Very quiet session today, but notable in that modest good news on China trade did not simulate the m...
Update Itau Unibanco (ITUB)
02/11/2010 2:05 pm EST
The company managed to grow its loan portfolio in the quarter by 4% from the end of the third quarter and still increased its Tier One capital ratio to 13.7%.
Itau Unibanco remains the most profitable bank in Brazil with a return on average equity of 22.6% in the quarter. That was up from 20.1% in the third quarter and above the 18.2% return on average equity at top competitor Banco Bradesco (BBD).
2010 looks like a good year for Itau Unibanco.
The bank should see loan volume and fee income climb as the Brazilian economy continues to recover from the global economic slowdown. Loans will grow 25% in 2010, for example, according to projections by Deutsche Bank.
As of February 11 shares of Itau Unibanco were trading about 15% below their high for 2010. I think this price is a good entry point for long-term investors following my Jubak Picks 50 portfolio.
Full disclosure: I own shares if Itau Unibanco in my personal portfolio.
Related Articles on STOCKS
I have outlined why fundamentals look best at market highs, and worst at market lows. Just like we n...
The shares of burger joint Shake Shack (SHAK) have undergone a steep pullback during the second half...
You still have an opportunity to run wild with the hogs. Harley-Davidson (HOG) has room to run and i...