THE BB Security (BBSE3) was one of the positive highlights of the day and week, with the stock jumping 9.4% in the last five days.
In this session, the paper rose 4.21%, to R$ 27.5. earlier, the JPMorgan raised the paper’s recommendation from neutral to buy, with a target price of R$31, potential for an increase of another 12%.
According to analysts, the stock has a “defensive play” with the worsening economy, that is, without risk of non-performing credit (NPL). In addition, the company benefits from the Selic higher and revenue accrual accounting provides support for the role.
“We see strong earnings momentum ahead, as indicated by regulator data.”
This week, the BB Security reported growth of 19.8% in premiums issued in May compared to the same period last year, to 1.235 billion reais, with emphasis on the rural and credit life segments.
For Filipe Fradinho, from Vitreousthe data reinforce that the company will present a good result in the second quarter.
according to bank of americathe data are positive for the BBSE, as the premium growth accelerated sequentially and the loss ratio is lower than expected.
“The financial result was better than expected, explained by the positive impact of higher rates and a smaller gap between interest rates. inflationwhich was partially offset by the negative MtM due to the slope of the yield curve”, he states.
Also according to Fradinho, the action is attractive. “Insurance companies have a lot of cash and benefit from high interest rates”, he says.
Among the biggest drops, the Magazine Luiza lost 4.47%, in a new session of weakness among retailers, with Via retreating 3.23%.
| Company | High |
|---|---|
| Gerdau | 5.94% |
| Braskem | 5.33% |
| Gerdau | 4.92% |
| Usiminas | 4.10% |
| BB Security | 4.21% |
See the biggest drops
| Company | Fall |
|---|---|
| hapvida | 5.22% |
| CVC | 4.55% |
| Magazine Luiza | 4.47% |
| BRF | 4.43% |
| Eztec | 4.20% |
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Source: Moneytimes
I am an author at Global happenings and I mostly cover automobile news. In my time working in the automotive industry, I have developed a keen interest in the latest developments and trends. My writing skills have also allowed me to share my knowledge with others through articles and blog posts.
