ITUB
Itaú Unibanco ADR
Bank / BV
★ Quality 49/100Price today
$8.47
what the market pays
Worth
$4.56
calculated TBV value
Price is 86% above its value
charlieapp.co
Price vs Intrinsic Value
The line is the price month by month; the green band marks when it's undervalued (−20% off value). When the price drops in there, the discount is real, not opinion.
Why Overvalued?
The model estimates an intrinsic value of $4.56 per share. Today's price of $8.47 is 46% above the calculated value — the market is paying a premium over what the model sees as fair.
The price is 86% above the calculated value. You're paying more than it's worth.
Buying here lowers your expected return and wipes out the safety margin.
The next reasonable entry zone starts at $4.33.
At what price would buying make sense?
Entry zones
🟢 Undervalued
≤$3.65
-20% off Value
🟡 Discounted
≤$4.33
-5% off Value
🔴 Today
$8.47
-46% Valor
Overvalued
The market prices it too high versus what the business makes. Patience pays off here.
“Time is the friend of the wonderful company, the enemy of the mediocre.”
— Warren Buffett
Model updated · July 2026
The business
Brazil's banking heavyweight that no fintech has managed to knock down.
Itaú Unibanco is Brazil's largest private bank: 55 million clients, lending, cards, insurance and investment banking. It makes money on credit spread (NIM) and fees, with ROE 21-23% and NPL at historic lows of 1.9%.
Dominant scale in Brazil, an established brand, and a distribution network that no fintech has managed to erode in any meaningful way. Its credit discipline and cost culture set it apart from Bradesco and Santander Brasil in structural profitability.
Revenue history
From $22.1B to $35.6B in 4 years. The business grows steadily.
Catalysts and risks
Selic rate-cut cycle: every 100 bps frees up provisions and boosts credit demand.
Dividend yield ~7.5% with a rising payout after a comfortable Basel III position.
Sustained ROE of 21-23% while regional peers hover around 15%.
BRL/USD: a 20% devaluation eats into the dividend in dollars.
Brazilian sovereign risk and Lula's fiscal stance pressure multiples.
Competition from Nubank in young clients and card margins.
Charlie's note
“The best bank in LATAM trading like an average one. The price prices in all of Brazil, not Itaú — and that's where the opportunity lies for whoever can stomach the currency.”
Analysis · May 2026
So when would be a good price for Itaú Unibanco ADR?
By our calculation, not yet. We will email you the day it drops to $4.33 — so you do not have to keep checking.
🔔 Email meFree · no card
Charlie informs, it doesn't advise. No information should be taken as a recommendation to buy or sell.