Morgan Stanley remains bullish on Brazil, seeing the market at an inflection point driven by expectations of a 2026 political shift, lower interest rates, and a potential return of domestic and foreign equity inflows.
The bank argues Brazilian equities could re-rate as fiscal discipline improves and monetary easing supports a rotation from consumption-led growth toward investment- and export-driven activity. Financials, materials, energy, and utilities are preferred, while consumption and healthcare are underweighted.
Key beneficiaries include rate-sensitive and capital markets names such as BTG Pactual, XP, and B3, along with utilities like Axia Energia. Nubank is also highlighted in a reform scenario.
The base case assumes up to 450 bps of Selic cuts through 2027, potentially unlocking significant domestic inflows after years of underinvestment in local equity funds.
Morgan Stanley outlines two scenarios: a reform path favoring financials, Petrobras, Banco do Brasil.
$MS $PBR $BDORY
$BDORY earnings around the corner! 📈 Check the visual timeline for key dates. Expecting insights into their Q3 performance and strategic updates. Savvy investors: What's your take on this pharma player's growth trajectory? #Earnings #StockMarket #Investing (Image shows timeline)
I found you an Overbought RSI (Relative Strength Index) on the daily chart of Banco Do Brasil SA. Is that bullish or bearish? $BDORY #RsiOverbought #PINK
I found you an Overbought RSI (Relative Strength Index) on the daily chart of Banco Do Brasil SA. Is that bullish or bearish? $BDORY #BDORY #pink #tradingsignals #technicalanalysis
$BDORY I like how this looks although it looks it created a new low..My eyes are open for that pump,this might be it, but maybe more downside could be in play too.I see strong rejection around $5.25 I'll sit on my hands a lil to see how price behaves around this level 😎🍻
In the first quarter, investors chose Nubank. Nubank $NU stock performance (+43%) left the largest Brazilian banks, Itau $ITUB (+3%), Banco Bradesco $BBDO (-19%) and Banco do Brasil $BDORY (+0%), in the dust 👇🏻
