Banco Mercantil do Brasil S.A (BMEB3) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Banco Mercantil do Brasil S.A stock BRL 30.16, price BRL 48.70, that is 38.1% below the price, quality 40 out of 100. Rating: strongly overvalued. Calculated from audited financials with 6 of our 26 valuation models and 37 quality factors, updated daily.
- Keep an eye on it?Free in your watchlist: 5 stocks without an account, 10 with one Yes, for free
Banco Mercantil do Brasil S.A
BMEB3 · SAOur calculation puts a fair price 38% below what the stock costs today.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 6, 2026.
How to read this chart
60‑month range R$7.81 – R$72.77 · fair‑value band R$20.78 – R$47.22 · the R$48.70 price screens above the R$30.16 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 6, 2026.
Every Wednesday you see whether Banco Mercantil do Brasil is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
Company profile
Banco Mercantil do Brasil S.A., together with its subsidiaries, provides financial services to individuals and corporate clients in Brazil. It operates through Financial, Insurance and Business Intermediation, Marketplace, and Other segments.
Show moreShow less
The company offers Current Account, Loans, Cards, Investments, Card receivables, Overdraft, private pension, benefit transfer, special limit, and capital market products. It also provides internet, WhatsApp, Mercantile app, and self-service banking services.
In addition, the company engages in real estate, securitization, and technology activities. The company was formerly known as Banco Industrial de Minas Gerais and changed its name to Banco Mercantil do Brasil S.A. in 1974.
Banco Mercantil do Brasil S.A. was founded in 1940 and is headquartered in Belo Horizonte, Brazil.
Stock analysis
Banco Mercantil do Brasil S.A (BMEB3) currently trades at R$48.70, while our model-based Fair Value estimate is R$30.16, 38% below the price, so the stock looks overvalued today.
Show more
Valuation
Bull case: the Multiples group reads highest at a median of R$44.44 per share, and 1 of the 6 models we run sit above the R$48.70 price.
Bear case: the Asset-Based group reads lowest at R$11.30, and 5 of the 6 models stay below the price. Data coverage for this calculation is high.
Scenario range: R$20.78 (bear) to R$47.22 (bull), the price of R$48.70 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 40/100 (below-average quality), in the Financial Services sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Banco Mercantil do Brasil S.A reported revenue of R$8.7B in FY2025 versus R$2.5B in FY2021, a compound +36.3%/yr. Reported net income was R$619M in FY2025, compounding +35.4%/yr from FY2021.
Key figures
Market cap R$6.7B (≈ $1.2B) Small · P/E ratio 6.4 · P/S ratio 1.19 · EPS (TTM) R$8.06 · Dividend yield 2.0% · Net margin 14.9% · Return on equity 32.4% · Return on assets (EBIT) 3.1% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 69 out of 100 (low confidence).
What moves the price
The share trades about 33% below its 52-week high and 12% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Financial Services peers we cover trades at −28% fair-value upside, at −38%, BMEB3 screens richer than that median.
Fair Value models
All 6 models by family
The fair value above starts from this blend and is adjusted for dilution from new shares.
Quality Score breakdown
It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.
Revenue & earnings trend
BMEB3 screens overvalued: fair value 38% below the price. Compare with China Merchants Bank Co →
Compare Banco Mercantil do Brasil S.A with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Banks - Regional · 998 stocks
Valuation Multiplesvs Banks - Regional median · lower = cheaper
Strength profile in five axes (Snowflake)
VALUE 0: the price sits above our fair-value range.
HEALTH: for banks, insurers and similar financial firms borrowed money is part of the business, so we do not rate debt here.
Context: sector, industry, market
- Is the Financials sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- P/B ratio by industry
- Net margin by industry
- PEG screener for stocks with fair value
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value | Compare |
|---|---|---|---|---|
| Postal Savings Bank of China Co 601658 | ¥5.53 | ¥7.59 | +37% | vs BMEB3 |
| China Merchants Bank Co 600036 | ¥42.88 | ¥52.73 | +23% | vs BMEB3 |
| BNP Paribas SA BNP | €91.93 | €106.01 | +15% | vs BMEB3 |
| Intesa Sanpaolo S.p.A ISP | €6.18 | €4.49 | −27% | vs BMEB3 |
| State Bank of India SBIN | ₹1,019 | ₹736.65 | −28% | vs BMEB3 |
| UniCredit S.p.A UCG | €76.80 | €50.44 | −34% | vs BMEB3 |
| Mizuho Financial Group MFG | $9.40 | $5.90 | −37% | vs BMEB3 |
| DBS Group D05 | 69.72 SGD | 40.39 SGD | −42% | vs BMEB3 |
| HDFC Bank Limited HDFCBANK | ₹788.25 | ₹406.39 | −48% | vs BMEB3 |
| ICICI Bank Limited ICICIBANK | ₹1,571 | ₹615.63 | −61% | vs BMEB3 |
Explore undervalued stocks
More undervalued Financial Services stocks →
Try a ready-made strategy
Pick a strategy and jump into the live analysis with that exact screen applied.
Discover tools
Frequently asked questions
Is Banco Mercantil do Brasil S.A (BMEB3) overvalued or undervalued?
What is the fair value of BMEB3?
What is the quality score of BMEB3?
What is the price target for Banco Mercantil do Brasil S.A (BMEB3)?
What is the Banco Mercantil do Brasil S.A stock forecast for 2026?
What is the revenue of Banco Mercantil do Brasil S.A (BMEB3)?
Does Banco Mercantil do Brasil S.A pay a dividend?
How much is the dividend of Banco Mercantil do Brasil S.A (BMEB3)?
What is the intrinsic value of Banco Mercantil do Brasil S.A (BMEB3)?
Is Banco Mercantil do Brasil S.A stock overvalued or undervalued in 2026?
Is fair value the same as the market price of BMEB3?
How much is Banco Mercantil do Brasil S.A worth?
What do the bullish and bearish scenarios say about BMEB3?
What is the P/E ratio of BMEB3?
How solid is the balance sheet of Banco Mercantil do Brasil S.A (BMEB3)?
How far is BMEB3 from its 52-week high?
Which stocks are comparable to Banco Mercantil do Brasil S.A?
Is Banco Mercantil do Brasil S.A stock attractive at the current price?
How is the fair value of BMEB3 calculated?
Is it still worth investing in stocks now?
What is the share price of Banco Mercantil do Brasil S.A (BMEB3)?
What should I pay attention to with Banco Mercantil do Brasil S.A right now?
Key figures of Banco Mercantil do Brasil S.A
How large is the market capitalisation of Banco Mercantil do Brasil S.A (BMEB3)?
What is the P/S ratio of Banco Mercantil do Brasil S.A (BMEB3)?
What are the earnings per share of Banco Mercantil do Brasil S.A (BMEB3)?
What is the dividend yield of Banco Mercantil do Brasil S.A (BMEB3)?
What is the net margin of Banco Mercantil do Brasil S.A (BMEB3)?
What is the return on equity of Banco Mercantil do Brasil S.A (BMEB3)?
What is the EBIT return on assets of Banco Mercantil do Brasil S.A (BMEB3)?
What is the operating margin of Banco Mercantil do Brasil S.A (BMEB3)?
How fast is revenue growing at Banco Mercantil do Brasil S.A (BMEB3)?
How fast are earnings growing at Banco Mercantil do Brasil S.A (BMEB3)?
How much free cash flow does Banco Mercantil do Brasil S.A (BMEB3) generate?
How much net debt does Banco Mercantil do Brasil S.A (BMEB3) carry?
Watch Banco Mercantil do Brasil S.A in the live analysis
One click puts Banco Mercantil do Brasil S.A on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 27,000+ stock screener.
Watch for free →Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.