Updated on April 15th, 2026 by Josh Arnold
Most stocks that pay dividends do so quarterly, semi-annually, or annually. However, a small group of stocks pay their dividends monthly. Monthly dividend stocks naturally appeal to investors as they make 12 dividend payouts to shareholders each year instead of the more common four payments.
Monthly dividend stocks are equally rare among international dividend stocks. Banco Bradesco S.A. (BBD) is a monthly dividend stock with a projected 2026 yield of 6.7%.
You can download our full Excel list of 76 monthly dividend stocks (along with important metrics like dividend yields and payout ratios) by clicking on the link below:
Of course, investors should exercise caution when it comes to monthly dividend stocks. Before buying shares, investors should always evaluate a company based on its business model strength, competitive advantages, and growth potential.
This article will discuss Banco Bradesco in greater detail.
Business Overview
Banco Bradesco is a financial services company based in Brazil. It offers various banking products and financial services to individuals, corporations, and businesses in Brazil and internationally. The company’s two main segments are banking and insurance, including checking and savings accounts, demand deposits, time deposits, accident and property insurance products, and investment products. The company generates around $29 billion in annual revenue.
The 2020 COVID-19 pandemic was very difficult for Banco Bradesco, as the coronavirus pandemic negatively impacted the global economy. Fortunately, 2021 was a year of recovery for banks such as Banco Bradesco, which have benefited from the return to economic growth.
Source: Investor Presentation
Banco Bradesco posted fourth quarter and full-year earnings on February 6th, 2026, and results were quite strong. For the year the banking segment saw net interest income rise 15% from 2024 to $13.6 billion. That was driven by 11% expansion in the loan portfolio, which ended the year at $202 billion.
Insurance operations were strong again, reaching more than $4 billion in revenue for the year, and net income of $1.87 billion. This strength was primarily attributed to consistent underwriting discipline and good investment returns.
Net income for the consolidated company was $4.57 billion, up 26% year-over-year. Fee and commission income was up 9%, while credit quality remained strong. Earnings finished 2025 at 42 cents per share, and we see 50 cents for 2026.
We’ll now look at Banco Bradesco’s growth prospects in detail.
Growth Prospects
Banco Bradesco’s earnings-per-share growth has been improving gradually in constant currency but has shown as flat or reduced over the years when converted in USD, due to BRL/USD depreciation. Foreign exchange risk is a significant consideration for U.S. investors when buying international stocks.
That said, the company has been successful in generating organic growth. Continued loan growth should support future growth for BBD.
Source: Investor Presentation
Banco Bradesco possesses competitive advantages that should fuel its expected growth, primarily its size, industry position, and healthy capital structure. Liquidity coverage is also ample enough to ensure funds are available if needed. However, investors in the US are subject to the very volatile market for Brazil’s currency against the US dollar. The Real has moved from $0.17 to $0.20 over the past year, and with significant volatility in between.
Fortunately, despite the lack of earnings growth, we view the company’s dividend payout as secure, given the comfortable dividend payout ratio of 52%.
Dividend Analysis
We are expecting FY2026 dividends of $0.26 per share. With a current share price of $4.11, the stock has a 6.7% dividend yield.
Furthermore, BBD stock is even more appealing because of its monthly dividend. Dividend payments are made monthly, which is quite rare for an international company, and in particular, for a bank.
It is worth noting that the company’s dividend grew consecutively annually from 2012 to 2019, but again, forex changes have distorted that amount.
Regarding dividend safety, we expect the company to report a full-year EPS of $0.50. This means the company has a projected dividend payout ratio of 52% for 2026, a healthy payout ratio that indicates the dividend is sustainable, barring a deep and severe economic downturn in Brazil.
While Banco Bradesco’s dividend is inconsistent and will continue to vary based on the company’s underlying results and forex changes, the current level should be considered relatively safe and well-covered by the company’s cash from operations. We note that with little or no earnings growth, investors should not expect meaningful expansion in the dividend payout.
Final Thoughts
Banco Bradesco struggled during the coronavirus pandemic, but it recovered a bit in 2021 and continues to generate profits today. Banco Bradesco is also a well-managed financial services company.
For American investors, BBD’s underlying growth has been overwhelmed by BRL’s recent appreciation relative to the USD. Currency risk is an important factor in international stocks, and BBD is a prime example.
Shares currently yield almost 7% and make monthly dividend payments, making the stock an interesting option for income investors. With a payout ratio of 52%, the dividend payout appears secure. At the same time, the company poses various risks, including foreign exchange and economic conditions in Brazil.
Therefore, only risk-tolerant income investors should consider a position in BBD stock.
Don’t miss the resources below for more monthly dividend stock investing research.
And see the resources below for more compelling investment ideas for dividend growth stocks and/or high-yield investment securities.
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