What are the largest companies in Brazil? In what do they operate? What makes them so competitive?
These are widespread doubts among those who start investing. Therefore, it is worth reading and understanding more about these companies.
Unlike many countries, such as the United States, the stock market in Brazil consists of only one stock exchange, the B3.
In this sense, almost all the biggest companies in Brazil are indeed listed on the Brazilian stock exchange (B3).
For the B3, Brazil’s largest companies have the highest Market Cap (market capitalization), i.e., the total value of a company’s outstanding shares at any given time.
Understanding which are the biggest companies in Brazil helps to understand the composition of the Ibovespa index, the Brazilian benchmark for the stock market.
THE TEN BIGGEST COMPANIES IN BRAZIL ON THE STOCK EXCHANGE
#10 Banco do Brasil (R$108 billion – US$21 billion)
Despite being a state-owned company, Banco do Brasil has very solid corporate governance and delivers good profitability to its shareholders. Its trading ticker is BBSA3.
#9 Santander (R$112 billion)
Santander is a Spanish bank that established itself in Brazil and quickly gained space. Today, it is one of the big Brazilian banks and one of the biggest companies on the Brazilian stock exchange. Its trading ticker is SANB11.
#8 Eletrobrás (R$113 billion)
Eletrobrás has undergone significant changes in recent years: with its signification in 2022, the largest electric company in the country sought to improve its efficiency and profitability. Its trading ticker is ELET3.
#7 BBM Logística (R$160 billion)
BBM Logística is one of the leading road logistics companies in Mercosur. It is one of the largest companies in Brazil and one of the fastest growing in the sector in the Americas. Its trading ticker is BBML3.
#6 Weg (R$165 billion)
Weg operates in the industrial sector and produces several types of industrialized products for clients worldwide, such as motors, paints, and varnishes.
In addition, the company has already signaled its entry into more technological markets with higher added value. Its trading ticker is WEGE3.
#5 Bradesco (R$195 billion)
Bradesco is one of the largest banks in the country and has the differential: a large part of its revenue comes from insurance, showing a different performance from its peers. Its trading ticker is BBDC4.
#4 Ambev (R$250 billion)
Ambev is the biggest brewery in the world and is managed by none other than the wealthiest man in Brazil, Jorge Paulo Lemann, along with his partners.
The company has grown exponentially, buying several breweries in Brazil and abroad.
Today, it dominates the industry’s domestic market and is one of the largest companies in Brazil. Its trading ticker is ABEV3.
#3 Itaú Unibanco (R$275 billion)
Itaú is the largest bank in Latin America, consolidated after purchasing several institutions in the sector, the most relevant being Unibanco, thus generating the holding Itaú Unibanco. Its trading ticker is ITUB4.
The company, moreover, is already preparing for the new reality of the finance market in Brazil through its fintech iti.
2. Vale (R$323 billion)
In second place is Vale. The company is the largest mining company in the world and one of the most important in the Brazilian economic scenario. Its trading ticker is VALE3.
Vale was privatized in the 1919s and since then has increased its efficiency, market size, and profitability, bringing very positive returns to its shareholders.
#1 Petrobras (R$429 billion)
In first place in market value is Petrobras: the Brazilian oil giant. The company was the target of corruption under Lula da Silva and Dilma Rousseff but has recently undergone a major revitalization.
Its shares went from very low to the highest in the company’s history, showing how it has managed to get back on its feet in recent years.
In 2022, the company paid the most dividends in the world.
The company, which is still state-owned, got rid of unproductive assets and sought to focus on activities that bring more profitability to its shareholders. Its trading ticker is PETR4.
With information from Exame