Banco Bradesco (NYSE:BBD) Trading Down 7.1% – Should You Sell?

Shares of Banco Bradesco S.A. (NYSE:BBD) fell 7.1% during mid-day trading on Wednesday . The stock traded as low as $2.03 and last traded at $2.02. 9,568,233 shares were traded during mid-day trading, a decline of 81% from the average session volume of 50,350,438 shares. The stock had previously closed at $2.17.

Analysts Set New Price Targets

A number of analysts have commented on BBD shares. HSBC raised shares of Banco Bradesco from a “hold” rating to a “buy” rating and set a $2.80 price target on the stock in a research report on Monday, January 13th. JPMorgan Chase & Co. cut Banco Bradesco from an “overweight” rating to a “neutral” rating in a research note on Monday, November 25th. Finally, The Goldman Sachs Group lowered Banco Bradesco from a “buy” rating to a “sell” rating and dropped their price target for the company from $2.40 to $2.00 in a research note on Wednesday.

Banco Bradesco Stock Down 4.8 %

The stock has a market cap of $21.98 billion, a price-to-earnings ratio of 7.94, a price-to-earnings-growth ratio of 0.28 and a beta of 0.94. The firm’s fifty day moving average price is $1.99 and its two-hundred day moving average price is $2.38. The company has a debt-to-equity ratio of 0.36, a current ratio of 0.72 and a quick ratio of 0.72.

Banco Bradesco (NYSE:BBD) last posted its quarterly earnings results on Friday, February 7th. The bank reported $0.09 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.09. Banco Bradesco had a return on equity of 10.17% and a net margin of 7.43%. Sell-side analysts forecast that Banco Bradesco S.A. will post 0.33 earnings per share for the current fiscal year.

Banco Bradesco Increases Dividend

The firm also recently declared a monthly dividend, which will be paid on Friday, April 11th. Investors of record on Friday, March 7th will be given a $0.0033 dividend. The ex-dividend date of this dividend is Friday, March 7th. This represents a $0.04 annualized dividend and a yield of 1.90%. This is an increase from Banco Bradesco’s previous monthly dividend of $0.00. Banco Bradesco’s dividend payout ratio (DPR) is presently 11.54%.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Franklin Resources Inc. grew its holdings in shares of Banco Bradesco by 2.6% during the third quarter. Franklin Resources Inc. now owns 44,989,586 shares of the bank’s stock valued at $120,122,000 after buying an additional 1,139,470 shares during the last quarter. State Street Corp boosted its stake in Banco Bradesco by 71.0% during the 3rd quarter. State Street Corp now owns 15,778,647 shares of the bank’s stock valued at $42,715,000 after purchasing an additional 6,551,698 shares during the last quarter. DAVENPORT & Co LLC bought a new stake in Banco Bradesco during the 4th quarter worth approximately $66,000. JPMorgan Chase & Co. increased its holdings in Banco Bradesco by 152.6% during the 3rd quarter. JPMorgan Chase & Co. now owns 274,790 shares of the bank’s stock worth $731,000 after purchasing an additional 166,008 shares in the last quarter. Finally, Robeco Institutional Asset Management B.V. raised its stake in shares of Banco Bradesco by 4.4% in the fourth quarter. Robeco Institutional Asset Management B.V. now owns 3,032,246 shares of the bank’s stock worth $5,792,000 after purchasing an additional 127,225 shares during the last quarter.

About Banco Bradesco

Banco Bradesco SA, together with its subsidiaries, provides various banking products and services to individuals, corporates, and businesses in Brazil and internationally. The company operates through two segments, Banking and Insurance. It provides current, savings, click, and salary accounts; real estate credit, vehicle financing, payroll loans, mortgage loans, microcredit, leasing, and personal and installment credit; overdraft and agribusiness loans; debit and business cards; financial and security services; consortium products; car, personal accident, dental, travel, and life insurance; investment products; pension products; foreign currency exchange services; capitalization bonds; and internet banking services.