Stock fact sheet · data as of
Banco de Chile (BCH): fair value, margin of safety and Wheel Score
Ticker symbol BCH · Financial Services · Banks - Regional · Chile · ADR · Speculative Income
BCH is an American depositary share (ADR): the US listing of Banco de Chile, whose own shares trade on its home exchange. It trades in dollars during US hours; currency moves and the home country's rules also affect it, and the depositary bank charges a small yearly fee.
Is BCH undervalued?
BCH closed at 39.49 on 5 Nov 2026 against a GLS average fair value of 39.25 - 0.6% above fair value, which our scans read as "fairly priced". 2 of 8 models are above the current price. There is no discount to lean on here, so the margin of safety is not the reason to look at the stock.
There is a wide gap between 10 Cap (3.97) and GLS Growth (97.77). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files BCH under Speculative - it is losing money or its Piotroski health score is 3 or lower - which caps its Wheel Score at 45 and keeps it out of the Sunday Scan. It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for BCH
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 37.75 | -4% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 27.58 | -30% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 65.87 | +67% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 23.21 | -41% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 97.77 | +148% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 3.97 | -90% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 30.47 | -23% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 27.39 | -31% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -82.53 | -309% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 39.00 | -1% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Banco de Chile scores only 3 of 9 on the Piotroski F-score, which fails the "Piotroski 6 or more" Wheel Trade Filter. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 8.4/10 puts BCH among the more durable businesses we track: over up to ten years its returns on capital have stayed high, its margins steady and its balance sheet sound.
Returns on capital are moderate - ROIC 5.9%, ROE 17.8%, ROA 2.2% - with debt at 2.03 times equity and negative free cash flow. Debt of 2.03 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.
The dividend yield is high at 5.24% (payout ratio 83%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Retail Segment 100% (fiscal year FY2024).
Institutional ownership scores 1/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 3 / 9 | ROIC | 5.9% |
|---|---|---|---|
| GLS Moat | 8.4 / 10 | ROE | 17.8% |
| Debt / equity | 2.03 | ROA | 2.2% |
| Free-cash-flow yield | -1.1% | Payout ratio | 83% |
| Institutions | 1 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 34: Weak
With a Wheel Score of 34 Banco de Chile sits in the Weak band. It fails filter 2, a real business, not a gamble - speculative (a loss, or a weak Piotroski score); and filter 3, below fair value - trades 1% above our fair value; and filter 4, financially healthy - Piotroski 3/9 (under 6); Value (weak) is its weakest part.
Implied volatility is 33% on the near-the-money contracts 20-60 days out: enough to pass the 25-80% Wheel Trade Filter, but under the 35-60% sweet spot the score rewards most. Chain open interest is thin - 1,066 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 295k shares a day on a market cap of $19.9B, with a beta of 0.12 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that good.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Fails | speculative (a loss, or a weak Piotroski score) |
| 3 | Below fair value | Fails | trades 1% above our fair value |
| 4 | Financially healthy | Fails | Piotroski 3/9 (under 6) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 1% above fair value | |
| Premium | Strong | implied volatility 33% | |
| Moat | Strong | moat 8.4/10 | |
| Health | Weak | Piotroski 3/9 | |
| Red Flags | Good | Red Flags score 85/100 | |
| Option trading | Weak | 169 contracts a day, 1,066 open interest | |
| Stability | Good | beta 0.12, $19.9B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 2 Feb 2027, 89 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Banks - Regional
The 12 companies below are the closest to Banco de Chile by market cap within the Banks - Regional industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| EWBC East West Bancorp, Inc. | 134.06 | 175.59 | +24% | 82Good | $18.4B |
| CIB Grupo Cibest S.A. | 94.38 | 180.87 | +48% | 87Prime | $22.3B |
| FCNCO First Citizens BancShares, Inc. | 18.55 | 2,717.08 | +99% | 39No options | $22.4B |
| KEY KeyCorp | 21.55 | 25.37 | +15% | 71Good | $23.3B |
| FCNCB First Citizens BancShares, Inc. | 1,830.00 | 5,222.46 | +65% | 40No options | $24.4B |
| RF Regions Financial Corporation | 29.03 | 29.12 | +0% | 36Weak | $24.7B |
| PNFP Pinnacle Financial Partners, Inc. | 104.26 | 190.56 | +45% | 50Fair | $15.8B |
| BSAC Banco Santander-Chile | 33.07 | 34.04 | +3% | 39Weak | $15.6B |
| FCNCA First Citizens BancShares, Inc. | 2,331.85 | 5,770.93 | +60% | 50Fair | $25.9B |
| BBDO Banco Bradesco S.A. | 2.44 | 16.58 | +85% | 40No options | $27.3B |
| FCNCP First Citizens BancShares, Inc. | 18.13 | 2,716.08 | +99% | 40No options | $27.3B |
| CFG Citizens Financial Group, Inc. | 65.90 | 79.25 | +17% | 70Good | $27.6B |
⚖ Compare BCH with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about BCH
Is BCH undervalued right now?
Not meaningfully: at 39.49 the stock trades within a few percent of the GLS average fair value of 39.25 (0.6% above fair value, data as of 5 Nov 2026).
What is the Wheel Score of BCH and what does it mean?
BCH scores 34 out of 100 (Weak) - it fails Wheel Trade Filters 2, 3, 4. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for BCH?
39.25 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Banco de Chile report earnings next?
The next earnings report is due on 2 Feb 2027, 89 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does BCH have listed options, and how liquid are they?
Yes. The nightly snapshot found 36 listed contracts with 1,066 open interest across all expiries and implied volatility of 33% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.
Is BCH an ADR?
Yes. BCH is an American depositary share (ADR): the US listing of Banco de Chile, whose own shares trade on its home exchange. It trades in dollars during US hours; currency moves and the home country's rules also affect it, and the depositary bank charges a small yearly fee.