Banco Bradesco S.A. (BBD)
Background: Banco Bradesco provides a range of banking and financial products and services to individuals; large, mid-sized, and small companies; and local and international corporations and institutions. It operates in two segments: Banking; and Insurance, Pension, and Capitalization Bonds.
52-Week Range: $13.17 to $19.09Book Value: $8.50 Price-to-Book Ratio: 2 Earnings Payout Percentage: 76% Shares have moved higher in the last month, with a 4.8% improvement.
Banco also provides investors with the ability to gain exposure to fast growing Brazil. While Brazil is not without issues, the government appears dedicated to making the right social and market-driving choices to ensure future prosperity. Banco is well positioned to capture the growth. Shareholders receive 12 cents annually in dividend payments. The yield based on a recent price is 0.8%. The current yield isn't enough to write home about, but I like the historic increases in dividend, as well as the diversification into South America. The stock has traded in a wide range for the past year, so this is one I would buy only on dips. Keep Banco on your radar, though, and pay close attention for a dip to less than $16 a share. There is almost zero desire by short sellers to move against this stock. Short interest hardly moves the needle, accounting for only 1% of float.