Banco Do Brasil (OTCMKTS:BDORY) Shares Gap Down – Here’s Why

Banco Do Brasil SA (OTCMKTS:BDORY) shares gapped down prior to trading on Friday . The stock had previously closed at $4.96, but opened at $4.71. Banco Do Brasil shares last traded at $4.81, with a volume of 461,627 shares changing hands.

Trending Headlines about Banco Do Brasil

Here are the key news stories impacting Banco Do Brasil this week:

• Positive Sentiment: Quarterly beat — Banco do Brasil reported stronger‑than‑expected 4Q results (EPS US$0.19 vs. consensus US$0.13; revenue R$8.61b vs. est. R$7.41b), showing better operating performance than feared. This explains some buying interest and supports near‑term earnings confidence. Earnings release
• Positive Sentiment: Management outlook — the bank said adjusted net profit could rebound up to ~26% in 2026, signaling management expects improvements next year and giving investors a recovery thesis beyond 2025 weakness. Reuters: profits rebounding
• Neutral Sentiment: Market reaction mixed — Brazil‑listed BBAS3 spiked intraday after the quarter but analysts quickly flagged structural headwinds; short‑term volatility likely as traders weigh the beat vs. recurring weaknesses. Valor Investe: shares jump after results
• Negative Sentiment: Large credit shock — Braskem reportedly defaulted on ~R$3.6 billion owed to Banco do Brasil, creating near‑term credit risk and potential provisioning needs that can pressure earnings and capital. Tribuna Hoje: Braskem default
• Negative Sentiment: Profit slump — Full‑year 2025 net income fell sharply (≈R$20.7bn, down ~45% year‑over‑year) and 4Q profit dropped ~40% versus prior year, underlining that the beat was relative to low expectations and that earnings power is impaired. That explains investor caution despite the quarter beat. Gazeta Digital: FY2025 profit down 45%
• Negative Sentiment: Sector and macro headwinds — management and reporters flagged a challenging 2026 outlook driven by agricultural sector stress and other headwinds, which could pressure loan performance and fee income going forward. Agência Brasil: forecasts challenging 2026

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. Citigroup downgraded shares of Banco Do Brasil from a “strong-buy” rating to a “hold” rating in a research note on Thursday, November 13th. Zacks Research upgraded shares of Banco Do Brasil from a “strong sell” rating to a “hold” rating in a report on Monday, February 2nd. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat, the company has an average rating of “Hold”.

Banco Do Brasil Trading Down 1.7%

The company has a current ratio of 1.00, a quick ratio of 0.99 and a debt-to-equity ratio of 1.97. The firm has a market capitalization of $27.93 billion, a price-to-earnings ratio of 11.33 and a beta of 0.39. The firm’s 50-day moving average is $4.27 and its 200 day moving average is $4.09.

Banco Do Brasil (OTCMKTS:BDORY) last announced its quarterly earnings results on Wednesday, February 11th. The financial services provider reported $0.19 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.13 by $0.06. The firm had revenue of $8.61 billion during the quarter, compared to analysts’ expectations of $7.41 billion. Banco Do Brasil had a net margin of 3.76% and a return on equity of 11.21%. On average, equities analysts predict that Banco Do Brasil SA will post 1.08 earnings per share for the current fiscal year.

Banco Do Brasil Company Profile

Banco do Brasil SA is one of Brazil’s largest and oldest financial institutions, founded in 1808. As a state-controlled commercial bank with a long history in the country’s financial system, it provides a broad range of universal banking services to individual, corporate and public-sector clients. The bank’s activities include retail banking, corporate and commercial lending, asset management, investment banking, treasury and capital markets operations, trade finance and international banking services.

Banco do Brasil offers a full suite of products such as deposit accounts, payment and cash management services, mortgages and consumer credit, credit cards, leasing and structured finance, as well as insurance and pension products through affiliated businesses.