Petrobras (PBR) Stock Moves -0.09%: What You Should Know
Petrobras (PBR) closed the most recent trading day at $11.28, moving -0.09% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.3%. At the same time, the Dow lost 0.77%, and the tech-heavy Nasdaq lost 5.51%.
Coming into today, shares of the oil and gas company had gained 6.01% in the past month. In that same time, the Oils-Energy sector gained 2.85%, while the S&P 500 gained 6.41%.
Petrobras will be looking to display strength as it nears its next earnings release. On that day, Petrobras is projected to report earnings of $1.04 per share, which would represent year-over-year growth of 60%. Our most recent consensus estimate is calling for quarterly revenue of $30.2 billion, up 25.67% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Petrobras. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 9.96% lower. Petrobras is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Petrobras has a Forward P/E ratio of 3.17 right now. For comparison, its industry has an average Forward P/E of 3.93, which means Petrobras is trading at a discount to the group.
Investors should also note that PBR has a PEG ratio of 1.69 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Integrated - Emerging Markets was holding an average PEG ratio of 0.89 at yesterday's closing price.
The Oil and Gas - Integrated - Emerging Markets industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 234, putting it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PBR in the coming trading sessions, be sure to utilize Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Petroleo Brasileiro S.A.- Petrobras (PBR) : Free Stock Analysis Report
To read this article on Zacks.com click here.