Credicorp Ltd. (BAP) vs Banco Bradesco SA (BBDO)

Credicorp Ltd. and Banco Bradesco SA are both Banks Regional companies. Credicorp Ltd. and Banco Bradesco SA are of similar size ($30.4B and $28.5B). Banco Bradesco SA trades at the lower P/E: 7.3× against 14.3×. Banco Bradesco SA grew revenue faster over the last twelve months: 35.6% against 12.1%. Credicorp Ltd. has the higher net margin (26.3% vs 7.16%) and the lower return on invested capital (173.4% vs 886.7%). Both pay a dividend; Banco Bradesco SA yields more (7.28% vs 5.22%). Across the 20 metrics below, Banco Bradesco SA leads on 11 and Credicorp Ltd. on 9.

Valuation

Metric BAP BBDO Banks Regional median
P/E 14.33 7.33 12.15
P/S 3.75 0.51 2.37
P/B 2.71 0.90 1.21
Price to free cash flow 4.82 27.72 10.80
EV/EBITDA n/m n/m —
EV/Sales 2.51 (0.05) 2.27
Earnings yield 6.98% 13.64% 8.11%
Free cash flow yield 20.77% 3.61% 8.98%

Profitability

Metric BAP BBDO Banks Regional median
Gross margin 81.63% 35.95% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 26.34% 7.16% 18.66%
Free cash flow margin 0.00% 1.82% 21.18%
Return on equity 20.60% 13.76% 10.64%
Return on assets 2.86% 1.06% 1.13%
Return on invested capital 173.44% 886.68% 8.33%

Growth

Metric BAP BBDO Banks Regional median
Revenue growth (TTM) 12.06% 35.61% 6.61%
EPS growth (last fiscal year) 32.41% 31.03% —
Revenue growth, 5-year CAGR 9.83% 16.20% 12.30%
Net income growth, 5-year CAGR 81.29% 5.72% 9.71%

Health

Metric BAP BBDO Banks Regional median
Debt to equity 0.38 2.93 0.22
Current ratio 1.06 1.48 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric BAP BBDO Banks Regional median
Dividend yield 5.22% 7.28% 3.75%
Payout ratio 0.40 0.67 0.27

Size

Metric BAP BBDO Banks Regional median
Market cap 30.42b 28.51b 921.07m

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