Banco Bradesco Preference Shares (BBDC4: R$18.28) hits two-month high on firm volume 04 August 2022

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Banco Bradesco SA (SA:BBDC4), Brazil's 2nd largest Bank by market cap, traded at its 42-day high of R$18.43. The last time the price hit that level was on Jun 23.

Banco Bradesco Preference Shares' preference stock price has increased 33.0 centavos (1.8%) from its previous trading session to close at R$18.28. Compared with the Bovespa Index which rose 2,119.1 points (2%) in the day, the relative price increase was 0.5%.

There were 46,090,000 preference shares worth R$842.5 million ($159.8 million) traded today. Thursday's price rise was propped up by firm volume of 1.2 times the average daily volume of 39.7 million preference shares.

BANCO BRADESCO PREFERENCE SHARES Stock Dashboard (traded in Brazilian Real, BRL)

ExchangeBRAZILIANAve Daily Volume39,703,084 shares
Currency1.000 USD = 5.273 Brazilian Real (BRL)52-Week Range16.16 - 21.17
Aug 04, 2022BRL18.28SectorBank
P/E (FY2021)9.3Market CapBRL89 billion [$17 billion]
EPS (FY2021)BRL2Shares Outstanding4,848,500,325
Dividend Yield (TTM)3.3%BBDC4 in IndicesBovespa, Special Tag
DPS (past 12 months)91 centavosIndependent Sector comparison by Dividend Yield % (TTM)Stock: 3.32; Sector: 5.28. 37.1% Premium to sector av
EPS Growth (FY2021 vs FY2020)32.7%Independent Sector comparison by P/EStock: 9.35; Sector: 3.97. 57.5% Premium to sector av

ex-Dividend since Aug 2

BANCO BRADESCO PREFERENCE SHARES EX-DIVIDENDS SINCE AUG 2

The preference shares climbed 3.5% in the 2 trading sessions since the ex-dividend date of August 02. The company paid a dividend of 1.90 centavos per share. Based on dividends of 60.71 centavos per share for the trailing twelve months and the last price of R$18.28 the dividend yield is 3.3%.

Bullish Turning Point

Price/MAP50

The P/MAP [Price/Moving Average Price] was previously below 1 and falling. These were bearish indicators. Banco Bradesco Preference Shares's stock is now trading above its 50 day MAP at R$18.04, a bullish indicator.

Stock vs Index (Annual Percentage Change)

December 31Share price of Banco Bradesco SAof Bovespa Index
2021-19.0-11.9
2020-14.82.9
201919.132.3
201829.914.7
201727.521.8

Banco Bradesco SA has outperformed the Bovespa Index in 2 of the past 5 years

years: 2018,2017;2 of the past 5 years

INDEX

SECTION 1 THE PAST QUARTER: PRESS RELEASES AND CORPORATE WIRE

SECTION 2 TODAY'S BULLISH SIGNALS

SECTION 3 ONGOING BULLISH PARAMETERS

SECTION 4 TODAY'S BEARISH SIGNALS

SECTION 5 ONGOING BEARISH PARAMETERS

SECTION 6 CORPORATE PROFILE

SECTION 7 BANK METRICS

SECTION 8 DIVIDEND

SECTION 9 TOP MANAGEMENT

SECTION 10 BOARD OF DIRECTORS

SECTION 11 TOP SHAREHOLDERS

SECTION 12 CURRENCY SYNOPSIS: BRAZILIAN REAL (BRL)

SECTION 13 STOCK IDENTIFIERS

GLOSSARY

DATA & ARCHIVE DOWNLOAD CENTER

BBDC4: EXCEL TABLES ARE AVAILABLE TO EXPORT DATA:

+ PRICE VOLUME - 5-YEAR HISTORY

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+ NEWS ARCHIVES - BBDC4 PAST 4 YEARS IN HTML:

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+ USD vs BRL EXCHANGE RATE CHARTS IN HTML

+ BOARD OF DIRECTORS

SECTION 1 THE PAST QUARTER: PRESS RELEASES AND CORPORATE WIRE

August 02: Banco Bradesco Preference Shares announces dividend

Banco Bradesco Preference Shares today announced a special dividend of 1.90 centavos per share. The ex-dividend date is Tuesday, August 02, 2022 and the record date is Monday, August 01, 2022 and it is payable on Thursday, September 01.

July 04: Banco Bradesco Preference Shares announces dividend

Banco Bradesco Preference Shares today announced a cash dividend of 1.90 centavos per share. The ex-dividend date is Monday, July 04, 2022 and the record date is Friday, July 01, 2022 and it is payable on Monday, August 01.

June 06: Banco Bradesco Preference Shares announces dividend

Banco Bradesco Preference Shares today announced a cash dividend of 1.90 centavos per share. The ex-dividend date is Thursday, June 02, 2022 and the record date is Wednesday, June 01, 2022 and it is payable on Friday, July 01.

May 09: Banco Bradesco Preference Shares announces dividend

Banco Bradesco Preference Shares today announced a cash dividend of 1.90 centavos per share. The ex-dividend date is Tuesday, May 03, 2022 and the record date is Monday, May 02, 2022 and it is payable on Wednesday, June 01.

SECTION 2 TODAY'S BULLISH SIGNALS

2.1 PAST WEEK: WEAK MOMENTUM UP - BBDC4 adds 5.2% on volume 0.8 times average

The price ranged between a low of R$17.37 on Monday Aug 01 and a high of R$18.28 on Thursday Aug 04.

DateBanco Bradesco Preference SharesClose [BRL]Change %RPC % *Comment
Fri Jul 29Offers earnings yield of 11.2%, hits 30-day high17.420.3-0.3Rises for a third consecutive day
Mon Aug 01Falls17.37-0.30.6Week-low of 17.37; Steepest Fall
Tue Aug 02Offers earnings yield of 11.1%, hits 34-day high17.671.70.6
Wed Aug 03Adds R$1 billion ($259 million) (1.6%) in MCap, top heavyweight rise in Bank sector17.951.61.2Rises for a second consecutive day
Thu Aug 04Offers earnings yield of 10.7%, hits 42-day high18.281.80.5Week-high of 18.28; Top Rise; VI*=1.2

* RPC - Relative Price Change is % price change of stock less % change of the Bovespa Index.

[Volume Index (VI); 1 is average]

2.2 Uptrend

Positive MACD:

- The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 17.53 minus the 26-day EMA of 17.51 is positive, suggesting a bullish signal. Both the 12-day EMA as well as the 26-day EMA are rising, another bullish signal.

Past Month:

- Rises to Falls: In the past month the number of rises outnumbered falls 15:9 or 1.7:1.

Past Quarter:

The Best 3 weeks in the past quarter

In the past quarter the week beginning Monday May 09 saw the highest weekly rise of 6.1% for a relative price increase of 4.4%.

Mon-FriChange %Bovespa Index Change %RPC %Vol Ind [1 is avg]
May 09-136.11.74.41.1
May 23-274.63.21.40.9
Jul 18-223.72.51.30.8

2.3 Undervaluation

Price/Earnings:

Banco Bradesco Preference Shares stock is trading at the eleventh lowest P/E multiple in the Bovespa Index.

Dividend Yield:

Banco Bradesco Preference Shares stock is the Twenty-fourth highest dividend yielding stock in the Bovespa Index.

2.4 Other Bullish Signals

- Net profit margin has averaged 36.6% in the last 3 years. This is considered superior and suggests a high margin of safety.

- As per the Du Pont analysis, Return on Equity of 14.8% is better than sector average of 14.0%. This is computed as net profit margin of 37.8% times asset turnover [sales/assets] of 0.04 times leverage factor [total assets/shareholders' equity] of 11.2.

SECTION 3 ONGOING BULLISH PARAMETERS

3.1 EPS growth [FY2021 vs FY2020] of 32.7%:

FYEPS (R$)Growth %
20212.1532.7
20201.62-26.7

3.2 Rule of 40

The stock scores a favorable score exceeding 40 when using the Rule of 40 (Revenue Growth plus EBITDA margin). Y.o.y revenue growth of 84%, EBITDA margin is 52.5% and the sum of the two 137% needs to exceed 40%.

3.3 Rank in the top 19% by Performance in the Brazilian market

DescriptionValueRank
EBITDA Margin %52.5In Top 18%
Net Profit Margin %37.8In Top 19%

3.4 Present Value of R$1000 Invested in the Past 3 Months; The Best Period with PVR$1000 > 1,024

PVR$1,0003 mo ago
BBDC4.SAR$1,025
Bank sectorR$993
Bovespa IndexR$983

3.5 Past quarter: price rise of 1.1%

3-Month price change of 1.1% for Banco Bradesco Preference Shares outperformed the change of 0.7% in the Bovespa Index for a relative price change of 0.4%.

Price Change %Quarter
Banco Bradesco Preference Shares1.1
Bank sector-0.7
Bovespa Index0.7

3.6 Annualised Period-based Total preference Shareholder Returns [TSR %]: The Best Periods with TSR > 9.7%

TSR %5 yrs10 yrs
BBDC4.SA9.811.8

3.7 P/E/G < 1

The price earnings ratio of 9.3 divided by trailing twelve months eps growth of 32.7% corresponds to an attractive P/E/G of 0.3 times; being less than the value benchmark of 1.0.

EPS Growth (%)32.72
P/E/G0.29
P/E9.35

3.8 Improved EBIT Margins:

EBIT margin is positive and has increased from 16.2% to 52.5% in the past year.

FYEBIT Margins (%)
202152.5
202016.2
201913.9

3.9 Increased Volume, up 256% in 5 years

In the past five years, Average Daily Volume of Trading (ADVT) has increased 255.5% to 39.7 million preference shares.

Avg. Daily Volume Traded 12 months ended Aug 04, million preference shares

YearADVT
202239.7
202140.5
202029.1
201914.3
201811.2

3.10 Increased VWAP, up 13% in 5 years

In the past five years Volume Weighted Average Price (VWAP) has increased by 12.7% to R$18.57. .

Past five years, 12 months ended Aug 04 (BRL)

YearHigh PriceVWAPLow Price
202221.1718.5716.16
202124.7919.2614.66
202026.0918.2511.95
201926.1921.014.4
201820.016.4812.97

3.11 Increased preference share turnover, up 143% in 5 years

In the past five years, average daily preference share turnover has increased 143.3% to R$737.3 million ($139.8 million). This suggests increased liquidity.

Past five years, 12 months ended Aug 04 (BRL million)

YearAverage Daily Turnover
2022737.3
2021904.0
2020673.9
2019437.5
2018303.0

3.12 Satisfies one criterion of Benjamin Graham

- The P/E of 9.3 multiplied by the P/NTA of 0.8 is 7.4. Being less than the Benjamin Graham benchmark of 22.5 the preference stock appears undervalued.

SECTION 4 TODAY'S BEARISH SIGNALS

4.1 Downtrend

Past Quarter:

- In the last three months the preference stock has hit a new 52-week low twice.

Trailing Relative Strength (6 months) at 45 percentile:

- The preference stock has a 6-month relative strength of 45 in the Brazilian market of 184 stocks and 75 preference stocks which means it has underperformed 55% of the market.

4.2 Overvaluation

Price/Earnings of 9.3 > sector avg of 4.0:

- The price-to-earnings ratio of 9.3 indicates overvaluation compared with sector average of 4.0 and market average of 4.6.

- Earnings yield of 10.7% is less attractive compared with the Brazilian average earning yield of 21.8%.

- The earnings yield of 10.7% is below the 10-year bond yield of 12.8%.

(All figures in %)

Earnings Yield10.7
Brazilian avg21.8
Dividend Yield3.3
Bond Yield12.8

The Dividend Yield of 3.3% is worse than the Index average of 8.9%

- The relative yield of the preference stock, defined by its yield of 3.3%, divided by average yield of dividend yielding preference stocks in the Bovespa Index of 8.9% is 37.1%. This suggests the preference stock is overvalued in dividend yield terms.

4.3 Overbought/Bearish/Resistance Signals:

- At R$18.28 the price has risen above the upper Bollinger band resistance of R$18.13, indicating a downside risk for it to fall back within the band.

- The Relative Strength Index (RSI) of 80.2 has penetrated the overbought line of 70, suggesting the price gain of 9.9% in the last 14 days is unusually high.

- The preference stock is overbought according to the Williams % R indicator of -7.5, suggesting the price is close to its 14-day high of R$18.43.

- The Money Flow Index [MFI] is 80.8 suggesting an overbought 14-day trend, being above 80. The Money Ratio of 4.2 suggests positive money flow was 4.2 times negative money flow.

SECTION 5 ONGOING BEARISH PARAMETERS

5.1 Present Value of R$1000 Invested in the Past [1 Yr, 3 Yrs]; The Worst Periods with PVR$1000 < 941

PVR$1,0001 yr ago3 yrs ago
BBDC4.SAR$916R$940
Bank sectorR$844R$733
Bovespa IndexR$869R$1,032

5.2 Past 3 years: price fall of 18.7%

3-Year price change of -18.7% for Banco Bradesco Preference Shares underperformed the change of 3.2% in the Bovespa Index for a relative price change of -21.9%.

Price Change %3 Years
Banco Bradesco Preference Shares-18.7
Bank sector-26.7
Bovespa Index3.2

5.3 Moving Annual Return of -8.4% in the past year:

Moving Annual Return was -8.4% in the past year. Based on a dynamic start date of 5 years ago, the real rate of return has averaged 12.3%

BBDC4Close (BRL)Dividends (BRL)Capital Gain / (Loss) %% YieldAnnual Return %
Aug 0418.280.61(11.4)2.9(8.4)
1 Yr ago20.631.0521.86.228.0
2 Yrs ago16.931.42(24.7)6.3(18.4)
3 Yrs ago22.490.7532.24.436.6
4 Yrs ago17.010.7318.65.123.6

Close 5 years ago R$14.35

Prices are adjusted for a bonus share. On April 19, 2022 shareholders received 1 additional share for every 10 shares held prior to that date.

5.4 MCap: 5-Year Decrease of R$6 billion [$1 billion] (6%)

In the past 5 years Market Capitalization has decreased by R$5.9 billion (6%) from R$94.5 billion to R$88.6 billion. Based on a dynamic start date of 5 years ago, there have been declines in MCap in 3 out of 5 years.

PriceMCap (BRL B)MCap ($ B)
LastR$18.2888.616.8
1 Year agoR$20.63113.721.7
2 Years agoR$16.9398.518.9
3 Years agoR$22.49138.236
4 Years agoR$17.01107.928.8
5 Years agoR$14.3594.530.2

5.5 Banco Bradesco Preference Shares sees dividend fall for a second consecutive year

Banco Bradesco Preference Shares reported dividends per share of 60.71 centavos in the past year, down 41.9% from the previous year. This is the second consecutive dividend decrease. In the past 2 years average annual compound growth rate of dividends was -34.7%.

5.6 Annualised Period-based Total preference Shareholder Returns [TSR %]: The Worst Periods with TSR < -1.9%

TSR %1 yr3 yrs
BBDC4.SA-8.3-2

5.7 Satisfies 3 out of 9 criteria of Joseph Piotroski [pass mark 5]:

- Positive net income.

- Return on Assets improvement [from 1% to 1.3%].

- Improvement in asset turnover [growth in revenue of 84.5 exceeded growth in assets of 3.9%].

But does not meet the following 6 criteria of Joseph Piotroski:

- Positive operating cashflow.

- Good quality of earnings [operating cashflow exceeds net income].

- Improvement in long-term debt to total assets.

- Improvement in current ratio.

- Total shares on issue unchanged (or reduction in total shares on issue).

- Improvement in gross margin.

SECTION 6 CORPORATE PROFILE

6.1 Activities

Banco Bradesco S.A. attracts deposits and offers commercial banking services. The Bank offers business loans, personal credit, mortgages, lease financing, mutual funds, securities brokerage, and Internet banking services. Bradesco operates in Brazil and Argentina, the United States, the Cayman Islands, and the United Kingdom. Bradesco offers credit cards, insurance, and pension funds. It is Brazil's 2nd largest Bank by market capitalisation.

6.2 Contact Details

Websitehttp://www.bradesco.com.br/
Physical AddressCidade de Deus s/n Vila Yara Osasco, SP 06029-900 Brazil
Phone(11)3684 3749
Fax(11)3684 2714
Email4000.mvargas@bradesco.com.br

6.3 Industry & Sector

Classification LevelName of Sector
Industry GroupBanking Services
IndustryBanks
Economic SectorFinancials
Business SectorBanking & Investment Services

SECTION 7 BANK METRICS

7.1 Bank Metrics (FY2021)

All values are in R$ billion

DescriptionFY2021FY2020Change
Provision2.6 2.6 Up 2.1%
Bank Other Revenue7.7 6 Up 28.1%

Favourable Changes:

- Bank Other Revenue up 28.1% from R$6b to R$7.7b

Unfavourable Changes:

- Provision up 2.1% from R$2.6b to R$2.6b

SECTION 8 DIVIDEND

8.1 Dividend History

In the past 2 years annual dividends have decreased by 3.3 centavos from 64.0 centavos to 60.7 centavos. Based on a start date of 2 years ago, there has been no rise in dividends over the last 2 years.

Date PaidValue ( centavos)Type
02 Aug 20221.9Special
04 Jul 20221.9Cash
21 Jun 202219.66Cash
02 Jun 20221.9Cash
03 May 20221.9Cash
03 Apr 20221.72Cash
03 Mar 20221.72Cash
02 Feb 20221.72Cash
04 Jan 20221.72Cash
21 Dec 202119.66Cash
02 Dec 20211.72Cash
02 Nov 20211.72Cash
04 Oct 20211.72Cash
02 Sep 20211.72Cash
Tr 12 Months60.68
2020 - 202163.96

SECTION 9 TOP MANAGEMENT

9.1 Top Management

Top Management

NameDesignation
Luiz Carlos Trabuco CappiChief Executive Officer
Mauricio Machado de MinasExecutive Vice President
Andre Rodrigues CanoExecutive Vice President
Octavio de Lazari JuniorExecutive Vice President
Alexandre da Silva GluherExecutive Vice President, Chief Risk Officer
Josue Augusto PanciniExecutive Vice President
Marcelo de Araujo NoronhaExecutive Vice President
Domingos Figueiredo de AbreuExecutive Vice President

9.2 Profiles of Top Management

Luiz Carlos Trabuco Cappi

CEO

Date and Place of Birth: October 6, 1951, in Marilia, SP.

Brief Professional Background: He began his career at Bradesco in 1969, being elected Officer in 1984, reaching the position of Executive Vice President in 1999. From 2003 to 2009 he held cumulatively the position of CEO of Grupo Bradesco Seguros, when, in 2009, he was elected CEO of Banco Bradesco.

Other Professional Experience: Current

Chief Executive Officer of the other companies of Bradesco Organization.

Vice Chairman of the Board of Directors of Banco Bradesco S.A.

Chairman of the Board of Representatives and President of the Board of Executive Officers of Confederacao Nacional das Instituicoes Financeiras - CNF (National Confederation of Financial Institutions).

Chairman of the Board of Directors of Elo Participacoes S.A.

Member of the Directing Council of the FEBRABAN - Federacao Brasileira de Bancos (Brazilian Banks Federation).

Member of the Strategic Committee of Vale S.A.

Previous

President of Bradesco Vida e Previdencia.

President of Grupo Segurador.

Chairman of the Board of Directors of Odontoprev S.A.

President of the Marketing and Capitation Committee of Associacao Brasileira das Entidades de Credito Imobiliario e Poupanca - ABECIP (Brazilian Association of Real Estate Credit and Savings).

President of ANAPP - Associacao Nacional da Previdencia Privada (National Association of Private Pension).

President of Federacao Nacional de Saude Suplementar - FENASAUDE (National Supplementary Health Federation).

Vice Chairman of the Board of Representatives of Confederacao Nacional das Instituicoes Financeiras - CNF.

Member of the Directing Council of Associacao Brasileira das Companhias Abertas - ABRASCA (Brazilian Association of Publicly-Held Corporations).

Member of the Board of Directors of ArcelorMittal Brasil (ex: Companhia Siderurgica Belgo-Mineira).

Member of the Superior Board and Vice President of Confederacao Nacional das Empresas de Seguros Gerais, Previdencia Privada e Vida, Saude Suplementar e Capitalizacao - CNSeg (National Confederation of Companies in General Insurance, Private Pension and Life, Health Insurance and Capitalization).

Sitting Member of the Association Internationale pour I'Etude de I'Economie de I'Assurance - Association de Geneve, Geneva, Switzerland.

Member of the Egregious Board of ANSP - Academia Nacional de Seguros e Previdencia.

Member of Brazil - USA Forum (organized by the Ministry of Development, Industry and Foreign Trade)

Degree:

Graduated from Faculdade de Filosofia, Ciencias e Letras de Sao Paulo.

Other Courses:

Graduation Degree in Social Psychology from Fundacao Escola de Sociologia e Politica de Sao Paulo.

Josue Augusto Pancini

Executive Vice President

Date and Local of Birth: April 14, 1960, in Sao Joao da Boa Vista, SP.

Brief Professional Background: He began his career in July 1976 at Banco Bradesco S.A. In July 1997, he was elected Regional Officer, in July 2003 Department Officer, in December 2010 Executive Deputy Officer, in January 2012 Executive Managing Officer and, in January 2014, Executive Vice President, position currently held.

Other Professional Experience:

Current:

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Vice President of Kirton Bank S.A. - Banco Multiplo.

Previous:

Alternate Member of the Advisory Board of ABECIP - Associacao Brasileira das Entidades de Credito Imobiliario e Poupanca.

Degree:

Mathematics from Centro Universitario Fundacao de Ensino Octavio Bastos - Feob - UNIFEOB.

Other Courses:

Graduation degree "Lato Sensu" in Companies Economy in Financial Area from Pontificia Universidade Catolica de Campinas - PUC - Campinas.

AMP - Advanced Management Program from IESE Business School - University of Navarra, Sao Paulo.

Marcelo de Araujo Noronha

Executive Vice President

Date and Local of Birth: August 10, 1965, in Recife, PE.

Brief Professional Background: He started his career in 1985 at Banco Banorte, where he remained until 1996, occasion in which he started to act as a Commercial Officer at Banco Bilbao Vizcaya Argentaria Brasil S.A., currently known as Banco Alvorada S.A., where he reached the position of Vice President, responsible for products, trade finance, middle market and retail. In February 2004 he was elected Department Officer of Banco Bradesco S.A. In December 2010 he was elected Executive Deputy Officer, in January 2012, Executive Managing Officer and, in February 2015, Executive Vice President, position currently held, responsible for payments (credit and debit cards), Marketing and CRM.

Other Professional Experiences:

Current:

Member of the Managing Body and Managing Officer of Fundacao Bradesco

Chairman of the Board of Directors of Alelo - Companhia Brasileira de Solucoes e Servicos

Vice Chairman of the Board of Directors of Cielo S.A. (payment processor leader in Brazil)

Member of the Board of Directors of Elopar S.A.

Previous:

President of Associacao Brasileira das Empresas de Cartoes de Credito e Servicos - ABECS (Brazilian Association of Credit Card Companies and Services)

Member of the Council of Representatives (representing ABECS) of Confederacao Nacional das Instituicoes Financeiras - CNF

Degree:

Business Administration from UFPE - Universidade Federal de Pernambuco.

Other Courses:

Specialization in finance from IBMEC - Instituto Brasileiro de Mercado de Capitais and Advanced Management Program - AMP from IESE - Instituto de Estudios Empresariales of the University from Navarra, in Barcelona.

Certified Member of Board of Directors by Instituto Brasileiro de Governanca Corporativa - IBGC (Brazilian Institute of Corporate Governance).

Mauricio Machado de Minas

Executive Vice President

Date and Local of Birth: July 1, 1959, in Sao Paulo, SP.

Brief Professional Background: He joined Banco Bradesco S.A. in July 2009, as Executive Managing Officer. In January 2014 he was elected Executive Vice President.

Other Professional Experience:

Current:

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Sitting Member of the Board of Directors of Aquarius Participacoes S.A., Fidelity Processadora S.A and Fidelity Servicos e Contact Center S.A.

Member of the Board of Directors of NCR Brasil - Industria de Equipamentos para Automacao S.A.

Member of the Consultive Board of IBM Corporation.

Previous:

Executive Vice-President, Chief Operations Officer (COO) nd Deputy Member of the Board of Directors of CPM Braxis S.A.

Senior Analyst of Banco Itau S.A.

Support Services Officer of the IT Brazilian companies Eletrodigi, Flexidisk and Polymax group, and President of Scopus.

Member of the Board of Directors of MPO - Processadora de Pagamentos Moveis S.A.

Degree:

Electrical Engineering from Escola Politecnica da Universidade de Sao Paulo - Poli/USP.

Other Courses:

Specialization in Data Communication and Software Development from Wharton Business School, USA.

University extension course in Finance from Wharton Business School, USA.

Program for Executive Development from Columbia University - New York, USA.

Andre Rodrigues Cano

Executive Vice President

Date and Local of Birth: July 22, 1958, in Santo Andre, SP.

Brief Professional Background: He began his carreer at Bradesco Organization in April 1977, being elected Department Officer in December 2001. In September 2008 he was elected Officer of Banco Bradesco Financiamentos S.A., remaining there until December 2009, when he returned to Bradesco as Department Officer. In December 2010 he was elected Executive Deputy Officer and, in January 2012, Executive Managing Officer and, in January 2017, Executive Vice President, position currently held.

Other Professional Experience:

Current:

Member of the Managing Body of Fundacao Bradesco

Officer of Kirton Bank S.A. - Banco Multiplo.

Vice Chairman of the Oversight Board of FNQ - Fundacao Nacional da Qualidade (National Foundation of Quality).

Sitting Officer of the Confederacao Nacional do Sistema Financeiro - CONSIF (National Confederation of the Financial System).

Previous:

Deputy Vice President of the Board of Directors of Fidelity Processadora e Servicos S.A.

Officer and Effective Member of the Board of Directors of Tecban - Tecnologia Bancaria S.A.

Effective Member of the Fiscal Council of Tele Celular Sul Participacoes S.A.

Alternate Member of the Fiscal Council of Tele Nordeste Celular Participacoes S.A.

Executive Officer of ACREFI - Associacao Nacional das Instituicoes de Credito, Financiamento e Investimento.

Degree:

Business Administration from FMU - Faculdades Metropolitanas Unidas.

Other Courses:

MBA-Controller from FIPECAFI - Fundacao Instituto de Pesquisas Contabeis, Atuariais e Financeiras - FEA-USP.

International Executive Program from Harvard Business School - Advanced Management Program, Boston, USA.

Octavio de Lazari Junior

Executive Vice President

Date and Local of Birth: July 18, 1963, Sao Paulo, SP.

Brief Professional Background: He started his career at Banco Bradesco S.A. in September 1978. He was elected Executive Deputy Officer in January 2012, Executive Managing Officer in February 2015 and Executive Vice President in May 2017, position currently held.

Other Professional Experience:

Current:

Member of the Managing Body of Fundacao Bradesco.

Managing Officer of Kirton Bank S.A. - Banco Multiplo.

Member of NAT - Nucleo de Altos Temas.

Previous:

Chairman of the Board of Directors of Associacao Brasileira das Entidades de Credito Imobiliario e Poupanca - ABECIP (Brazilian Association of Housing Finance and Savings Entities).

Effective Member of the Board of Directors of CIBRASEC - Companhia Brasileira de Securitizacao (Brazilian Securities Company).

Member of the Council of Representatives of Confederacao Nacional das Instituicoes Financeiras - CNF (Brazilian Confederation of Financial Institutions).

Sectorial Officer of Real Estate Credit and Savings and Vice President of the Portability Governance of Credit Operations Committee of FEBRABAN - Federacao Brasileira de Bancos (Brazilian Federation of Banks).

Member of the Advisory Council of FIABCI/BRASIL - Capitulo Nacional Brasileiro da Federacao Internacional das Profissoes Imobiliarias (Brazilian National Chapter of the International Federation of Real Estate Professions).

Alternate Officer of Uniapravi-Union Interameriana para la Vivienda.

Alternate Member of the Board of Directors of Camara Interbancaria de Pagamentos - CIP (Interbank Chamber of Payments).

Degree:

Economics Sciences from Faculdade de Ciencias Economicas e Administrativas de Osasco.

Other Courses:

Specializations in: Financial Strategies and Marketing from Fundacao Instituto de Administracao - FEA/USP, Financial Management from Fundacao Getulio Vargas - FGV and Strategies in Finance from Fundacao Dom Cabral.

AMP - Advanced Management Program from IESE Business School - University of Navarra, Sao Paulo.

SECTION 10 BOARD OF DIRECTORS

10.1 Board Of Directors

Board Of Directors

Name
Jose Alcides Munhoz
Joao Aguiar Alvarez
Denise Aguiar Alvarez
Milton Matsumoto
Aurelio Conrado Boni
Carlos Alberto Rodrigues Guilherme

10.2 Profiles of Board of Directors

Milton Matsumoto

Director

Date and Place of Birth: April 24, 1945, in Martinopolis, SP.

Brief Professional Background: He started his career in September. In March 1985 he was elected Department Officer, Executive Deputy Officer in March 1998, Executive Managing Officer in March 1999, and, in March 2011, Member of the Board of Directors, position currently held.

Other Professional Experience:

Current

Member of the Board of Directors of Bradesco Leasing S.A. - Arrendamento Mercantil.

Member of the Board of Directors of Bradespar.

Member of the Board of Directors and of the Strategic Committee of BSP Empreendimentos Imobiliarios S.A.

Member of the Board of Directors of Cidade de Deus - Companhia Comercial de Participacoes.

Member of the Board of Directors of NCF Participacoes S.A.

Officer of Nova Cidade de Deus Participacoes S.A.

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Previous

Vice Chairman of the Board of Directors of Fidelity Processadora e Servicos S.A.

Member of the Board of Directors of Banco Bradesco BERJ S.A.

Officer of Bradesco S.A. Corretora de Titulos e Valores Mobiliarios.

First Secretary Officer of Sindicato dos Bancos nos Estados de Sao Paulo, Parana, Mato Grosso, Mato

Grosso do Sul, Acre, Amazonas, Para, Amapa, Rondonia e Roraima.

Alternate Member of the Board of Directors of CPM Braxis S.A.

Alternate Member of the Board of Directors of CPM Holdings Ltd.

Secretary Officer of Sindicato das Sociedades de Credito, Financiamento e Investimento do Estado de Sao Paulo.

Secretary Officer of FENACREFI - Federacao Interestadual das Instituicoes de Credito, Financiamento e Investimentos.

Degree:

Business Administration from UNIFIEO - Centro Universitario FIEO.

Aurelio Conrado Boni

Director

Date and Local of Birth: July 19,1951, in Florida Paulista, SP.

Brief Professional Background: He started his career at Banco Bradesco S.A., in February 1971. In December 1997, he was elected as Department Officer, in December 2001, Executive Managing Officer, in January 2012, Executive Vice President and, in March 2015, Member of the Board of Directors, position currently held.

Other Professional Experiences:

Current

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Member of the Board of Directors of Aquarius Participacoes S.A., BBD Participacoes S.A., Bradespar S.A., Bradesco Leasing S.A. - Arrendamento Mercantil, NCF Participacoes S.A. and Cidade de Deus - Companhia Comercial de Participacoes.

Officer of Nova Cidade de Deus Participacoes S.A.

Member of the Board of Directors of CPM Holdings Limited.

Vice Chairman of the Board of Directors of Fidelity Processadora S.A. and Fidelity Servicos e Contact Center S.A.

Previous

He was manager of Bradesco Organization's companies.

Degree:

Business Administration Technician from Escola Tecnica de Comercio "Campos Salles".

Carlos Alberto Rodrigues Guilherme

Director

Date and Place of Birth: December 21, 1943, in Campinas, SP.

Brief Professional Background: He started his career in December 1957. In March 1986 he was elected Department Officer, Deputy Executive Officer in March 1998, Executive Managing Officer in March 1999, Member of the Board of Directors in March 2009 and, in October 2017, Vice Chairman of the Board of Directors.

Other Professional Experience:

Current

Member of the Board of Directors of Bradesco Leasing S.A. - Arrendamento Mercantil.

Member of the Board of Directors and of the Strategic Committee of BSP Empreendimentos Imobiliarios S.A.

Member of the Board of Directors and Officer of Cidade de Deus - Companhia Comercial de Participacoes.

Member of the Board of Directors of NCF Participacoes S.A.

Officer of Nova Cidade de Deus Participacoes S.A.

Officer of Top Club Bradesco, Seguranca, Educacao e Assistencia Social.

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Member of the Board of Directors of Bradespar S.A.

President of Banco Bradesco BERJ S.A.

Previous

Officer of Banco de Credito Real de Minas Gerais S.A.

Officer of Credireal Leasing S.A. - Arrendamento Mercantil.

Degree:

Law from Fundacao Pinhalense de Ensino.

Joao Aguiar Alvarez

Director

Date and Place of Birth: August 11, 1960, in Sao Paulo, SP

Brief Professional Background: He was elected in April 1986 for the Board of Directors of Cidade de Deus - Companhia Comercial de Participacoes, one of the parent companies of Banco Bradesco S.A., and, from April 1988, he started to hold, cumulatively, the position of Officer.

Other Professional Experience:

Current

Member of the Board of Directors of Banco Bradesco S.A.

Member of the Board of Directors of Bradespar S.A.

Member of the Managing Body and Deputy Officer of Fundacao Bradesco.

Degree:

Agronomy from Fundacao Pinhalense de Ensino - Faculdade de Agronomia e Zootecnia Manuel Carlos Goncalves.

Denise Aguiar Alvarez

Director

In April 1986, she was elected as Member of the Board of Directors of Cidade de Deus - Companhia Comercial de Participacoes, one of the parent companies of Banco Bradesco S.A., and from July 1988 started holding, cumulatively, the position of Officer. She

Jose Alcides Munhoz

Director

Date and Place of Birth: July 23, 1948, in Santa Maria, RS.

Brief Professional Background: He started his career in October 1970, at Santa Maria Branch, RS. He was elected Officer in March 1989, Department Officer in January 1995, Executive Deputy Officer in March 1998, Executive Managing Officer in March 1999, Executive Vice President in January 2012, and Member of the Board of Directors in March 2014, position currently held.

Other Professional Experience:

Current

Member of the Managing Body and Managing Officer of Fundacao Bradesco.

Member of the Board of Directors of Bradespar S.A.

Member of the Board of Directors of BBD Participacoes S.A.

Member of the Board of Directors of Bradesco Leasing S.A. - Arrendamento Mercantil.

Member of the Board of Directors and Strategic Committee of BSP Empreendimentos Imobiliarios S.A.

Member of the Board of Directors of Cidade de Deus - Companhia Comercial de Participacoes.

Member of the Board of Directors of NCF Participacoes S.A.

Officer of Nova Cidade de Deus Participacoes S.A.

Previous Positions

He was Member of the Advisory Board of the FIABCI/BRASIL - Brazilian Chapter of the International Federation of Real Estate Professions.

Degree:

Accounting Technician.

SECTION 11 TOP SHAREHOLDERS

Top 3 shareholders

Name of the Share Holder% of Capital
Cidade de Deus Cia Cial Participacoes22.9
Fundacao Bradesco8.6
Ncf Participacoes S.A.5.4

% held by Top 3 shareholders 36.9%

SECTION 12 CURRENCY SYNOPSIS: BRAZILIAN REAL (BRL)

12.1 % Change of BRL vs Currency Basket Period-Based

In the past year the Brazilian Real fell 1.9% against the US Dollars; in the past three years the Brazilian Real fell 26.5% against the US Dollars.

LastCountry1-day %1-week %1-Year %3-Yrs %
BRL1=0.189USDUnited States Of America-0.2-0.8-1.9-26.5
BRL1=1.278CNYChina-0.1-0.72.5-28.4
BRL1=25.391JPYJapan0.6-1.920.7-7.4
BRL1=0.186EUREuropean Union--2.014.3-19.8
BRL1=247.812KRWSouth Korea-0.2-0.412.4-20.0
BRL1=0.261SGDSingapore-0.2-1.10.2-26.3
BRL1=0.3NZDNew Zealand-0.8-1.510.0-23.8
BRL1=0.156GBPUnited Kingdom0.5-0.812.9-26.2
BRL1=0.271AUDAustralia-0.8-0.94.1-28.3
BRL1=1.485HKDHong Kong-0.2-0.8-1.1-26.3
BRL1=0.182CHFSwitzerland0.1-1.04.1-28.2
BRL1=0.243CADCanada-0.3-0.70.4-28.6
BRL1=1.925SEKSweden-0.4-2.116.3-22.4
BRL1=1.835NOKNorway-0.1-1.38.2-20.0
BRL1=3.862MXNMexico-1.2-0.90.9-22.2

SECTION 13 STOCK IDENTIFIERS

ISIN: BRBBDCACNPR8

PermID: 5035095906

RIC: BBDC4.SA

GLOSSARY

ADVT: Average Daily Volume of shares Traded

Annual Return: Dividends Paid In a 12-Month Period/Price at the Beginning of the Period + Capital Gain or Loss over 1 Year/Price 1 Year Ago (%)

Current Ratio: Current Assets/Current Liabilities (times)

Dividend Yield: Dividend Per Share/Share Price (%)

EBIT Margin : Earnings Before Interest and Tax/Revenue (%)

Earnings Yield: Earnings Per Share/Share Price (%)

Income during the n years (3/2/1): Dividends received during the Period

Moving Average Price (n periods): Sum of Prices for each Period/Number of Periods

PV1000: Present value of 1000 invested 1 year/'n' years ago

Price Close/Moving Avg Price: Latest Price/Moving Average Price

Price/Earnings: Share Price/Earnings Per Share (times)

Relative Price Change [RPC]: Relative price change is price change of stock with respect to Benchmark Index

Relative Strength (6 Months): Price close today/Price close 6 months ago, then ranked by percentile within the entire market.

Return on Assets: Net Profit/Total Assets (%)

Return on Equity (Shareholders' Funds): Net Profit/Net Assets (%)

TTM: Trailing 12 Months

Volume Weighted Average Price (VWAP): The Volume Weighted Average Price (VWAP) is the summation of turnover divided by total volume in the same period.

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