Lojas Renner (BSP:LREN3) Risk Assessment

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BSP:LREN3 Lojas Renner SA BSP:LREN3
95 GF Score
Price R$14.10
GF Value R$17.29
Valuation Modestly Undervalued
! 1 Warning Sign
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What is Lojas Renner Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Lojas Renner is: Low Risk: Strong fundamentals, worth long-term holding.

Lojas Renner  (BSP:LREN3) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Lojas Renner Risk Assessment Related Terms

BSP:LREN3 vs DDS, M: Risk Assessment Comparison

For the Department Stores subindustry, Lojas Renner's Risk Assessment, along with its competitors' market caps and Risk Assessment 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.

Lojas Renner Risk Assessment vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Lojas Renner's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Lojas Renner's Risk Assessment falls into.


BSP:LREN3
95GF Score
Lojas Renner SA BSP:LREN3
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Is Lojas Renner (BSP:LREN3) Overvalued in 2026?

Based on GuruFocus' analysis, Lojas Renner stock appears to be undervalued. The current stock price of R$14.10 is trading 18.4% below its estimated GF Value™ of R$17.29. GuruFocus considers Lojas Renner to be Modestly Undervalued.

Key valuation signals for BSP:LREN3:

  • Risk Assessment:
  • GF Value™: R$17.29 vs. price of R$14.10 (18.4% below fair value)
  • GF Score™: 95/100 with 1 warning sign

No single metric tells the full story. See the BSP:LREN3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Lojas Renner Business Description

Address Avenida Joaquim Porto Villanova, 401 - B, Jardim do Salso, Porto Alegre, RS, BRA, 91410-400
Lojas Renner SA is an omnichannel fashion retailer in Brazil, bringing together the Renner, Camicado, Youcom, Realize, and Repassa brands in a fashion and lifestyle ecosystem that connects customers through digital channels and physical stores distributed across Brazil, Argentina, and Uruguay. It operates in two segments namely Retail engaged in trade of clothing, perfumery, cosmetics, watches and home & decoration, urban deliveries and logistics management solutions covering the operations of Renner, Camicado, Youcom, Repassa, Uello and operations in Uruguay and Argentina; and Financial products engaged in granting of individual and corporate loans, financing of purchases, insurance and the practice of receivables and payables inherent to credit, financing and investment companies.
95GF Score

Get the complete analysis for BSP:LREN3

Risk Assessment is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

R$14.10
Price
R$17.29
GF Value