NYSE:PBR.A

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Petróleo Brasileiro - Petrobras

Executive Summary

Petróleo Brasileiro S.A. - Petrobras produce and sells oil and gas in Brazil and internationally. More Details


Snowflake Analysis

Reasonable growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Petróleo Brasileiro - Petrobras's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PBR.A is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: PBR.A's weekly volatility (10%) has been stable over the past year.


Market Performance


7 Day Return

-12.7%

PBR.A

1.3%

US Oil and Gas

-0.7%

US Market


1 Year Return

-33.1%

PBR.A

8.1%

US Oil and Gas

36.6%

US Market

Return vs Industry: PBR.A underperformed the US Oil and Gas industry which returned 5.3% over the past year.

Return vs Market: PBR.A underperformed the US Market which returned 41.9% over the past year.


Shareholder returns

PBR.AIndustryMarket
7 Day-12.7%1.3%-0.7%
30 Day-21.4%21.6%4.3%
90 Day-22.5%29.2%8.1%
1 Year-33.1%-33.1%15.6%8.1%39.6%36.6%
3 Year-40.4%-43.7%-12.1%-24.5%53.5%43.7%
5 Year107.8%96.2%7.4%-13.6%123.7%98.8%

Long-Term Price Volatility Vs. Market

How volatile is Petróleo Brasileiro - Petrobras's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Petróleo Brasileiro - Petrobras undervalued compared to its fair value and its price relative to the market?

10.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PBR.A ($7.69) is trading below our estimate of fair value ($8.61)

Significantly Below Fair Value: PBR.A is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: PBR.A is poor value based on its PE Ratio (40.4x) compared to the US Oil and Gas industry average (10.7x).

PE vs Market: PBR.A is poor value based on its PE Ratio (40.4x) compared to the US market (21.7x).


Price to Earnings Growth Ratio

PEG Ratio: PBR.A is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: PBR.A is good value based on its PB Ratio (0.9x) compared to the US Oil and Gas industry average (1.4x).


Next Steps

Future Growth

How is Petróleo Brasileiro - Petrobras forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

35.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PBR.A's forecast earnings growth (35.4% per year) is above the savings rate (2%).

Earnings vs Market: PBR.A's earnings (35.4% per year) are forecast to grow faster than the US market (18.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PBR.A's revenue (13.9% per year) is forecast to grow faster than the US market (10.7% per year).

High Growth Revenue: PBR.A's revenue (13.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PBR.A's Return on Equity is forecast to be low in 3 years time (16%).


Next Steps

Past Performance

How has Petróleo Brasileiro - Petrobras performed over the past 5 years?

28.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PBR.A has a large one-off loss of R$36.9B impacting its December 31 2020 financial results.

Growing Profit Margin: PBR.A's current net profit margins (2.9%) are lower than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: PBR.A has become profitable over the past 5 years, growing earnings by 28.8% per year.

Accelerating Growth: PBR.A's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PBR.A had negative earnings growth (-75.9%) over the past year, making it difficult to compare to the Oil and Gas industry average (-38.8%).


Return on Equity

High ROE: PBR.A's Return on Equity (2%) is considered low.


Next Steps

Financial Health

How is Petróleo Brasileiro - Petrobras's financial position?


Financial Position Analysis

Short Term Liabilities: PBR.A's short term assets (R$142.3B) exceed its short term liabilities (R$136.3B).

Long Term Liabilities: PBR.A's short term assets (R$142.3B) do not cover its long term liabilities (R$540.0B).


Debt to Equity History and Analysis

Debt Level: PBR.A's debt to equity ratio (90%) is considered high.

Reducing Debt: PBR.A's debt to equity ratio has reduced from 190.5% to 90% over the past 5 years.

Debt Coverage: PBR.A's debt is well covered by operating cash flow (52.9%).

Interest Coverage: PBR.A's interest payments on its debt are well covered by EBIT (6.6x coverage).


Balance Sheet


Next Steps

Dividend

What is Petróleo Brasileiro - Petrobras's current dividend yield, its reliability and sustainability?

3.58%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PBR.A's dividend (3.58%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: PBR.A's dividend (3.58%) is low compared to the top 25% of dividend payers in the US market (3.72%).


Stability and Growth of Payments

Stable Dividend: PBR.A's dividend payments have been volatile in the past 10 years.

Growing Dividend: PBR.A's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (144.5%), PBR.A's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PBR.A's dividends in 3 years are forecast to be well covered by earnings (16.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Roberto da Cunha Castello Branco (76 yo)

2.17yrs

Tenure

Mr. Roberto da Cunha Castello Branco has been the Chief Executive Officer, President and Director of Petróleo Brasileiro S.A. - Petrobras since January 3, 2019 and serves as its Member of Executive Board. ...


Leadership Team

NamePositionTenureCompensationOwnership
Roberto da Cunha Castello Branco
CEO, President2.17yrsno datano data
Andrea Marques Almeida
CFO, Chief Investor Relations Officer & Member of Executive Board1.83yrsno datano data
Carlos Alberto de Oliveira
Chief Exploration & Production Officer and Member of Executive Boardno datano datano data
Rudimar Lorenzatto
Chief Production Development Officer & Member of Executive Boardno datano datano data
Roberto Ardenghy
Chief Institutional Relationsan & Sustainability Officer and Member of Executive Boardno datano datano data
Marcelo de Castro Zenkner
Chief Governanceno datano datano data
Nicolas Simone
Chief Digital Transformation & Innovation Executive Officer and Member of Executive Boardno datano datano data
Andre Chiarini
Chief Trading & Logistics Officer and Member of Executive Boardno datano datano data
Rodrigo Alves
Chief Accounting & Tax Officerno datano datano data
Hélio Júnior
Acting General Counselno datano datano data
Bruno Motta
Executive Manager of Communication & Brandsno datano datano data
Sérvio Tinoco
Chief Financial Officer of Pifco15.5yrsno datano data

2.2yrs

Average Tenure

57yo

Average Age

Experienced Management: PBR.A's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Roberto da Cunha Castello Branco
CEO, President2.17yrsno datano data
Daniel de Oliveira
Chairman & CEO of Pifco15.5yrsno datano data
Omar Da Cunha Sobrinho
Director0.67yrno datano data
Joao Neto
Independent Director2.17yrsno datano data
Paulo de Souza e Silva
Director0.67yrno datano data
Marcelo Mesquita de Siqueira Filho
Independent Director4.58yrsno datano data
Ruy Schneider
Director0.67yrno datano data
Rodrigo de Mesquita Pereira
Director0.67yrno datano data
Eduardo Bacellar Ferreira
Chairman of the Board2.17yrsno datano data
Nivio Ziviani
Independent Director2.17yrsno datano data
Rosangela Torres
Director0.67yrno datano data
Leonardo Antonelli
Director0.67yrno datano data

1.4yrs

Average Tenure

68.5yo

Average Age

Experienced Board: PBR.A's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Petróleo Brasileiro S.A. - Petrobras's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Petróleo Brasileiro S.A. - Petrobras
  • Ticker: PBR.A
  • Exchange: NYSE
  • Founded: 1953
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Market Cap: R$287.047b
  • Listing Market Cap: R$51.477b
  • Shares outstanding: 13.04b
  • Website: https://petrobras.com.br/pt

Number of Employees


Location

  • Petróleo Brasileiro S.A. - Petrobras
  • Avenida RepUblica do Chile, 65
  • Centro
  • Rio De Janeiro
  • Rio de Janeiro
  • 20031-912
  • Brazil

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PETR4BOVESPA (Bolsa de Valores de Sao Paulo)YesPreferred SharesBRBRLAug 1991
XPBRABME (Bolsas y Mercados Espanoles)YesPreferred SharesESEURAug 1991
PJXBDB (Deutsche Boerse AG)YesPreferred SharesDEEURAug 1991
PETR3BOVESPA (Bolsa de Valores de Sao Paulo)Common SharesBRBRLNov 1992
XPBRBME (Bolsas y Mercados Espanoles)Common SharesESEURNov 1992
PJXCDB (Deutsche Boerse AG)Common SharesDEEURNov 1992
PBR.ANYSE (New York Stock Exchange)SP ADR NON VTGUSUSDSep 1997
PJXDB (Deutsche Boerse AG)SP ADR NON VTGDEEURSep 1997
PBRA NBMV (Bolsa Mexicana de Valores)SP ADR NON VTGMXMXNSep 1997
PBRNYSE (New York Stock Exchange)SPONSORED ADRUSUSDAug 2000
PJXADB (Deutsche Boerse AG)SPONSORED ADRDEEURAug 2000
PBR NBMV (Bolsa Mexicana de Valores)SPONSORED ADRMXMXNAug 2000
0KHPLSE (London Stock Exchange)SPONSORED ADRGBUSDAug 2000
PBRBASE (Buenos Aires Stock Exchange)CEDEAR EACH REPR 1 ADS NPVARARSOct 2019

Biography

Petróleo Brasileiro S.A. - Petrobras produce and sells oil and gas in Brazil and internationally. It engages in prospecting, drilling, refining, processing, trading, and transporting crude oil from produci...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/02 23:21
End of Day Share Price2021/03/02 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.