Financials & FinTech research, Galliano’s Financials Research

Victor Galliano

Financials & FinTech research

Financials & FinTech, EM & Developed Markets

Galliano’s Financials Research

Galliano's Financials Research provides fundamental research in Emerging Markets financials, including FinTech, as well as financials in select Developed Markets.

The investment style applied is generally value oriented, although Growth At Reasonable Price (GARP) strategies can also be used where appropriate. 

Our investment research approach aim is often contrarian, looking to capitalise on overly sceptical or optimistic consensus views. In terms of valuation techniques, the focus is on PBV ratio to ROE, PE multiples and dividend yield, as well as the application of PEG ratios and, where appropriate, Sum of the Parts (SOTP) valuations.

Equity Bottom-Up

<ul>
<li>Bradesco’s re-rating is supported by bank returns recovery and by its premium insurance operations; we estimate that insurance operations account for close to 40% of group value, excluding Bradsaude</li>
<li>We remain positive on Inter as it is deep value for an EM neobank, yet we would advise investors to lighten long positions</li>
<li>The prospect of a very strong El Niño episode could adversely impact Banrisul’s cost of risk going forward, given its exposure to agribusiness credit</li>
</ul>


Bradesco’s re-rating is supported by bank returns recovery and by its premium insurance operations; we estimate that insurance operations account for close to 40% of group value, excluding Bradsaude
We remain positive on Inter as it is deep value for an EM neobank, yet we would advise investors to lighten long positions
The prospect of a very strong El Niño episode could adversely impact Banrisul’s cost of risk going forward, given its exposure to agribusiness credit


Brazil Banks – Stick with Buys on Bradesco and Inter, Calling Time on Banrisul Long

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

MSCI Emerging Markets Index / Technical Analysis

<p style="text-align: justify;">Emerging markets remain leadership. While many of the world's developed markets in correction or consolidation mode, EM markets continue to remain immune to the disruption occurring elsewhere.  Price and relative strength uptrends intact remain, and we reiterate our overweight recommendation.  In today’s report we provide a collection of the better looking company charts across the emerging markets universe.</p>

Emerging markets remain leadership. While many of the world's developed markets in correction or consolidation mode, EM markets continue to remain immune to the disruption occurring elsewhere.  Price and relative strength uptrends intact remain, and we reiterate our overweight recommendation.  In today’s report we provide a collection of the better looking company charts across the emerging markets universe.

<p>Emerging markets continue to outperform developed international equities, and within EM, the BRIC country grouping remains leadership.  In addition to sector and regional market comments, today’s report includes a wide variety of bottom-up recommendations, spanning most sectors and all market capitalizations.</p>

Emerging markets continue to outperform developed international equities, and within EM, the BRIC country grouping remains leadership.  In addition to sector and regional market comments, today’s report includes a wide variety of bottom-up recommendations, spanning most sectors and all market capitalizations.

<ul>
<li>Our GEM bank top picks for 1H 2026 are Banrisul, Bradesco and Ping An Bank for very attractive fundamental valuations with healthy dividends and earnings growth potential</li>
<li>We also have buy recommendations on China Construction Bank (CCB) and Hana Financial, both of which are deep value plays relative to their returns, combined with sound balance sheets</li>
<li>Kotak Mahindra bank is our only sell recommendation for its premium valuation, even among Indian banks, relative to its underwhelming ROE prospects</li>
</ul>


Our GEM bank top picks for 1H 2026 are Banrisul, Bradesco and Ping An Bank for very attractive fundamental valuations with healthy dividends and earnings growth potential
We also have buy recommendations on China Construction Bank (CCB) and Hana Financial, both of which are deep value plays relative to their returns, combined with sound balance sheets
Kotak Mahindra bank is our only sell recommendation for its premium valuation, even among Indian banks, relative to its underwhelming ROE prospects


<ul>
<li>Bradesco’s re-rating is supported by credit quality improvements and by its solid insurance operations’ returns; we now estimate that the insurance operations account for close to half of group value</li>
<li>We add small cap Banrisul to our coverage and also to our buy list for its deep value qualities and improving returns, with Banrisul ranking top in our proprietary scorecard</li>
<li>Banco do Brasil remains a neutral, due to heightened political risk and worsening credit quality; holdco Itausa remains an attractive vehicle through which to gain equity exposure to Banco Itaú</li>
</ul>


Bradesco’s re-rating is supported by credit quality improvements and by its solid insurance operations’ returns; we now estimate that the insurance operations account for close to half of group value
We add small cap Banrisul to our coverage and also to our buy list for its deep value qualities and improving returns, with Banrisul ranking top in our proprietary scorecard
Banco do Brasil remains a neutral, due to heightened political risk and worsening credit quality; holdco Itausa remains an attractive vehicle through which to gain equity exposure to Banco Itaú


Brazil Banks – Stick with Bradesco, Adding Small-Cap Banrisul to the Buy List

Brazil

Banrisul is a Brazilian multiple-service commercial bank primarily operating in the state of Rio Grande do Sul. It offers a comprehensive range of banking products and services, including retail banking, lending, financing, investment, mortgage loans, development, leasing, foreign exchange, securities brokerage, insurance, and pension plans. The bank was founded in 1928 and is headquartered in Porto Alegre, Brazil.

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Banrisul (BRSR6 BR)

Brazil Banks – Stick with Buys on Bradesco and Inter, Calling Time on Banrisul Long

Bradesco's re-rating supported by insurance operations, Inter remains deep value but investors advised to lighten positions, downgrading Banrisul...

Victor Galliano

Attractive EM Charts

Emerging markets remain leadership. While many of the world's developed markets in correction or consolidation mode, EM markets continue to remain...

Vermilion Research

EM Equity Strategy: Overweight BRIC

Emerging markets continue to outperform developed international equities, and within EM, the BRIC country grouping remains leadership. In addition...

Vermilion Research

GEM Banks - 2026 High Conviction Ideas

Top bank picks for 1H 2026 are Banrisul, Bradesco, and Ping An Bank, also highlighting buys on CCB and Hana Financial for deep value. Sell on...

Victor Galliano

Brazil Banks – Stick with Bradesco, Adding Small-Cap Banrisul to the Buy List

Bradesco is re-rating due to banking recovery and solid insurance arm, Banrisul added to buys for its deep value, Itausa offers exposure to Banco...

Victor Galliano

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Brazil Banks – Stick with Buys on Bradesco and Inter, Calling Time on Banrisul Long

​Bradesco's re-rating supported by insurance operations, Inter remains deep value but investors advised to lighten positions, downgrading Banrisul...

Victor Galliano

Attractive EM Charts

Emerging markets remain leadership. While many of the world's developed markets in correction or consolidation mode, EM markets continue to remain...

Vermilion Research

EM Equity Strategy: Overweight BRIC

Emerging markets continue to outperform developed international equities, and within EM, the BRIC country grouping remains leadership. In addition...

Vermilion Research

GEM Banks - 2026 High Conviction Ideas

​Top bank picks for 1H 2026 are Banrisul, Bradesco, and Ping An Bank, also highlighting buys on CCB and Hana Financial for deep value. Sell on...

Victor Galliano

Brazil Banks – Stick with Bradesco, Adding Small-Cap Banrisul to the Buy List

​Bradesco is re-rating due to banking recovery and solid insurance arm, Banrisul added to buys for its deep value, Itausa offers exposure to Banco...

Victor Galliano

Bradesco's re-rating supported by insurance operations, Inter remains deep value but investors advised to lighten positions, downgrading Banrisul...

Top bank picks for 1H 2026 are Banrisul, Bradesco, and Ping An Bank, also highlighting buys on CCB and Hana Financial for deep value. Sell on...

Bradesco is re-rating due to banking recovery and solid insurance arm, Banrisul added to buys for its deep value, Itausa offers exposure to Banco...