Brazilian stock alert

BRAZ

CLOSING UPDATE: BB Seguridade Participacoes decreases 0.8% - underperforming 85% of stocks 17 October 2017 18:35 BRST

NEWS BITES - BRIC

This is an end of day Alert, produced after today's Brazilian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

BB Seguridade Participacoes, Brazil's largest insurance company by market capitalisation, has decreased 22.0 centavos (or 0.8%) today to trade at R$28.60 and has underperformed 85% of the market in the past one year. The present value of BRL1,000 invested one year ago is R$976 [vs R$1,214 for the Brazil Index 50], including a capital loss of R$80 and dividend reinvested of R$56. Compared with the Brazil Index 50 which fell 112.3 points (or 0.9%) in the day, this represented a relative price increase of 0.1%.

Technical indicators complementing today's significant downtrend:

+ The price dropped 3.0% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Price to Book of 6.9 [4.7]

Other Bearish Signals include:

+ Tobin's Q Ratio is 4.6. Compared with the rest of the market the stock is overvalued and ranks in the bottom 4% of stocks by value of Q Ratio.

Note

BB Seguridade Participacoes today is at a discount of 10.0% to the 12-month high of R$31.77 on 19 Oct, 2016. It is at a premium of 15.2% to the 12-month low of R$24.82 on 12 Dec, 2016.

Bullish Signals:

The positive 0.14 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

Total Liabilities/EBITDA of 0.9 is comfortably below the Joseph Piotroski benchmark of <5.

As per the Du Pont analysis, Return on Equity is high at 48.4%.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Dividend yield of 5.7% [4.8%]

Return on Equity 48.4% [27.4%]

Return on Assets 32% [9.6%]

TODAY'S ALERTS

Afternoon Alert: BB Seguridade Participacoes down 2.2% in 2 days

17 October 2017 14:08 BRST

BB Seguridade Participacoes SA (SA:BBSE3) extended its slide on Tuesday, shedding an additional 30.0 centavos (or 1.0%) to trade at R$28.52. Trading volume was 1.5 times average so far today. The shares have fallen 63.0 centavos (or 2.2%) over the past two trading days vs. the Brazil Index 50 which has fallen 1.0% in the same period.

Afternoon Alert: BB Seguridade Participacoes down 2.4% in 2 days

17 October 2017 12:10 BRST

BB Seguridade Participacoes SA (SA:BBSE3) extended its slide on Tuesday, shedding an additional 38.0 centavos (or 1.3%) to trade at R$28.44. Trading volume was 52% of average so far today. The shares have fallen 71.0 centavos (or 2.4%) over the past two trading days vs. the Brazil Index 50 which has fallen 0.8% in the same period.

BB Seguridade Participacoes SA (SA:BBSE3; SAO:BBSE3; BZ:BBSE3)

ISIN: BRBBSEACNOR5

PermID: 21523028356

Source: www.BuySellSignals.com