WallStSmart

Banco Bradesco SA ADR (BBD)vsU.S. Bancorp (USB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Banco Bradesco SA ADR generates 239% more annual revenue ($89.27B vs $26.35B). USB leads profitability with a 28.7% profit margin vs 26.5%. BBD appears more attractively valued with a PEG of 0.49. BBD earns a higher WallStSmart Score of 81/100 (A-).

BBD

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.0Profit: 7.0Value: 10.0Quality: 5.0
Piotroski: 6/9

USB

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 10.0Quality: 5.3
Piotroski: 5/9Altman Z: 0.39
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBDUndervalued (+77.8%)

Margin of Safety

+77.8%

Fair Value

$18.72

Current Price

$3.55

$15.17 discount

UndervaluedFair: $18.72Overvalued
USBUndervalued (+75.8%)

Margin of Safety

+75.8%

Fair Value

$214.00

Current Price

$51.89

$162.11 discount

UndervaluedFair: $214.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBD6 strengths · Avg: 9.5/10
PEG RatioValuation
0.4910/10

Growing faster than its price suggests

P/E RatioValuation
8.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

EPS GrowthGrowth
57.2%10/10

Earnings expanding 57.2% YoY

Profit MarginProfitability
26.5%9/10

Keeps 27 of every $100 in revenue as profit

Operating MarginProfitability
24.8%8/10

Strong operational efficiency at 24.8%

USB6 strengths · Avg: 9.3/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
39.3%10/10

Strong operational efficiency at 39.3%

Market CapQuality
$81.01B9/10

Large-cap with strong market position

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

EPS GrowthGrowth
24.7%8/10

Earnings expanding 24.7% YoY

Areas to Watch

BBD2 concerns · Avg: 1.5/10
Free Cash FlowQuality
$-151.40B2/10

Negative free cash flow — burning cash

Debt/EquityHealth
2.021/10

Elevated debt levels

USB2 concerns · Avg: 3.0/10
PEG RatioValuation
1.804/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.392/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : BBD

The strongest argument for BBD centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 26.5% and operating margin at 24.8%. PEG of 0.49 suggests the stock is reasonably priced for its growth.

Bull Case : USB

The strongest argument for USB centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.7% and operating margin at 39.3%.

Bear Case : BBD

The primary concerns for BBD are Free Cash Flow, Debt/Equity. Debt-to-equity of 2.02 is elevated, increasing financial risk.

Bear Case : USB

The primary concerns for USB are PEG Ratio, Altman Z-Score.

Key Dynamics to Monitor

USB carries more volatility with a beta of 1.04 — expect wider price swings.

BBD is growing revenue faster at 6.0% — sustainability is the question.

USB generates stronger free cash flow (2.8B), providing more financial flexibility.

Monitor BANKS - REGIONAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BBD scores higher overall (81/100 vs 75/100), backed by strong 26.5% margins. USB offers better value entry with a 75.8% margin of safety. Both earn "Exceptional Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Banco Bradesco SA ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Banco Bradesco SA, offers various banking products and services to individuals, corporations and companies in Brazil and internationally. The company is headquartered in Osasco, Brazil.

U.S. Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

U.S. Bancorp is an American bank holding company based in Minneapolis, Minnesota, and incorporated in Delaware. The company provides banking, investment, mortgage, trust, and payment services products to individuals, businesses, governmental entities, and other financial institutions.

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