Davivienda Group preferred (PFDAVVNDA.CL) fair value

ACCE thesis

Davivienda is a Colombian bank whose preferred shares carry the PFDAVVNDA.CL line, funding a retail and corporate lending book that spans consumer loans, mortgages and SME credit across Colombia and its Central American operations. The franchise sits inside a concentrated local market, and its 22.1% operating margin and 48.4% revenue growth, against a 10.3% ROE, point to a bank earning well on new lending while its equity base is still catching up. At a trailing P/E of 8.4 the stock screens cheap relative to its earnings power, though the absence of a forward multiple means the consensus earnings path is thin in this data set. The preferred share structure and the absence of index membership mean liquidity and ownership are narrower than the common stock, which is worth checking before sizing. The 82/100 score is high enough to justify a closer look at the loan book quality and funding costs before anything else.