Despite a rough stretch for Brazilian shares, weaker-than-hoped economic growth and a softer real aren't yet priced into analyst estimates, says the team at UBS.
With an upcoming election and maybe even worsening macro situation, a sizable rebound seems unlikely.
According to UBS's analysis, only 4 of 17 market sectors are trading one standard deviation below their long-term averages.
The iShares MSCI Brazil Capped ETF (NYSEARCA:EWZ) down 19% YTD.
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