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Brazilian (BOVESPA) Tech Sector Analysis

UpdatedJul 22, 2026
DataAggregated Company Financials
Companies8
  • 7D-3.6%
  • 3M-11.6%
  • 1Y-25.4%
  • YTD-21.3%

Over the last 7 days, the Tech industry has dropped 3.6%, driven by a pullback from TOTVS of 4.5%. However, the industry is down 25% over the past year. As for the next few years, earnings are expected to grow by 20% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 22 Jul 2026R$25.6bR$26.3bR$1.6b9.4x16.3x1x
Fri, 19 Jun 2026R$24.9bR$26.5bR$1.6b7.6x16x0.9x
Sun, 17 May 2026R$27.8bR$26.4bR$1.5b9.3x18.5x1.1x
Tue, 14 Apr 2026R$30.1bR$25.9bR$1.3b13.7x22.4x1.2x
Thu, 12 Mar 2026R$31.9bR$25.7bR$1.4b13.1x23.5x1.2x
Sat, 07 Feb 2026R$31.3bR$26.0bR$1.3b8.4x24.5x1.2x
Mon, 05 Jan 2026R$33.1bR$26.0bR$1.3b8x25.8x1.3x
Wed, 03 Dec 2025R$35.8bR$26.0bR$1.3b9.1x27.9x1.4x
Fri, 31 Oct 2025R$34.6bR$25.4bR$1.3b29.9x26.3x1.4x
Sun, 28 Sep 2025R$35.6bR$25.5bR$1.3b30.7x27.4x1.4x
Tue, 26 Aug 2025R$33.7bR$25.5bR$1.3b30.2x25.9x1.3x
Thu, 24 Jul 2025R$34.9bR$25.1bR$1.2b21.6x29.9x1.4x
Sat, 21 Jun 2025R$34.2bR$25.1bR$1.2b21.1x29.3x1.4x
Mon, 19 May 2025R$34.0bR$25.1bR$1.2b20.8x29.2x1.4x
Wed, 16 Apr 2025R$30.5bR$25.4bR$1.2b8.2x26.1x1.2x
Fri, 14 Mar 2025R$30.0bR$26.3bR$1.2b13.2x25.4x1.1x
Sun, 09 Feb 2025R$31.2bR$26.0bR$1.2b12.5x26.6x1.2x
Tue, 07 Jan 2025R$25.9bR$26.0bR$1.2b12.5x22.1x1x
Thu, 05 Dec 2024R$27.8bR$26.0bR$1.2b14.8x23.7x1.1x
Sat, 02 Nov 2024R$31.5bR$26.1bR$863.7m22x36.5x1.2x
Mon, 30 Sep 2024R$31.2bR$25.8bR$863.0m21.3x36.1x1.2x
Wed, 28 Aug 2024R$34.0bR$25.8bR$863.0m23.5x39.4x1.3x
Fri, 26 Jul 2024R$32.0bR$25.6bR$917.8m13x34.9x1.2x
Sun, 23 Jun 2024R$33.1bR$25.6bR$917.7m13.1x36.1x1.3x
Tue, 21 May 2024R$33.7bR$25.3bR$917.6m9.3x36.8x1.3x
Thu, 18 Apr 2024R$30.9bR$24.8bR$473.3m11.1x65.2x1.2x
Sat, 16 Mar 2024R$33.8bR$24.7bR$556.2m12.8x60.7x1.4x
Mon, 12 Feb 2024R$32.6bR$24.8bR$550.6m12.3x59.3x1.3x
Wed, 10 Jan 2024R$41.2bR$28.6bR$1.2b12.8x34.9x1.4x
Fri, 08 Dec 2023R$42.7bR$28.6bR$1.2b13.7x36.1x1.5x
Sun, 05 Nov 2023R$38.4bR$28.5bR$1.4b15.7x26.6x1.3x
Tue, 03 Oct 2023R$38.9bR$28.7bR$1.5b15.5x26.7x1.4x
Thu, 31 Aug 2023R$41.8bR$28.7bR$1.5b17.9x28.7x1.5x
Sat, 29 Jul 2023R$42.1bR$29.4bR$1.6b20.9x25.9x1.4x
Price to Earnings Ratio

25.9x


Total Market Cap: R$42.1bTotal Earnings: R$1.6bTotal Revenue: R$29.4bTotal Market Cap vs Earnings and Revenue0%0%0%
Brazilian Tech Sector Price to Earnings3Y Average 31.5x202420252026
Current Industry PE
  • Investors are pessimistic on the Brazilian Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 16.3x which is lower than its 3-year average PE of 31.5x.
  • The 3-year average PS ratio of 1.3x is higher than the industry's current PS ratio of 0.97x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have declined 3.7% per year.
  • This means that the cost of doing business could be reducing since sales have declined but profits have remained steady.

Industry Trends

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

BR Market-1.20%
Tech-3.60%
Electronic Equipment and Components-0.22%
Communications-0.45%
Tech Hardware-1.53%
Software-4.51%
IT-5.56%
Industry PE
  • Investors are most optimistic about the Software industry even though it's trading below its 3-year average PE ratio of 34.3x.
    • Analysts expect its future annual earnings growth (17.6%) to be largely in line with prior year's earnings growth.
Forecasted Growth
  • Analysts are most optimistic on the IT industry, expecting annual earnings growth of 78% over the next 5 years.
  • In contrast, the Electronic Equipment and Components industry is expected to see its earnings decline by 31% 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
MLAS3 Grupo MultiR$1.720.6%
+R$8.1m		63.8%PE7.7x
PDTC3 Padtec HoldingR$2.084.5%
+R$7.2m		103.9%PE11.2x

Latest News

PDTC3
R$2.08
Padtec Holding
7D
4.5%
1Y
103.9%
INTB3
R$13.24
Intelbras - Indústria de Telecomunicação Eletrônica Brasileira
7D
-0.5%
1Y
-11.5%
Narrative Update • Jul 10

INTB3: Revised Cash Flow Assumptions Will Support A Higher Future Multiple

Analysts have revised their fair value estimate for Intelbras, lowering the price target from R$22.00 to R$19.00 as they factor in updated assumptions for discount rates, revenue growth, profit margins, and future P/E levels. What's in the News for Intelbras No recent company specific news items for Intelbras are available from the provided sources.
MLAS3
R$1.72
Grupo Multi
7D
0.6%
1Y
63.8%
New Narrative • Jul 04

AI Component Shortages And Client Concentration Will Pressure Margins And Earnings

Catalysts About Grupo Multi Grupo Multi operates across corporate electronics, consumer technology, and specialized retail products in Brazil, with an increasing focus on higher margin categories and memory manufacturing. What are the underlying business or industry changes driving this perspective?
TOTS3
R$28.57
TOTVS
7D
-4.5%
1Y
-33.4%
Narrative Update • Jul 02

TOTS3: Earnings Visibility And Cross-Selling Momentum Will Support Future Repricing Potential

Analysts have trimmed their fair value estimate for TOTVS to about R$48 from roughly R$50, citing updated assumptions for revenue growth, profit margins, discount rates and P/E. They continue to reference the recent R$45 price target and the earnings visibility highlighted in new Street research coverage.
POSI3
R$3.68
Positivo Tecnologia
7D
-6.8%
1Y
-14.4%
ALLD3
R$4.50
Allied Tecnologia
7D
-0.2%
1Y
-34.9%
WDCN3
R$2.28
Livetech da Bahia Indústria e Comércio
7D
-3.4%
1Y
-37.5%
LWSA3
R$3.74
Locaweb Serviços de Internet
7D
-5.6%
1Y
-4.1%