Itausa (ITSA4 BZ) Brazil
Report by Galliano's Financials Research
Victor Galliano believes that the NAV is underestimated - separate from Itausa’s stake in XP, Itau Unibanco, which is Itausa’s core holding with a 37.2% stake, has a direct 9.96% XP stake. Adding its indirect XP stake share to Itausa’s NAV implies a sizeable discount of 27%. Since December 2008, only on 11% of the month end datapoints has Itausa’s discount exceeded 25%. This historically big NAV discount presents a buying opportunity.