The stock price of Petroleo Brasileiro S.A. Petrobras ADR (NYSE: PBR) has plunged by -0.19 when compared to previous closing price of 15.52, but the company has seen a 1.84% gain in its stock price over the last five trading sessions. Reuters reported 2024-04-07 that President Luiz Inacio Lula da Silva called a meeting on Sunday evening with three cabinet ministers that could decide on whether to replace the chief executive of Brazil’s state-run oil company Petrobras Jean Paul Prates, two sources told Reuters.
Is It Worth Investing in Petroleo Brasileiro S.A. Petrobras ADR (NYSE: PBR) Right Now?
Petroleo Brasileiro S.A. Petrobras ADR (NYSE: PBR) has a price-to-earnings ratio of 4.05x that is above its average ratio. Additionally, the 36-month beta value for PBR is 1.53. There are mixed opinions on the stock, with 5 analysts rating it as a “buy,” 1 rating it as “overweight,” 7 rating it as “hold,” and 2 rating it as “sell.”
The public float for PBR is 3.72B and currently, short sellers hold a 0.64% ratio of that float. The average trading volume of PBR on April 08, 2024 was 19.63M shares.
PBR’s Market Performance
The stock of Petroleo Brasileiro S.A. Petrobras ADR (PBR) has seen a 1.84% increase in the past week, with a -7.19% drop in the past month, and a -5.26% fall in the past quarter. The volatility ratio for the week is 2.83%, and the volatility levels for the past 30 days are at 2.91% for PBR. The simple moving average for the last 20 days is 3.16% for PBR stock, with a simple moving average of 3.66% for the last 200 days.
Analysts’ Opinion of PBR
Many brokerage firms have already submitted their reports for PBR stocks, with HSBC Securities repeating the rating for PBR by listing it as a “Buy.” The predicted price for PBR in the upcoming period, according to HSBC Securities is $18 based on the research report published on March 25, 2024 of the current year 2024.
Morgan Stanley, on the other hand, stated in their research note that they expect to see PBR reach a price target of $18, previously predicting the price at $20. The rating they have provided for PBR stocks is “Equal-Weight” according to the report published on March 11th, 2024.
BofA Securities gave a rating of “Neutral” to PBR, setting the target price at $16 in the report published on March 08th of the current year.
PBR Trading at -4.73% from the 50-Day Moving Average
After a stumble in the market that brought PBR to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -13.51% of loss for the given period.
Volatility was left at 2.91%, however, over the last 30 days, the volatility rate increased by 2.83%, as shares sank -7.25% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -2.52% lower at present.
During the last 5 trading sessions, PBR rose by +1.84%, which changed the moving average for the period of 200-days by +8.85% in comparison to the 20-day moving average, which settled at $14.95. In addition, Petroleo Brasileiro S.A. Petrobras ADR saw -3.01% in overturn over a single year, with a tendency to cut further losses.
Stock Fundamentals for PBR
Current profitability levels for the company are sitting at:
- 0.39 for the present operating margin
- 0.52 for the gross margin
The net margin for Petroleo Brasileiro S.A. Petrobras ADR stands at 0.24. The total capital return value is set at 0.22. Equity return is now at value 33.85, with 12.40 for asset returns.
Based on Petroleo Brasileiro S.A. Petrobras ADR (PBR), the company’s capital structure generated 0.31 points at debt to capital in total, while cash flow to debt ratio is standing at 1.19. The debt to equity ratio resting at 0.46. The interest coverage ratio of the stock is 10.22.
Currently, EBITDA for the company is 52.73 billion with net debt to EBITDA at 1.08. When we switch over and look at the enterprise to sales, we see a ratio of 1.53. The receivables turnover for the company is 14.05for trailing twelve months and the total asset turnover is 0.47. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.96.
Conclusion
In conclusion, Petroleo Brasileiro S.A. Petrobras ADR (PBR) has seen mixed performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
