BAP - Credicorp Shaking Off The Pandemic And Getting Back To Business As Usual

• Credicorp has continued to benefit from better-than-expected credit evolution and demand for loans is starting to pick up again.
• This Peruvian bank is not particularly asset-sensitive, and loan growth will be mitigated by Reactiva loan run-off, but double-digit revenue growth and single-digit opex growth can drive strong earnings growth.
• I'm not fully convinced that the political situation in Peru is no longer a risk, but it seems like the more dire scenarios are off the table now.
• Long-term core earnings growth in the low double-digits can support a double-digit annualized return from here, but shorter-term valuation metrics are more "okay" than compelling.

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