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BPAC

Banco BTG Pactual BOVESPA:BPAC3 Stock Report

Last Price

R$12.00

Market Cap

R$117.8b

7D

-7.7%

1Y

-42.5%

Updated

04 Jul, 2022

Data

Company Financials +
BPAC3 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance2/6
Financial Health5/6
Dividends2/6

BPAC3 Stock Overview

Banco BTG Pactual S.A. provides financial products and services in Brazil and internationally.

Banco BTG Pactual Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Banco BTG Pactual
Historical stock prices
Current Share PriceR$12.00
52 Week HighR$27.07
52 Week LowR$9.54
Beta1.68
1 Month Change-10.45%
3 Month Change-17.75%
1 Year Change-42.50%
3 Year Change128.57%
5 Year Change841.18%
Change since IPO943.48%

Recent News & Updates

Shareholder Returns

BPAC3BR Capital MarketsBR Market
7D-7.7%-1.9%-0.03%
1Y-42.5%-34.0%-30.1%

Return vs Industry: BPAC3 underperformed the BR Capital Markets industry which returned -34% over the past year.

Return vs Market: BPAC3 underperformed the BR Market which returned -30.1% over the past year.

Price Volatility

Is BPAC3's price volatile compared to industry and market?
BPAC3 volatility
BPAC3 Average Weekly Movement7.4%
Capital Markets Industry Average Movement7.5%
Market Average Movement5.8%
10% most volatile stocks in BR Market9.2%
10% least volatile stocks in BR Market2.8%

Stable Share Price: BPAC3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: BPAC3's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1983n/aRoberto Balls Salloutihttps://www.btgpactual.com.br

Banco BTG Pactual S.A. provides financial products and services in Brazil and internationally. Its investment banking services include advisory services relating to mergers and acquisitions, divestitures, restructurings, spin-offs, reorganizations, and other corporate transactions; placement and advisory services in primary and/ or secondary public offerings; structuring and distribution of fixed income instruments; and financial advisory, issuance coordination, and specific financing structures for energy and infrastructure projects. The company’s wealth management products and services comprise trading in bonds, equities, options, futures, structured products, and cash instruments; investment funds; alternative investments, such as hedge funds, private equity, real estate, and structured credit funds; debit and credit cards; portfolio solutions; and clearing and custody services.

Banco BTG Pactual Fundamentals Summary

How do Banco BTG Pactual's earnings and revenue compare to its market cap?
BPAC3 fundamental statistics
Market CapR$117.81b
Earnings (TTM)R$7.11b
Revenue (TTM)R$21.02b

19.4x

P/E Ratio

6.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BPAC3 income statement (TTM)
RevenueR$21.02b
Cost of RevenueR$0
Gross ProfitR$21.02b
Other ExpensesR$13.91b
EarningsR$7.11b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 09, 2022

Earnings per share (EPS)0.62
Gross Margin100.00%
Net Profit Margin33.81%
Debt/Equity Ratio421.0%

How did BPAC3 perform over the long term?

See historical performance and comparison

Dividends

1.1%

Current Dividend Yield

21%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is BPAC3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BPAC3?

Other financial metrics that can be useful for relative valuation.

BPAC3 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio1.5x

Price to Earnings Ratio vs Peers

How does BPAC3's PE Ratio compare to its peers?

BPAC3 PE Ratio vs Peers
The above table shows the PE ratio for BPAC3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11.3x
B3SA3 B3 - Brasil Bolsa Balcão
14.6x10.0%R$66.6b
DBK Deutsche Bank
7.2x14.0%€16.4b
MQG Macquarie Group
13.6x3.0%AU$62.1b
MODL3 Banco Modal
9.7x15.6%R$1.7b
BPAC3 Banco BTG Pactual
19.4x12.7%R$117.8b

Price-To-Earnings vs Peers: BPAC3 is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the peer average (11.3x).


Price to Earnings Ratio vs Industry

How does BPAC3's PE Ratio compare vs other companies in the South American Capital Markets Industry?

Price-To-Earnings vs Industry: BPAC3 is expensive based on its Price-To-Earnings Ratio (19.4x) compared to the BR Capital Markets industry average (14.7x)


Price to Earnings Ratio vs Fair Ratio

What is BPAC3's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BPAC3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.4x
Fair PE Ratio28x

Price-To-Earnings vs Fair Ratio: BPAC3 is good value based on its Price-To-Earnings Ratio (19.4x) compared to the estimated Fair Price-To-Earnings Ratio (28x).


Share Price vs Fair Value

What is the Fair Price of BPAC3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BPAC3 (R$12) is trading above our estimate of fair value (R$2.78)

Significantly Below Fair Value: BPAC3 is trading above our estimate of fair value.


Price to Earnings Growth Ratio

PEG Ratio: BPAC3 is poor value based on its PEG Ratio (1.5x)


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Future Growth

How is Banco BTG Pactual forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


12.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BPAC3's forecast earnings growth (12.7% per year) is above the savings rate (9.2%).

Earnings vs Market: BPAC3's earnings (12.7% per year) are forecast to grow faster than the BR market (6.9% per year).

High Growth Earnings: BPAC3's earnings are forecast to grow, but not significantly.

Revenue vs Market: BPAC3's revenue (7.1% per year) is forecast to grow faster than the BR market (5.6% per year).

High Growth Revenue: BPAC3's revenue (7.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BPAC3's Return on Equity is forecast to be low in 3 years time (19%).


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Past Performance

How has Banco BTG Pactual performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


22.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BPAC3 has a high level of non-cash earnings.

Growing Profit Margin: BPAC3's current net profit margins (33.8%) are lower than last year (38.1%).


Past Earnings Growth Analysis

Earnings Trend: BPAC3's earnings have grown significantly by 22% per year over the past 5 years.

Accelerating Growth: BPAC3's earnings growth over the past year (62.1%) exceeds its 5-year average (22% per year).

Earnings vs Industry: BPAC3 earnings growth over the past year (62.1%) underperformed the Capital Markets industry 62.1%.


Return on Equity

High ROE: BPAC3's Return on Equity (17%) is considered low.


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Financial Health

How is Banco BTG Pactual's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

5/6

Financial Health Score 5/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: BPAC3's Assets to Equity ratio (9x) is low.

Allowance for Bad Loans: BPAC3 has a sufficient allowance for bad loans (697%).

Low Risk Liabilities: 69% of BPAC3's liabilities are made up of primarily higher risk sources of funding.

Loan Level: BPAC3 has an appropriate level of Loans to Assets ratio (26%).

Low Risk Deposits: BPAC3's Loans to Deposits ratio (95%) is appropriate.

Level of Bad Loans: BPAC3 has an appropriate level of bad loans (0.5%).


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Dividend

What is Banco BTG Pactual current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.08%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BPAC3's dividend (1.08%) isn’t notable compared to the bottom 25% of dividend payers in the BR market (1.77%).

High Dividend: BPAC3's dividend (1.08%) is low compared to the top 25% of dividend payers in the BR market (7.96%).


Stability and Growth of Payments

Stable Dividend: BPAC3 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BPAC3's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (21.2%), BPAC3's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BPAC3's dividends in 3 years are forecast to be covered by earnings (75% payout ratio).


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Management

How experienced are the management team and are they aligned to shareholders interests?

12.8yrs

Average management tenure


CEO

Roberto Balls Sallouti (50 yo)

17.33yrs

Tenure

Mr. Roberto Balls Sallouti has been a Director at Banco BTG Pactual S.A. since April 2, 2012. He served as Chairman of Banco BTG Pactual S.A. Mr. Sallouti has been the Chief Executive Officer of Banco BTG...


Leadership Team

Experienced Management: BPAC3's management team is seasoned and experienced (12.8 years average tenure).


Board Members

Experienced Board: BPAC3's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Banco BTG Pactual S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Banco BTG Pactual S.A.
  • Ticker: BPAC3
  • Exchange: BOVESPA
  • Founded: 1983
  • Industry: Diversified Capital Markets
  • Sector: Diversified Financials
  • Implied Market Cap: R$117.811b
  • Shares outstanding: 11.51b
  • Website: https://www.btgpactual.com.br

Location

  • Banco BTG Pactual S.A.
  • Av. Brigadeiro Faria Lima, 3.477
  • 14th Floor
  • São Paulo
  • São Paulo
  • 04538-133
  • Brazil

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/04 00:00
End of Day Share Price2022/07/04 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.