Analysts at JPMorgan Securities led by Saúl Martínez updated
their earnings estimates for Brazilian bank Itaú Unibanco
Holding SA following the lender's release of second-quarter
results. JPMorgan increased its local-currency earnings estimate
for 2013 by 2.4 percent to 15.066 billion reais ($6.5 billion),
or the equivalent to 3.03 reais a share, from a prior estimate
of 14.706 billion reais, or 2.96 reais a share. "This is mainly
as a result of higher net interest income and fees," Martínez
wrote in a client note on Wednesday.
For 2014, JPMorgan's estimates for Itaú rose 0.1 percent to
16.336 billion reais, or 3.29 reais per share, from a prior
16.313 billion reais, or 3.28 reais a share. The analysts
maintained the "overweight" recommendation on preferred shares
of Itaú and the 2013 year-end price target of 34
reais per share, or $15 per U.S. traded share.