Yahoo Finance Petrobras (PBR) Stock Sinks As Market Gains: What You Should Know
Petrobras (PBR) closed the most recent trading day at $11.60, moving -1.36% from the previous trading session. This change lagged the S&P 500's 0.09% gain on the day. At the same time, the Dow added 0.07%, and the tech-heavy Nasdaq gained 0.98%.
Heading into today, shares of the oil and gas company had gained 22.12% over the past month, outpacing the Oils-Energy sector's gain of 8.83% and the S&P 500's gain of 4.59% in that time.
Wall Street will be looking for positivity from Petrobras as it approaches its next earnings report date. In that report, analysts expect Petrobras to post earnings of $0.79 per share. This would mark a year-over-year decline of 38.76%. Our most recent consensus estimate is calling for quarterly revenue of $27.69 billion, up 1.83% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.23 per share and revenue of $108.86 billion, which would represent changes of -38.94% and -12.55%, respectively, from the prior year.
Any recent changes to analyst estimates for Petrobras should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 5.84% lower within the past month. Petrobras is currently a Zacks Rank #5 (Strong Sell).
In terms of valuation, Petrobras is currently trading at a Forward P/E ratio of 3.64. Its industry sports an average Forward P/E of 4.3, so we one might conclude that Petrobras is trading at a discount comparatively.
Investors should also note that PBR has a PEG ratio of 1.94 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Integrated - Emerging Markets was holding an average PEG ratio of 1.94 at yesterday's closing price.
The Oil and Gas - Integrated - Emerging Markets industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 245, which puts it in the bottom 3% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
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Petroleo Brasileiro S.A.- Petrobras (PBR) : Free Stock Analysis Report
