the period.

Banco Bradesco Company Profile

Banco Bradesco SA, together with its subsidiaries, provides various banking products and services to individuals, corporates, and businesses in Brazil and internationally. The company operates through two segments, Banking and Insurance. It provides current, savings, click, and salary accounts; real estate credit, vehicle financing, payroll loans, mortgage loans, microcredit, leasing, and personal and installment credit; overdraft and agribusiness loans; debit and business cards; financial and security services; consortium products; car, personal accident, dental, travel, and life insurance; investment products; pension products; foreign currency exchange services; capitalization bonds; and internet banking services.