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Brazilian (BOVESPA) Market Analysis & Valuation
UpdatedNov 25, 2024
DataAggregated Company Financials
Companies340
- 7D0.9%
- 3M-5.7%
- 1Y-0.4%
- YTD-5.8%
The Energy sector gained 5.0% while the market remained flat over the last week. As for the longer term, the market has also been flat over the past year. As for the next few years, earnings are expected to grow by 13% per annum.
Market Valuation and Performance
Has the Brazilian Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 25 Nov 2024 | R$4.4t | R$4.6t | R$479.8b | 9.3x | 9.2x | 1x |
| Wed, 23 Oct 2024 | R$4.5t | R$4.4t | R$428.9b | 9.6x | 10.5x | 1x |
| Fri, 20 Sep 2024 | R$4.6t | R$4.4t | R$427.9b | 10.1x | 10.8x | 1x |
| Sun, 18 Aug 2024 | R$4.7t | R$4.4t | R$426.6b | 10.3x | 10.9x | 1x |
| Tue, 16 Jul 2024 | R$4.5t | R$4.3t | R$446.4b | 10x | 10x | 1x |
| Thu, 13 Jun 2024 | R$4.3t | R$4.4t | R$447.0b | 9.7x | 9.6x | 1x |
| Sat, 11 May 2024 | R$4.5t | R$4.4t | R$430.5b | 10.1x | 10.4x | 1x |
| Mon, 08 Apr 2024 | R$4.5t | R$4.3t | R$458.9b | 10.4x | 9.9x | 1x |
| Wed, 06 Mar 2024 | R$4.6t | R$4.3t | R$459.5b | 10.2x | 10x | 1.1x |
| Fri, 02 Feb 2024 | R$4.6t | R$4.3t | R$466.8b | 11.2x | 9.8x | 1.1x |
| Sun, 31 Dec 2023 | R$4.8t | R$4.4t | R$466.9b | 11.8x | 10.2x | 1.1x |
| Tue, 28 Nov 2023 | R$4.4t | R$4.4t | R$468.3b | 10.7x | 9.5x | 1x |
| Thu, 26 Oct 2023 | R$4.1t | R$4.5t | R$504.1b | 10.4x | 8.1x | 0.9x |
| Sat, 23 Sep 2023 | R$4.2t | R$4.5t | R$504.4b | 10.9x | 8.4x | 0.9x |
| Mon, 21 Aug 2023 | R$4.3t | R$4.5t | R$503.8b | 10.9x | 8.5x | 0.9x |
| Wed, 19 Jul 2023 | R$4.4t | R$4.6t | R$552.8b | 11.8x | 8x | 1x |
| Fri, 16 Jun 2023 | R$4.4t | R$4.6t | R$554.5b | 11.8x | 8x | 1x |
| Sun, 14 May 2023 | R$4.1t | R$4.6t | R$553.9b | 10.4x | 7.4x | 0.9x |
| Tue, 11 Apr 2023 | R$3.9t | R$4.6t | R$595.1b | 9.5x | 6.5x | 0.8x |
| Thu, 09 Mar 2023 | R$4.1t | R$4.6t | R$618.0b | 9.9x | 6.6x | 0.9x |
| Sat, 04 Feb 2023 | R$4.1t | R$4.5t | R$628.4b | 9.7x | 6.6x | 0.9x |
| Mon, 02 Jan 2023 | R$4.2t | R$4.5t | R$628.9b | 9.7x | 6.7x | 0.9x |
| Wed, 30 Nov 2022 | R$4.2t | R$4.5t | R$628.8b | 9.3x | 6.8x | 0.9x |
| Fri, 28 Oct 2022 | R$4.6t | R$4.4t | R$634.3b | 9.5x | 7.2x | 1x |
| Sun, 25 Sep 2022 | R$4.5t | R$4.4t | R$635.4b | 9.8x | 7.1x | 1x |
| Tue, 23 Aug 2022 | R$4.4t | R$4.4t | R$640.1b | 9.3x | 6.9x | 1x |
| Thu, 21 Jul 2022 | R$4.1t | R$4.2t | R$682.1b | 8.2x | 6x | 1x |
| Sat, 18 Jun 2022 | R$4.2t | R$4.2t | R$683.8b | 8.2x | 6.1x | 1x |
| Mon, 16 May 2022 | R$4.5t | R$4.1t | R$678.7b | 9x | 6.6x | 1.1x |
| Wed, 13 Apr 2022 | R$4.9t | R$4.0t | R$627.0b | 10x | 7.9x | 1.2x |
| Fri, 11 Mar 2022 | R$4.8t | R$3.9t | R$616.0b | 9.6x | 7.8x | 1.2x |
| Sun, 06 Feb 2022 | R$4.8t | R$3.8t | R$614.9b | 9.7x | 7.8x | 1.3x |
| Tue, 04 Jan 2022 | R$4.6t | R$3.8t | R$615.2b | 10.4x | 7.5x | 1.2x |
| Thu, 02 Dec 2021 | R$4.5t | R$3.8t | R$617.4b | 9.9x | 7.3x | 1.2x |
Price to Earnings Ratio
7.3x
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 9.2x which is higher than its 3-year average PE of 8.2x.
Past Earnings Growth
- The earnings for Brazilian listed companies have declined 8.1% per year over the last three years.
- Meanwhile revenues for these companies have grown 6.1% 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 | 0.86% | |
| Energy | 5.01% | |
| Materials | 1.60% | |
| Consumer Discretionary | 1.04% | |
| Consumer Staples | 0.82% | |
| Industrials | 0.17% | |
| Information Technology | 0% | |
| Financials | 0% | |
| Health Care | 0% | |
| Industrials | 0% | |
| Financials | -0.069% | |
| Tech | -0.077% | |
| Utilities | -0.13% | |
| Real Estate | -0.41% | |
| Telecom | -1.15% | |
| Healthcare | -2.26% | |
Sector PE
- Investors favour the Tech sector the most for future growth, which is trading above its 3-year average PE ratio of 27.5x.
- Analysts are expecting annual earnings growth of 22.0%, which is lower than the prior year's growth of 28.8% 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 4.1x.
Forecasted Growth
- Analysts are most optimistic on the Healthcare sector, expecting annual earnings growth of 25% over the next 5 years.
- This is better than its past earnings growth rate of 2.1% per year.
- In contrast, the Utilities 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 | |
|---|---|---|---|---|---|---|
| ABEV3 Ambev | R$12.68 | 2.1% +R$4.1b | -6.6% | PE14.3x | Consumer Staples | |
| BRFS3 BRF | R$25.21 | 7.1% +R$2.8b | 73.9% | PE12.6x | Consumer Staples | |
| VALE3 Vale | R$58.18 | 1.1% +R$2.7b | -20.6% | PE5.1x | Materials | |
| CXSE3 Caixa Seguridade Participações | R$14.66 | 4.0% +R$1.7b | 27.5% | PE12.5x | Financials | |
| JBSS3 JBS | R$35.65 | 2.1% +R$1.7b | 53.5% | PE10.9x | Consumer Staples |
