Is Popular (BPOP) Offering Value After Recent Share Price Pullback

Simply Wall St

Sun, March 29, 2026 at 5:04 PM EDT 5 min read

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Wondering whether Popular’s current share price really reflects what the bank is worth, or if the market is missing something.
Popular’s stock closed at US$130.02, with returns of 3.2% year to date and 45.7% over 1 year. The last 7 days and 30 days showed returns of a 0.4% decline and 3.9% decline respectively, which can shift how investors think about risk and opportunity.
Recent coverage has put more attention on Popular’s share price history and balance sheet strength, giving investors fresh information on how the bank is positioned today. At the same time, market commentary has highlighted how bank valuations can react quickly to changes in sentiment and sector trends, which helps frame these moves in context.
On Simply Wall St’s 6 point valuation checklist, Popular scores a 6. The rest of this article will walk through what that means across different valuation approaches and then finish with a broader way to think about what valuation really tells you.

The Excess Returns model looks at how much profit a bank can earn on its equity after covering the cost of that equity, then capitalizes those “extra” returns into a per share value today.

For Popular, the model starts with book value of $94.75 per share and a stable book value estimate of $114.15 per share, based on weighted future book value estimates from 6 analysts. On those equity levels, analysts expect stable EPS of $15.70 per share, sourced from weighted future return on equity estimates from the same 6 analysts.

The cost of equity is put at $7.97 per share, which implies an excess return of $7.73 per share. That is underpinned by an average return on equity of 13.75%. Simply Wall St’s Excess Returns framework converts these inputs into an estimated intrinsic value of US$330.82 per share.

Compared with the recent share price of US$130.02, the implied intrinsic discount of 60.7% suggests Popular screens as materially undervalued on this approach.

Result: UNDERVALUED

Our Excess Returns analysis suggests Popular is undervalued by 60.7%. Track this in your watchlist or portfolio, or discover 62 more high quality undervalued stocks.

BPOP Discounted Cash Flow as at Mar 2026

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Popular.

For profitable companies, the P/E ratio is a useful shorthand for how much investors are paying for each dollar of earnings, which ties directly to what you get today in terms of profit generation.