XP Investimentos reiterated its purchase recommendation for Banco do Brasil (BBAS3) and placed the target price at R $ 43 per share. According to the manager, BB announced the resignation of its president, André Brandão. The bank also announced that the government has appointed Fausto Ribeiro as the new CEO, which must be approved by the bank's People, Compensation and Eligibility Committee, given that the executive has a long career in the bank, occupying a different range of high-level positions. "We believe that the news is negative and that the market reacts negatively in today's trading session, but that the effect is limited, as the event must already be partially priced", he stressed. purchase, as we believe there is a positive asymmetry with the bank, negotiating an attractive 0.6x B / W and 8% dividend yield for 2022. ”
Want to earn Bitcoins?
We help you with that.
Open a free account!
Bank of Brazil
The change in the presidency of Banco do Brasil (BBAS3), six months after the arrival of André Brandão, coming from HSBC, should trigger a strong drop in the conglomerate's Board of Directors, following what happened at Petrobras. the collegiate had already been dissatisfied with the interference of the government of Jair Bolsonaro in state companies and the frying of the executive in recent months. The appointment of Fausto Ribeiro, who until then touched the bank's consortium area and previously only held management positions, would be the trigger.
According to the newspaper, changes are not expected only in the collegiate. According to internal bank sources, directors and vice presidents have already begun to signal that they can follow Brandão and abandon the boat. The names are still kept confidential. At least two casualties are expected in the vice presidency, reports one of the sources. Dissatisfaction after the announcement, on Thursday night, was general. The fact that Ribeiro reached the second echelon of BB recently, after having been promoted to the presidency of BB Consórcios, weighed heavily. Before, all the positions he held were at the management level, which triggered the discomfort behind the bank, who consider his jump “meteoric”. See BBAS3 on the Stock Exchange:Only click here if you are already an investor The post Banco do Brasil (BBAS3): XP recommends buying with a target price of R $ 43 appeared first in 1 Billion Financial Education.