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Research evidence excerpt

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Latin America Equity Research

LatAm First to Market 16 July 2026

Aura Minerals (Tathiane Martins Candini)

Lowering Estimates, Maintaining Overweight

We are updating our outlook on Aura Minerals to reflect a materially changed gold price environment. Following a stretch of

robust central bank–led demand that propelled gold to record levels, the JPM Commodities team has revised its near-term

price forecasts sharply lower, as the market's marginal price driver shifts back to rate-sensitive ETF flows and, with them, a

renewed sensitivity to the Fed's policy path. This near-term reset, however, does not alter the structural, long-term bullish case

for gold, which remains anchored in ongoing central bank diversification away from the US dollar and significant remaining "dry

powder" for future buying. Against this backdrop - and following Aura's recent production and sales miss, we have incorporated

a new price deck into our estimates and latest production figures, resulting in a revised price target. Even so, we reaffirm our

Overweight rating, as we continue to see compelling upside to the shares, supported by an attractive dividend yield and strong

free cash flow generation for 2027.

Localiza (Guilherme Mendes) (RENT3 BZ, OW, PT R$69.00)

2Q26 Earnings Preview: Robust Seminovos Sales Help Counterbalance Increased Depreciation

We expect Localiza (OW) to deliver decent 2Q results, supported by resilient performance in the rental segment and strong

Seminovos sales (90.6k units), being partially offset by higher depreciation rates. We model net income of R$961 million (-3%

vs. consensus), supported by adequate profitability across the board (we assume margins of 67.2% for RAC Brazil, 75.5% for

GTF, and 2.6% for Seminovos ).