Latam Financials: Notes From The Road - European Investors’ Attention Shifts to the Andes as Brazil/Mexico Cool

Research evidence excerpt

Latam Financials: Notes From The Road - European Investors’ Attention Shifts to the Andes as Brazil/Mexico Cool

J P M O R G A N Latin America Equity Research

12 July 2026

Latam Financials

Notes From The Road - European Investors’ Attention

Shifts to the Andes as Brazil/Mexico Cool

We spent last week marketing in Europe and met with ~25 investors. Brazil and Latin American Financials

ACMexico drew less attention than in our prior trips - which can be perceived as Yuri R Fernandes

positive given low expectations. In Brazil, election outlook was a more active (1-212) 622-3400

topic, with questions framed around downside/alternative scenarios. Positioning yuri.r.fernandes@jpmorgan.com

continues to tilt toward higher-quality names, especially ITUB and BTG, and J.P. Morgan Securities LLC

investors generally prefer B3 (Neutral) over our more favorable view on OW-rated Guilherme Grespan

XP. Nubank came up in most meetings, but more incidentally than before. While (55-11) 4950-3058

guilherme.grespan@jpmorgan.com

we see valuations as discounted and expect a positive 2Q26 supported by a rebound Banco J.P. Morgan S.A.

in risk-adjusted NIM, most conversations focused on potential EPS downside into

Fernanda Sayao

2027 (growth and/or asset quality), US investment, and management turnover. In (55-11) 4950-6588

Mexico, investors seem to be on hold -disappointed with the macro outlook, but fernanda.sayao@jpmchase.com

still supported by attractive dividend yields and steady local pension flows. By Banco J.P. Morgan S.A.

contrast, demand for Andean banks- particularly Peru/Credicorp - was materially Diego Marquez Antonio

higher, and we received pushback on our recent downgrade. Argentina also saw a (52-55) 5339-94899

meaningful pickup in investor interest. Details below.