Banco Santander Brasil SA, Brazil’s third-biggest private bank, was rated “buy” in new coverage at BTG Pactual on the outlook for improved earnings next quarter.
“The re-rating catalysts will be quarterly earnings results, which we expect to show improving operational figures as early as 1Q10,” wrote analysts Eduardo Nishio and Eduardo Rosman in a note to clients. “Moreover, at this point, we see limited downside (de-rating) risk, and call current levels a compelling entry point.”
Santander Brasil is the Brazilian unit of Spain’s biggest bank.