The most recommended actions for April; LREN3 and WEGE3 enter and VIVA3 leaves the list

The most recommended actions for April; LREN3 and WEGE3 enter and VIVA3 leaves the list
The most recommended actions for April; LREN3 and WEGE3 enter and VIVA3 leaves the list

The Ibovespa showed a slight drop of 0.7% in March, ending the first quarter with a devaluation of 4.5%, at 128,106 points, the worst performance of the period among global stock exchanges, according to Genial Investimentos.

In general terms, as positive expectations were not confirmed at the beginning of the year, analysts made several changes to the recommended stock portfolios for April.

The result of an increase of almost 28% in paper exchanges, compared to March, was the entry of Lojas Renner (LREN3) and Weg (WEGE3) among the most recommended for this month – both with four nominations.

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The leadership continues with Vale (VALE3), with eight nominations, followed by Itaú Unibanco (ITUB4), with six. Localiza (RENT3) appears in third position, with five choices by experts, while Cyrela (CYRE3), Petrobras (PETR4) and Sabesp (SBSP3) close the list of highlights, all with four citations. Vivara (VIVA3) lost three recommendations and was left out of this month’s list.

Check out the analyzes about each company:

Every month, the InfoMoney analyzes the portfolios recommended by ten brokers, highlighting the five most recommended companies. In case of a tie, the number may be higher, as happened again. Check below the eight most cited companies in April, the number of recommendations and the performance of each role in March, in 2024 and in 12 months:

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Company ticker Number of recommendations Return in March Return in 2024
OK VALE3 8 -5.13 -17.68
Itaú Unibanco ITUB4 6 2.84 6.22
Locate RENT3 5 3.17 -14.03
Cyrela CYRE3 4 3.70 3.57
Renner Stores LREN3 4 8.51 -1.58
Petrobras PETR4 4 -6.93 0.32
Sabesp SBSP3 4 7.00 12.38
Weg WEGE3 4 4.27 4.51
Ibovespa *** *** -0.71 -4.53
Sources: Ágora, Ativa, BB Investimentos, BTG Pactual, Genial, Guide, Órama, Santander Corretora, Terra Investimentos, XP Investimentos and Economatica.

Renner Stores (LREN3)

“Among retail names, Renner continues to be our preferred choice,” says BTG Pactual, in a report. The institution states that the company remains well positioned to gain market share in the fragmented clothing retail sector in Brazil, despite the slowdown in sales in recent quarters.

“In addition to a gradual improvement in profitability and net cash position, we see LREN’s consumer finance business as a beneficiary of potential interest rate cuts, justifying our buy rating.”

Weg (WEGE3)

BB Investimentos considers that the market consensus projects a scenario of accommodation in Weg’s growth trends for the short term. Despite sharing this vision, the broker believes that the investment thesis for the stock remains solid for the long term.

The assessment is based on the company’s competitive advantages, operational capacity and good positioning to capture opportunities in the global environment of energy efficiency/transition and sustainability. For analysts, such themes should progressively permeate the capital goods sector in the coming years.

Vale (VALUE3)

The mining company lost one recommendation in relation to March, but remains at the top of the podium, with eight choices. In the opinion of Ágora Investimentos, the company presented strong results in the fourth quarter of 2023, driven mainly by operational performance and solid cash generation.

Itaú Unibanco (ITUB4)

Ágora says it is confident that the bank will be able to maintain its ROE (return on equity) above 20%, despite the recent volatility in numbers, across all business segments.

Locate (RENT3)

Given the fall in shares in recent weeks, Ativa Investimentos increased the relative weight of Localiza in its recommended portfolio for April, from 5% to 7.5%. “With the delivery of the 4Q23 results, we have more confidence that the company will be able to offset the high depreciation with adjustments in daily rates and efficiency gains in the rental segments.”

Petrobras (PETR4)

Ágora recalls that the state-owned company’s shares showed strong volatility in March, amid the noise and frustration caused by the non-payment of extraordinary payments for 2023. “In any case, we chose to maintain the shares in our portfolio, especially considering their weight relative similar to that of Ibovespa (10% of the portfolio composition) and the current dividend carry level is still close to 10%.”

Cyrela (CYRE3)

Santander Corretora recently raised the estimated target price for Cyrela shares at the end of this year, from R$28 to R$32. The stock remains a favorite among medium/high-income construction companies in the institution’s coverage universe. Among the strengths is the potential for growth in return on equity in the coming years – 14.7% in 2024 and 16.9% in 2025, versus 12.4% in the last 12 months.

Sabesp (SBSP3)

“We believe that the potential ongoing privatization will transform Sabesp into an even more attractive investment story and will place it among the few shares with strong appreciation potential in the coming years”, states Santander. According to the broker, at its current stage, the company is still “inefficient”, a scenario that could change with the sale of control. Therefore, experts say that Sabesp presents one of the best asymmetries among the companies analyzed in the sanitation sector.

The article is in Portuguese

Tags: recommended actions April LREN3 WEGE3 enter VIVA3 leaves list



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