Bancolombia (CIB), mcap=$6.1bn, price $25.46 vs $28.20

$CIB pitch:
– Colombia’s largest bank at 5xPE and 0.9xBV – cheap historically and vs Latam peers.
– Partially macro and political bet on Colombia’s economy as well as rerating of Colombian equities.
– Concerns over the New Regime & Socialism are overblown.
– 10% dividend yield while waiting for re-rating.

$CIB valuation:
– Sits at 5x PE and under 0.9x BV, 50% discount vs historical average PE.
– Latam peers trade at 7-8x PE and 1.3-2.0x BV.

Exp. gain: Not specified.

Full CIB write-up (free guest account required):
https://www.valueinvestorsclub.com/idea/BANCOLOMBIA_SA/0220648880

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