Empiricus Targets Direcional for High-Yield Play

SAO PAULO — In a tactical portfolio reshuffle, financial research house Empiricus has replaced insurance firm Porto Seguro (PSSA3) with low-income homebuilder Direcional (DIRR3) in its June 2026 dividend portfolio. The strategic rotation comes as analysts identify an overdone selloff in Brazil’s homebuilding sector, creating what they describe as an asymmetric entry point for investors seeking high-dividend yields backed by robust federal subsidies.

The broader homebuilding sector has faced double-digit drops in recent months, weighed down by macroeconomic headwinds including persistent inflation fears and regulatory uncertainties surrounding the FGTS (Severance Indemnity Fund). However, market analysts argue that these steep stock declines do not reflect the operational realities of top-tier developers. Direcional remains highly insulated from these headwinds due to its strategic focus on low-income housing programs like "Minha Casa, Minha Vida," which benefit from consistent federal funding and strong demand.

Operational indicators support this defensive thesis. Direcional reported a record-high adjusted gross margin of 42.9% and an annualized return on equity (ROE) of 38% in the first quarter of 2026, driven by an industrialized construction model and high sales velocity. This operational efficiency allows the developer to maintain strong cash generation and dividend predictability, even amid broader sector volatility.

The rotation occurs against a backdrop of mixed performance across major Brazilian equities. In today's trading, the benchmark Ibovespa index edged up to 173,295.14 points (+0.76%). Among major market heavyweights, state-run oil firm Petrobras (PETR4) slipped to 38.06 BRL (-1.01%) and mining giant Vale (VALE3) traded down at 78.15 BRL (-0.65%), while financial leader Itaú Unibanco (ITUB4) gained ground, trading at 42.24 BRL (+1.29%).