Banco de Brasil is world's cheapest bank after govt stake sale

Sao Paulo

BANCO do Brasil SA has always traded at a discount to its Brazilian peers. Now, it's the world's cheapest bank after the government started selling part of its stake.

Banco do Brasil, controlled by the federal government, trades at 5 times forecast earnings for the next 12 months. That's the lowest ratio among the world's top 100 banks by market value, which traded at an average of 11.5 times earnings, data compiled by Bloomberg show.