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Brazilian (BOVESPA) Tech Sector Analysis

UpdatedFeb 24, 2024
DataAggregated Company Financials
  • 7D3.3%
  • 3M-0.5%
  • 1Y-0.6%
  • YTD-2.1%

All of the companies in the Tech industry have been up over the last week, with the industry up 3.3%. Despite this gain, the industry's performance has been flat over the past year. As for the next few years, earnings are expected to grow by 39% per annum.

Sector Valuation and Performance

Has the Brazilian Tech Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 24 Feb 2024R$33.8bR$24.8bR$550.6m13.3x61.3x1.4x
Mon, 22 Jan 2024R$40.8bR$28.6bR$1.2b13.7x34.5x1.4x
Wed, 20 Dec 2023R$43.1bR$28.6bR$1.2b13.8x36.5x1.5x
Fri, 17 Nov 2023R$41.8bR$28.6bR$1.2b12.4x35.3x1.5x
Sun, 15 Oct 2023R$36.8bR$28.7bR$1.5b14.5x25.3x1.3x
Tue, 12 Sep 2023R$40.9bR$28.7bR$1.5b17.4x28.1x1.4x
Thu, 10 Aug 2023R$42.6bR$29.5bR$1.6b19.4x26.6x1.4x
Sat, 08 Jul 2023R$44.4bR$29.4bR$1.6b21.4x27.7x1.5x
Mon, 05 Jun 2023R$42.4bR$29.4bR$1.6b18.3x26.4x1.4x
Wed, 03 May 2023R$36.4bR$29.5bR$2.1b17.1x17.4x1.2x
Fri, 31 Mar 2023R$38.1bR$29.5bR$2.1b16.5x18.3x1.3x
Sun, 26 Feb 2023R$54.1bR$41.3bR$3.5b9.5x15.5x1.3x
Tue, 24 Jan 2023R$58.6bR$41.8bR$3.5b10.2x16.9x1.4x
Thu, 22 Dec 2022R$57.9bR$41.8bR$3.5b8.9x16.7x1.4x
Sat, 19 Nov 2022R$60.1bR$41.9bR$3.4b10.2x17.9x1.4x
Mon, 17 Oct 2022R$67.2bR$41.4bR$3.4b10.7x19.7x1.6x
Wed, 14 Sep 2022R$64.3bR$41.4bR$3.4b10.5x18.9x1.6x
Fri, 12 Aug 2022R$63.1bR$40.5bR$3.7b8.9x17.1x1.6x
Sun, 10 Jul 2022R$52.6bR$40.0bR$3.3b8.8x16x1.3x
Tue, 07 Jun 2022R$56.8bR$39.8bR$3.3b8.9x17.1x1.4x
Thu, 05 May 2022R$57.2bR$38.3bR$3.5b9.5x16.3x1.5x
Sat, 02 Apr 2022R$64.8bR$38.3bR$3.5b10.1x18.4x1.7x
Mon, 28 Feb 2022R$59.2bR$37.7bR$3.7b10.5x15.9x1.6x
Wed, 26 Jan 2022R$51.8bR$37.4bR$3.7b11.3x14.2x1.4x
Fri, 24 Dec 2021R$58.8bR$37.4bR$3.7b11.7x16.1x1.6x
Sun, 21 Nov 2021R$65.1bR$37.3bR$3.7b12.1x17.6x1.7x
Tue, 19 Oct 2021R$71.0bR$33.2bR$3.3b18.2x21.8x2.1x
Thu, 16 Sep 2021R$74.3bR$33.2bR$3.3b18.8x22.8x2.2x
Sat, 14 Aug 2021R$76.6bR$33.2bR$3.3b18.3x23.5x2.3x
Wed, 09 Jun 2021R$63.5bR$25.1bR$1.9b21.1x34.2x2.5x
Tue, 02 Mar 2021R$55.4bR$19.5bR$1.4b40x39.9x2.8x
Price to Earnings Ratio


Total Market Cap: R$55.4bTotal Earnings: R$1.4bTotal Revenue: R$19.5bTotal Market Cap vs Earnings and Revenue0%0%0%
Brazilian Tech Sector Price to Earnings3Y Average 23.3x202220232024
Current Industry PE
  • Investors are optimistic on the Brazilian Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 61.3x which is higher than its 3-year average PE of 23.3x.
  • The 3-year average PS ratio of 1.7x is higher than the industry's current PS ratio of 1.4x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have declined 27% per year over the last three years.
  • Meanwhile revenues for these companies have grown 8.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Brazilian Tech sector?

BR Market0.42%
Tech Hardware6.19%
Electronic Equipment and Components1.17%
Industry PE
  • Investors are most optimistic about the Software industry even though it's trading below its 3-year average PE ratio of 56.7x.
    • Analysts are expecting annual earnings growth of 30.2%, which is lower than the prior year's growth of 230.5% per year.
Forecasted Growth
  • Analysts are most optimistic on the IT industry, expecting annual earnings growth of 116% over the next 5 years.
  • In contrast, the Communications industry is expected to see its earnings grow by 12% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
INTB3 Intelbras - Indústria de Telecomunicação Eletrônica BrasileiraR$21.187.6%
TOTS3 TOTVSR$31.472.0%
MLAS3 Multilaser IndustrialR$2.015.2%
POSI3 Positivo TecnologiaR$7.727.7%
CLSA3 ClearSaleR$4.002.6%
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