Stock Price & Analysis

Buy ITUB stock as it has shown bullish technical signals and strong fundamental performance.

ITUB stock is predicted to reach $6.20 by end of 2025, driven by strong Q4 2024 results with loan portfolio growth of 15.5% and improved credit quality. The bank's 2025 outlook includes 4.5%-8.5% loan growth and 7.5%-11.5% financial margin expansion, supporting the price target. Current price trends and dividend plans further enhance upside potential.

The S1 support level for ITUB Stock is $5.47 ,The R1 resistant level for ITUB Stock is $5.75.

As of the end of day on 2025-04-02, the price of ITUB Stock was $5.5.

The target price for ITUB Stock according to analyst rating is 6.70, with the highest price target at 7.00 and the lowest at 6.30. Analysts have a Strong Buy rating on ITUB Stock overall.

The market cap of ITUB is $86.9B.

Analysis and Insights

Valuation Metrics:

ITUB's valuation metrics suggest it is undervalued. The stock has a low P/E ratio of 6.42, a moderate EV/EBITDA of 15.63, and a price-to-sales ratio of 1.42, indicating undervaluation relative to its peers. The price-to-book ratio of 1.7 further supports this assessment, as it is below the industry average. The dividend yield of 10.29% is attractive, providing a strong return for investors.

Analyst Sentiment:

Recent upgrades by UBS and HSBC to a Strong Buy rating with a price target of $6.80 indicate analyst confidence in ITUB's potential. This positive sentiment suggests that the stock is expected to perform well.

Technical Analysis:

The stock's price of $5.59 is below its 200-day moving average, but it has recently made a bullish cross above a critical moving average, signaling potential upside.

Conclusion:

ITUB appears undervalued based on its low valuation metrics and high dividend yield. Analyst upgrades further support its positive outlook, making it a compelling investment opportunity, particularly for those seeking income.

Itau Unibanco Holding S.A. is a holding company. The Company provides a range of financial products and services to individual and corporate clients in Brazil and abroad. The Company operates through three segments: Retail Banking, Wholesale Banking, and Activities with the Market + Corporation. The Retail Banking segment offers banking products and services to a diversified client base of account holders and non-account holders, individuals and companies. The Wholesale Banking segment offers products and services to middle-market companies, high-net worth clients (Private Banking) and institutional clients. The Company's Activities with the Market + Corporation segment mainly manages the financial results associated with capital surplus, subordinated debt, and net debt of tax credits and debits. The Company provides banking activities, through its commercial, investment, real estate loan, finance and investment credit, and lease portfolios, including foreign exchange operations.

ITUB stock is predicted to reach approximately $8.40 by 2030, driven by strong financial performance and digital transformation initiatives. The bank's improving credit quality and loan portfolio growth support long-term appreciation. Current trends and strategic investments position ITUB for sustained growth in the banking sector.