* The 5-Year Book Value Growth Rate is the 5-year average Book Value per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for Banco Mercantil do Brasil's PEG Ratio or its related term are showing as below:
BSP:BMEB3'
s PEG Ratio Range Over the Past 10 Years
Min: 0.36 Med: 0.84 Max: 6.24
Current: 0.39
During the past 13 years, Banco Mercantil do Brasil's highest PEG Ratio was 6.24. The lowest was 0.36. And the median was 0.84.
BSP:BMEB3's PEG Ratio is ranked better than 92.1% of 1228
companies
in the Banks industry
Industry Median: 1.53
vs BSP:BMEB3: 0.39
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Banco Mercantil do Brasil (BSP:BMEB3) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Banco Mercantil do Brasil PEG Ratio Related Terms
Banco Mercantil do Brasil PEG Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Banco Mercantil do Brasil PEG Ratio Competitor Comparison
For the Banks - Regional subindustry, Banco Mercantil do Brasil's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Banco Mercantil do Brasil PEG Ratio vs Banks Industry
For the Banks industry and Financial Services sector, Banco Mercantil do Brasil's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Banco Mercantil do Brasil's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year Book Value Growth Rate is the 5-year average Book Value per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Banco Mercantil do Brasil (BSP:BMEB3) has a PEG Ratio of 0.39 as of Jul. 04, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Banco Mercantil do Brasil and its competitors. This is 54% below median its historical median of 0.84. Over the past decade, Banco Mercantil do Brasil's PEG Ratio has ranged from 0.36 to 6.24. According to the industry distribution chart, Banco Mercantil do Brasil ranks #97 out of 1228 companies in the Banks industry, placing it in the top 7.9%.
Is Banco Mercantil do Brasil's PEG Ratio too high?
Banco Mercantil do Brasil's current PEG Ratio of 0.39 is 54% below median its 10-year median of 0.84. Over the past 10 years, this metric has ranged from a low of 0.36 to a high of 6.24. The Banks industry median PEG Ratio is 1.53. Banco Mercantil do Brasil's value of 0.39 is 74.5% below this industry median. Based on the distribution chart, Banco Mercantil do Brasil ranks #97 out of 1228 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Banco Mercantil do Brasil has a GF Score™ of 57/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Banco Mercantil do Brasil's PEG Ratio compare to competitors?
According to the Banks industry distribution chart, Banco Mercantil do Brasil ranks #97 out of 1228 companies for PEG Ratio. This places Banco Mercantil do Brasil in the top 8% of its industry — outperforming the majority of peers. The industry median PEG Ratio is 1.53. Banco Mercantil do Brasil's value of 0.39 is 74.5% below this benchmark. Historically, Banco Mercantil do Brasil's own PEG Ratio has ranged from 0.36 to 6.24 over the past decade. While the company's 10-year median is 0.84 vs. the industry median of 1.53, Banco Mercantil do Brasil has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for a Banks company?
The median PEG Ratio among Banks companies is 1.53, based on 1,228 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Banco Mercantil do Brasil's current PEG Ratio of 0.39 is 74.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Banco Mercantil do Brasil and its competitors. For the Banks industry, the median PEG Ratio is 1.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Banco Mercantil do Brasil's current PEG Ratio is 0.39, which is 54% below median its own 10-year median of 0.84. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Banco Mercantil do Brasil stock overvalued right now?
Based on GuruFocus' analysis, Banco Mercantil do Brasil (BSP:BMEB3) is currently considered Modestly Overvalued. The stock's GF Value™ is R$40.90, compared to a current price of R$50.18 — trading 22.7% above its estimated fair value. The current PEG Ratio is 0.39, which is 54% below median its 10-year median of 0.84 and 74.5% below the Banks industry median of 1.53. Banco Mercantil do Brasil's overall GF Score™ is 57/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Banco Mercantil do Brasil (BSP:BMEB3), the current PEG Ratio is 0.39 as of Jul. 04, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Banco Mercantil do Brasil (BSP:BMEB3) Overvalued in 2026?
Based on GuruFocus' analysis, Banco Mercantil do Brasil stock appears to be overvalued.
The current stock price of R$50.18 is trading 22.7% above its estimated GF Value™ of R$40.90.
GuruFocus considers Banco Mercantil do Brasil to be Modestly Overvalued.
Key valuation signals for BSP:BMEB3:
PEG Ratio: 0.39 (54% below median its 10-year median of 0.84)
GF Value™: R$40.90 vs. price of R$50.18 (22.7% above fair value)
Industry Position: 74.5% below the Banks median (#97 of 1228)
No single metric tells the full story. See the BSP:BMEB3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Banco Mercantil do Brasil SA offers commercial banking services. It offers personal and corporate credit cards, lease financing, business financing services, Internet banking, and other financial services. The company offers checking and savings accounts, and time deposits and funds; payroll-deductible loans, personal loans, overdraft facilities, credit cards, and vehicle financing services; private pension, insurance, and capitalization products and services; and collection, payment of taxes and fees to individuals.
57GF Score
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