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Brazilian (BOVESPA) Market Analysis & Valuation
UpdatedJun 06, 2024
DataAggregated Company Financials
Companies349
- 7D-0.9%
- 3M-6.2%
- 1Y-0.5%
- YTD-9.6%
The market has been flat in the last week, however the Materials sector is down 4.9%. In line with that, the market has also been flat over the past year. Earnings are forecast to grow by 14% annually.
Market Valuation and Performance
Has the Brazilian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 07 Jun 2024 | R$4.3t | R$4.4t | R$447.0b | 9.8x | 9.6x | 1x |
| Sun, 05 May 2024 | R$4.5t | R$4.3t | R$454.9b | 10.2x | 10x | 1x |
| Tue, 02 Apr 2024 | R$4.5t | R$4.4t | R$459.1b | 10.5x | 9.9x | 1x |
| Thu, 29 Feb 2024 | R$4.7t | R$4.4t | R$459.7b | 10.5x | 10.2x | 1.1x |
| Sat, 27 Jan 2024 | R$4.6t | R$4.3t | R$466.8b | 11.4x | 9.8x | 1.1x |
| Mon, 25 Dec 2023 | R$4.7t | R$4.4t | R$467.0b | 11.9x | 10.1x | 1.1x |
| Wed, 22 Nov 2023 | R$4.5t | R$4.4t | R$467.6b | 10.5x | 9.6x | 1x |
| Fri, 20 Oct 2023 | R$4.1t | R$4.5t | R$504.1b | 10.3x | 8.2x | 0.9x |
| Sun, 17 Sep 2023 | R$4.4t | R$4.5t | R$505.2b | 11.1x | 8.6x | 1x |
| Tue, 15 Aug 2023 | R$4.4t | R$4.6t | R$513.9b | 11.4x | 8.5x | 1x |
| Thu, 13 Jul 2023 | R$4.4t | R$4.6t | R$552.8b | 11.6x | 7.9x | 1x |
| Sat, 10 Jun 2023 | R$4.4t | R$4.6t | R$554.5b | 12x | 7.9x | 1x |
| Mon, 08 May 2023 | R$4.0t | R$4.6t | R$569.0b | 10.3x | 7x | 0.9x |
| Wed, 05 Apr 2023 | R$3.9t | R$4.6t | R$595.5b | 9.6x | 6.5x | 0.8x |
| Fri, 03 Mar 2023 | R$4.0t | R$4.3t | R$542.5b | 9.4x | 7.3x | 0.9x |
| Sun, 29 Jan 2023 | R$4.3t | R$4.5t | R$628.4b | 10x | 6.8x | 0.9x |
| Tue, 27 Dec 2022 | R$4.2t | R$4.5t | R$628.4b | 9.5x | 6.6x | 0.9x |
| Thu, 24 Nov 2022 | R$4.2t | R$4.5t | R$630.7b | 9.2x | 6.7x | 0.9x |
| Sat, 22 Oct 2022 | R$4.7t | R$4.4t | R$635.1b | 9.7x | 7.5x | 1.1x |
| Mon, 19 Sep 2022 | R$4.4t | R$4.4t | R$635.3b | 9.5x | 6.9x | 1x |
| Wed, 17 Aug 2022 | R$4.6t | R$4.4t | R$649.5b | 9.3x | 7x | 1x |
| Fri, 15 Jul 2022 | R$4.0t | R$4.2t | R$682.1b | 8x | 5.9x | 0.9x |
| Sun, 12 Jun 2022 | R$4.3t | R$4.2t | R$683.7b | 8.4x | 6.3x | 1x |
| Tue, 10 May 2022 | R$4.4t | R$4.1t | R$670.3b | 9x | 6.5x | 1.1x |
| Thu, 07 Apr 2022 | R$5.0t | R$4.0t | R$626.4b | 10.1x | 8x | 1.2x |
| Sat, 05 Mar 2022 | R$4.9t | R$3.9t | R$619.2b | 9.6x | 7.9x | 1.3x |
| Mon, 31 Jan 2022 | R$4.8t | R$3.8t | R$614.9b | 9.8x | 7.8x | 1.3x |
| Wed, 29 Dec 2021 | R$4.6t | R$3.8t | R$615.6b | 10.5x | 7.5x | 1.2x |
| Fri, 26 Nov 2021 | R$4.7t | R$3.8t | R$617.1b | 10.7x | 7.5x | 1.2x |
| Sun, 24 Oct 2021 | R$4.8t | R$3.5t | R$536.0b | 11.6x | 8.9x | 1.3x |
| Tue, 21 Sep 2021 | R$4.9t | R$3.5t | R$535.7b | 12.4x | 9.2x | 1.4x |
| Thu, 19 Aug 2021 | R$5.3t | R$3.5t | R$529.5b | 13.1x | 10x | 1.5x |
Price to Earnings Ratio
10.7x
Current Market PE
- Investors are optimistic on the Brazilian market, and appear confident in strong long term growth rates.
- The market is trading at a PE ratio of 9.6x which is higher than its 3-year average PE of 8.1x.
Past Earnings Growth
- The earnings for Brazilian listed companies have declined 5.3% per year over the last three years.
- Meanwhile revenues for these companies have grown 8.8% 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.
Sector Trends
Which sectors have driven the changes within the Brazilian Market?
| BR Market | -0.85% | |
| Telecom | 0.99% | |
| Utilities | 0.52% | |
| Energy | 0.29% | |
| Financials | -0.03% | |
| Real Estate | -0.90% | |
| Consumer Staples | -0.96% | |
| Industrials | -1.12% | |
| Tech | -1.53% | |
| Consumer Discretionary | -1.98% | |
| Healthcare | -2.68% | |
| Materials | -4.89% | |
Sector PE
- Investors favour the Tech sector the most for future growth, which is trading above its 3-year average PE ratio of 25.5x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 28.2%, which is higher than its past year's earnings growth of 7.3% per year.
- The Energy sector is the least preferred by investors for future growth. Although, investor sentiment seems to have improved given that it's trading above its 3-year average of 3.8x.
Forecasted Growth
- Analysts are most optimistic on the Consumer Discretionary sector, expecting annual earnings growth of 29% over the next 5 years.
- This is better than its past earnings growth rate of 11% per year.
- In contrast, the Materials industry is expected to see its earnings growth to stay flat over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| BPAC11 Banco BTG Pactual | R$33.30 | 4.3% +R$7.2b | 14.0% | PE16.5x | Financials | |
| ABEV3 Ambev | R$11.82 | 2.6% +R$4.7b | -20.4% | PE12.8x | Consumer Staples | |
| ENGI3 Energisa | R$15.00 | 6.8% +R$2.2b | 12.9% | PE14.3x | Utilities | |
| BBAS3 Banco do Brasil | R$27.65 | 1.2% +R$1.9b | 21.5% | PB0.9x | Financials | |
| SBSP3 Companhia de Saneamento Básico do Estado de São Paulo - SABESP | R$77.32 | 3.5% +R$1.8b | 45.0% | PE14.7x | Utilities |
