What Does Shorts Really Think About Banco Bradesco S.A. (BBD)?

Banco Bradesco S.A. (BBD) will probably climb -9.32 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $12.92-month high price target. This represents a whopping 15.77 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $10.21, which represents a return potential of -8.51 percent when compared to the closing price of the stock of $11.16 on Friday, January 11. The lowest price target for the stock is $5 — slightly more than -55.2 percent from BBD’s current share price.

The stock is currently hovering around the first support level of $11.04. Below this, the next support is placed in the zone of $10.93. Till the time, the BBD stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 70.08 on daily chart, which may remain a cause for concern. If the price breaks below $10.93 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $11.24 mark may result into a pull-back move towards $11.33 level.

On 11th of January, Banco Bradesco S.A. (NYSE:BBD) shares ended lower after a volatile session. The shares dropped -0.08 points or -0.71 percent at $11.16 with a light trade volume of 11.117 million shares. After opening the session at $11.06, the shares went as high as $11.21 and as low as $11.01, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $74.7 billion and now has 6.69 billion shares outstanding. Banco Bradesco S.A. (BBD) stock has gained 19.32 percent of market value in 21 trading days.

BBD stock has a trailing 3-year beta of 0, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $0.7 a share in the trailing twelve months. The stock’s value has surged 12.89 percent year to date (YTD) against a rise of 18.45 percent in 12 month’s time. The company’s shares still trade -3.57 percent away from its 1-year high of $11.57 and 76.58 percent up from 52-week low of $6.32. The average consensus rating on the company is 2.3, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Banco Bradesco S.A. (BBD) are trading at a P/E ratio of 13.39 times earnings reported for the past 12 months. The industry BBD operates in has an average P/E of 18.6. Its P/E ratio went as low as 4.8X and as high as 12.01 over the 5-year span. Further, it is sporting a 5.03 on the Price-to-Sales ratio. Compare this with the industry average P/S of 7.82. 0 percent is the gross profit margin for Banco Bradesco S.A. and operating margin sits at 0 percent. Along with this, the net profit margin is 0 percent.

Let’s take a look at some insider activity at Banco Bradesco S.A. (NYSE:BBD) and see the pattern.