Advertisement
BBDO vs ITUB
Which Stock Would AI Choose? Banco Bradesco (BBDO) vs. Itaú Unibanco (ITUB) Stock Comparison
Key Takeaways
- Both BBDO and ITUB are American Depositary Receipts (ADRs, U.S.-listed securities representing shares in foreign companies) of Brazil's largest private-sector banks, making this a direct comparison within the same market.
- BBDO (Banco Bradesco) is executing a turnaround, with double-digit loan growth and a completed capital increase, but it carries a lower return on equity (ROE, a measure of profitability relative to shareholder capital) than its rival.
- ITUB (Itaú Unibanco) is the larger, more consistently profitable bank, with an ROE near 25% and a broader regional footprint.
- Both stocks were pressured in recent weeks by a sharp selloff across Brazilian financial assets following an unexpected presidential election outcome.
- Tickeron AI Verdict: ITUB — Itaú Unibanco is favored for its stronger trend consistency, higher profitability, and more stable market positioning relative to Bradesco.
- For additional context, explore BBDO Major News and BBDO Today's Price Move, as well as ITUB Major News and ITUB Today's Price Move.
- To see how AI trading systems are positioning across the market, explore Trending AI Robots.
Introduction
Investors seeking exposure to Latin America's largest economy frequently weigh the merits of Brazil's two heavyweight banks. BBDO and ITUB represent the ADRs of Banco Bradesco and Itaú Unibanco, respectively, two institutions that dominate Brazilian retail and wholesale banking. This comparison is relevant for value-oriented investors drawn to high dividend yields and discounted valuations, as well as for traders monitoring how political and macroeconomic events reshape Brazilian equities. While both companies share the same sector and national economy, their profitability profiles, growth trajectories, and recent price behavior differ meaningfully — differences that inform how an AI-driven framework might rank one ticker over the other.
BBDO Overview and Recent Performance
Banco Bradesco, traded as BBDO, is one of Brazil's largest banking and insurance groups, serving individual, middle-market, and corporate clients. Recent market activity has highlighted both its progress and its volatility. The bank has reported double-digit year-over-year loan growth and completed a roughly R$10 billion (Brazilian reais) capital increase, reflecting efforts to strengthen its balance sheet and support lending. Earnings releases showed revenue and net income expanding, though return on equity has remained below that of its closest large-bank peer, and adjusted earnings per share (EPS, profit allocated to each share) has at times landed near or slightly below consensus expectations.
Sentiment has been mixed. Several sell-side firms downgraded Bradesco in recent weeks, citing a more challenging earnings outlook and a rapid re-rating in the shares. The stock had staged a sharp rally earlier in the period before giving back much of those gains, underscoring thin-trading conditions and sensitivity to Brazil's political climate. Broader repricing of Brazilian financial assets, tied to an unexpected presidential election result, added further downward pressure to the ADR.
ITUB Overview and Recent Performance
Itaú Unibanco, traded as ITUB, is the largest private-sector bank in Brazil and operates across multiple Latin American countries, including Chile, Colombia, Argentina, Uruguay, and Paraguay. Its scale and diversified model — spanning retail and wholesale banking, insurance, and asset management — have supported a return on equity near 25%, well above the domestic average. Recent developments include conditional preliminary approval to establish a national bank in the United States, a step that signals international expansion ambitions, as well as moves into digital assets through cryptocurrency trading registration.
In recent weeks, ITUB has also felt the effects of the broad selloff in Brazilian equities triggered by the election surprise, with the ADR declining alongside peers. Still, the bank's profitability, larger scale, and geographic diversification provide a comparatively more stable earnings base. Analyst coverage has remained broadly constructive, with a consensus "Buy" rating and price targets implying meaningful upside, even as a minority of analysts trimmed their outlooks.
Trending AI Robots
Tickeron's Trending AI Robots page curates a selection of the platform's strongest-performing automated trading systems from a universe of hundreds of AI Trading Bots that monitor thousands of different tickers. Only the bots best suited to current market conditions earn a place in this curated section. These bots employ varied trading styles, strategies, timeframes, performance statistics, and sets of tickers, allowing users to compare approaches rather than rely on a single system. The featured robots are evaluated for their adaptability to prevailing volatility and trend conditions, making the page a useful starting point for traders researching systematic strategies. Explore Trending AI Robots to review how these data-driven systems are currently positioned.
Head-to-Head Comparison
The core trade-off between these two banks is turnaround momentum versus structural quality. BBDO offers a more pronounced recovery narrative: a lower valuation, a higher dividend yield, and improving loan volumes that could support earnings if execution continues. However, its lower return on equity and heavier exposure to recent analyst downgrades reflect lingering questions about efficiency and credit quality. ITUB presents the opposite profile — superior profitability, larger scale, and geographic diversification, but at a richer valuation relative to earnings and book value.
Both companies face shared macro risks, including Brazil's interest-rate environment, currency volatility, and political uncertainty that can move the entire banking sector. From a market-sentiment standpoint, Bradesco's shares have been more volatile in recent weeks, while Itaú's more consistent earnings power has historically translated into steadier trend behavior. Sector exposure is identical — Brazilian financials — but risk profiles diverge, with Bradesco carrying higher execution risk and Itaú carrying greater exposure to a premium valuation.
Tickeron AI Verdict
Based on observable factors such as trend consistency, profitability, and relative market positioning, Tickeron's AI framework would currently lean toward ITUB. Itaú Unibanco's superior return on equity, broader revenue diversification, and historically more stable price trend tend to register as favorable signals in systematic, trend-following models. While Bradesco's turnaround and elevated dividend yield present a compelling value case, its higher volatility and less consistent profitability profile introduce comparatively more uncertainty. Accordingly, the AI verdict favors ITUB on a probabilistic basis, with the understanding that market conditions and incoming data can shift this assessment over time.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is BBDO is a StrongBuy and ITUB is a Hold.
BBDO in upward trend: price expected to rise as it breaks its lower Bollinger Band on October 26, 2026
BBDO may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 25 of 31 cases where BBDO's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 81%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an Uptrend is expected.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
The 50-day moving average for BBDO moved above the 200-day moving average on October 08, 2026. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a +5.32% 3-day Advance, the price is estimated to grow further. Considering data from situations where BBDO advanced for three days, in 196 of 273 cases, the price rose further within the following month. The odds of a continued upward trend are 72%.
The Aroon Indicator entered an Uptrend today. In 190 of 243 cases where BBDO Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 78%.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 19, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on BBDO as a result. In 66 of 103 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 64%.
The Moving Average Convergence Divergence Histogram (MACD) for BBDO turned negative on October 19, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 50 similar instances when the indicator turned negative. In 34 of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at 68%.
BBDO moved below its 50-day moving average on October 26, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for BBDO crossed bearishly below the 50-day moving average on October 30, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 13 of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 90%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BBDO declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 66%.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 1 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 13 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: BBDO's P/B Ratio (0.137) is slightly lower than the industry average of (1.271). P/E Ratio (1.073) is within average values for comparable stocks, (13.500). Projected Growth (PEG Ratio) (1.472) is also within normal values, averaging (1.190). BBDO has a moderately high Dividend Yield (0.091) as compared to the industry average of (0.036). BBDO's P/S Ratio (1.385) is slightly lower than the industry average of (3.738).
The Tickeron Price Growth Rating for this company is 77 (best 1 - 100 worst), indicating slightly worse than average price growth. BBDO’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 87 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BBDO’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 56, placing this stock worse than average.
The Tickeron PE Growth Rating for this company is 96 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
ITUB sees MACD Histogram crosses below signal line
ITUB saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on October 19, 2026. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 42 instances where the indicator turned negative. In 28 of the 42 cases the stock moved lower in the days that followed. This puts the odds of a downward move at 67%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 19, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on ITUB as a result. In 44 of 73 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 60%.
ITUB moved below its 50-day moving average on October 26, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for ITUB crossed bearishly below the 50-day moving average on November 02, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 9 of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 64%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ITUB declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 59%.
The Aroon Indicator for ITUB entered a downward trend on November 03, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an Uptrend is expected.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
The 50-day moving average for ITUB moved above the 200-day moving average on October 14, 2026. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a +4.31% 3-day Advance, the price is estimated to grow further. Considering data from situations where ITUB advanced for three days, in 219 of 304 cases, the price rose further within the following month. The odds of a continued upward trend are 72%.
ITUB may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 2 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 22 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: ITUB's P/B Ratio (0.357) is slightly lower than the industry average of (1.271). P/E Ratio (1.663) is within average values for comparable stocks, (13.500). Projected Growth (PEG Ratio) (1.274) is also within normal values, averaging (1.190). Dividend Yield (0.002) settles around the average of (0.036) among similar stocks. P/S Ratio (2.806) is also within normal values, averaging (3.738).
The Tickeron Profit vs. Risk Rating rating for this company is 28 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 56, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 61 (best 1 - 100 worst), indicating fairly steady price growth. ITUB’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 96 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
BBDO | ITUB | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 72 | 69 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 13 Undervalued | 22 Undervalued | |
PROFIT vs RISK RATING 1..100 | 87 | 28 | |
SMR RATING 1..100 | 1 | 2 | |
PRICE GROWTH RATING 1..100 | 77 | 61 | |
P/E GROWTH RATING 1..100 | 96 | 96 | |
SEASONALITY SCORE 1..100 | 65 | 65 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
BBDO's Valuation (13) in the Major Banks industry is in the same range as ITUB (22). This means that BBDO’s stock grew similarly to ITUB’s over the last 12 months.
ITUB's Profit vs Risk Rating (28) in the Major Banks industry is somewhat better than the same rating for BBDO (87). This means that ITUB’s stock grew somewhat faster than BBDO’s over the last 12 months.
BBDO's SMR Rating (1) in the Major Banks industry is in the same range as ITUB (2). This means that BBDO’s stock grew similarly to ITUB’s over the last 12 months.
ITUB's Price Growth Rating (61) in the Major Banks industry is in the same range as BBDO (77). This means that ITUB’s stock grew similarly to BBDO’s over the last 12 months.
ITUB's P/E Growth Rating (96) in the Major Banks industry is in the same range as BBDO (96). This means that ITUB’s stock grew similarly to BBDO’s over the last 12 months.
| BBDO | ITUB | |
|---|---|---|
| RSI ODDS (%) | 2 days ago 77% | 2 days ago 73% |
| Stochastic ODDS (%) | 2 days ago 68% | 2 days ago 65% |
| Momentum ODDS (%) | 2 days ago 64% | 2 days ago 60% |
| MACD ODDS (%) | 2 days ago 68% | 2 days ago 67% |
| TrendWeek ODDS (%) | 2 days ago 69% | 2 days ago 60% |
| TrendMonth ODDS (%) | 2 days ago 62% | 2 days ago 54% |
| Advances ODDS (%) | 15 days ago 72% | 27 days ago 72% |
| Declines ODDS (%) | 6 days ago 66% | 6 days ago 59% |
| BollingerBands ODDS (%) | 2 days ago 81% | 2 days ago 68% |
| Aroon ODDS (%) | 2 days ago 78% | 2 days ago 47% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
BBDO’s FA Score shows that 2 FA rating(s) are green while ITUB’s FA Score has 3 green FA rating(s).
- BBDO’s FA Score: 2 green, 3 red.
- ITUB’s FA Score: 3 green, 2 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
BBDO’s TA Score shows that 6 TA indicator(s) are bullish while ITUB’s TA Score has 5 bullish TA indicator(s).
- BBDO’s TA Score: 6 bullish, 5 bearish.
- ITUB’s TA Score: 5 bullish, 6 bearish.
Price Growth
BBDO (@Regional Banks) experienced а -14.86% price change this week, while ITUB (@Regional Banks) price change was -8.08% for the same time period.
The average weekly price growth across all stocks in the @Regional Banks industry was +1.76%. For the same industry, the average monthly price growth was +2.58%, and the average quarterly price growth was +9.30%.
Reported Earning Dates
ITUB is expected to report earnings on Feb 10, 2027.
Industries' Descriptions
@Regional Banks (+1.76% weekly)Regional banks have a smaller reach than major banks, and cater mostly to one region of a country, such as a state or within a group of states. They offer services often similar – albeit with some limitations/smaller scale – compared to major banks. Taking deposits, making loans, mortgages, leases, credit cards , fund management, insurance and investment banking. SunTrust Banks, State Street Corp., M&T Bank Corp. are some examples of U.S. regional banks.
Advertisement
ITUB and
Correlation & Price change
A.I.dvisor indicates that over the last year, ITUB has been loosely correlated with INTR. These tickers have moved in lockstep 64% of the time. This A.I.-generated data suggests there is some statistical probability that if ITUB jumps, then INTR could also see price increases.
| Ticker / NAME | Correlation To ITUB | 1D Price Change % | ||
|---|---|---|---|---|
| ITUB | 100% | -1.67% | ||
| INTR - ITUB | 64% Loosely correlated | -2.98% | ||
| BBDO - ITUB | 59% Loosely correlated | -3.29% | ||
| LYG - ITUB | 47% Loosely correlated | -1.19% | ||
| NU - ITUB | 45% Loosely correlated | -0.09% | ||
| SHG - ITUB | 44% Loosely correlated | -1.60% | ||
More | ||||