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Petróleo Brasileiro S.A. - Petrobras (PBR)

NYSE - NYSE Delayed price. Currency in USD
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14.85+0.34 (+2.34%)
At close: 04:00PM EDT
14.89 +0.04 (+0.27%)
Pre-market: 04:50AM EDT
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  • H
    Hookem
    Brazilian President Jair Bolsonaro suggested on Monday he may tinker with state-run company Petrobras' profit policy, cutting the percentage distributed to shareholders, as he looks to curb fuel price hikes ahead of the country's October elections.

    In a speech during an event in Sao Paulo, Bolsonaro said that all the oil companies in the world have reduced their profit margins during this economic crisis, except for Petrobras.

    Earlier, the president said "there is more to come on the oil issue" and the government is "looking for alternatives."

    "We will certainly get involved with Petrobras on these issues as well. It is not possible for an oil company to have a 30% profit while the others have at most 15%," he said.

    Last week, Bolsonaro fired the then Minister of Mines and Energy, Bento Albuquerque, and replaced him with high-ranking Economy Ministry official Adolfo Sachsida in another sign of political turmoil over fuel-price hikes by Petrobras.
  • A
    Anonymous
    What makes pbra a preferred stock series? Is there a guaranteed min distribution?
  • A
    Anonymous
    Since the govt is the largest shareholder, then cutting the payout should hurt the govt more than private shareholders. And in the US his statement would probably result in shareholder lawsuits for damages to stock price.
  • V
    Vince
    Brazil Considers Full Privatization Of Oil Giant Petrobras
    By Irina Slav - May 12, 2022, 10:30 AM CDT
    The new energy minister of Brazil will study the option of privatizing state oil giant Petrobras, he said in his first news conference.

    "I request the beginning of the studies pending the proposal of the legislative changes necessary for the Petrobras' privatization," Adolfo Sachsida said, as quoted by Reuters.

    The idea of privatizing Brazil's state oil company is not new. In 2019, there were reports that the Bolsonaro government was looking to take the company fully private by the end of 2022, which is also the end of its term.

    "There are big guys thinking they won't be privatized, but we will get there," Economy Minister Paulo Guedes said at the time.
    Petrobras is currently on a collision course with Brazil's president, Jair Bolsonaro, after it booked higher profits thanks to the international oil price rally and soon after raised diesel prices for the domestic market, again in line with global trends in the industry.

    Bolsonaro criticized the state oil company for its "abusive" profit, according to a Bloomberg report, and said, "I ask Petrobras to be responsible and not increase diesel prices."

    The state oil company booked a profit of $9 billion for the first quarter, which was as much as 40 times higher than its net result for the first quarter of 2021.

    Petrobras regularly becomes the target of government criticism when it raises domestic prices for its product, which it this time did on Monday, raising diesel prices by 9 percent.

    Bloomberg noted in its report that there is a widely held belief that as a state-owned company, the oil major should work to shield Brazilians from the effects of global market trends when it comes to setting local fuel prices.

    Yet if the company is privatized, it will be putting the interests of its shareholders over the interests of its consumers, and that could lead to higher prices as well if international oil prices remain high.
  • K
    Kris Jon and Kathy Knight
    When is the actual EX and dividend date on this stock??
    Yahoo, fidelity and Dividend investor all have dif. dates...

    Ex and Pay dates please if anyone knows...

    thank you in advance!
  • p
    paola
    Petrobras made Goldman’s list in part because of its exposure to higher oil prices, as well as an estimated dividend yield of 35% for 2022.

    “PBR has been tracking international fuel prices thus benefiting from higher oil prices and crack spreads. Coupled with a lighter balance sheet … and capex still near cycle lows (harvest mode) this should translate into strong FCF and dividends,” Goldman said.

    I had to buy an expensive subscription to get this info
  • J
    Jeff
    Man, can this Brazilian president just get his thoughts and act together? Firing the old CEO. Selecting a new CEO only to find out a few days later that he doesn't want the job or is not qualified. Saying he wants to privatize. Then now saying he is going to muck with distributions. Which oh by the way will be very difficult to do! All while Brazil has this ENORMOUS asset in PBR and is rich in natural resources. Hell, they should be doing everything possible to make PBR as successful as possible, then using the huge taxes and dividends that they get and giving it back to the people in smart ways. No wonder Brazil, with so much potential, just can not get their act together. Frustrating.

    Personally, I think PBR is going to continue to trend global oil prices and until a recession occurs or Russia backs off, oil will remain high and dividends will be plentiful.
  • D
    David
    Oil workers warn of 'historic strike' if Petrobras is privatized

    Finance writing

    Fri, May 13, 2022 3:36 PM

    Despite government statements, experts point out that privatization would not reduce Petrobras' prices (REUTERS/Adriano Machado)

    General coordinator of the FUP accused Bolsonaro of feigning concern for the population

    Senate President Rodrigo Pacheco rules out the possibility of privatization of Petrobras

    Despite government speeches, experts point out that privatization would not reduce prices

    In the midst of promises for the privatization of Petrobras by government officials, the general coordinator of the Federación Unica dos Petroleiros (FUP) , Deyvid Bacelar, announced through his Twitter account that there will be "the biggest strike in history" if privatization between on the agenda.

    "Instead of looking for a 'scapegoat' to deceive the population, pretending concern, Bolsonaro should assume the role of agent and end this cowardly pricing policy , which has been leading the people increasingly into misery," said Bacelar.

    "Bolsonaro, I repeat: you will see the biggest strike in the history of the oil category if you dare to guide the privatization of Petrobras", concluded the general coordinator of the FUP.

    Bacelar's speech is a response to the latest comments by the new Minister of Mines and Energy, Adolfo Sachsida, who stated that he would request studies from the Minister of Economy, Paulo Guedes, on the privatization of Petrobras and the Pre-Salt. Specialists in the area say that, however, the privatization of the state-owned company would not reduce fuel prices .

    The wish was passed on by the president of the (National Bank for Economic and Social Development), Gustavo Montezano, who made the institution available to the government to carry out the studies in 2022.

    Bacelar also responds to direct comments from the president, Jair Bolsonaro (PL), who says he is unable to change Petrobras' pricing policy, trying to capitalize on public outrage by saying that the state-owned company's profit in this period of crisis is "inadmissible".

    The PPI, or import parity policy, is Petrobras' current pricing policy, instituted by the state-owned company's president at the time, Pedro Parente, under the command of former president Michel Temer and his finance minister, Henrique Meirelles.

    However, Rodrigo Pacheco, president of the Federal Senate, said that this is not the time to think about privatizing the oil company. "I think it's important that we have an in-depth study on the possibilities regarding Petrobras. But I don't think privatization of the company is on the radar or on the table at this moment because the moment is very bad for that", he said
  • A
    Aquino
    Talks about privatization, so if Brazil decides to nationalized PBR, will they be paying 11% premium of current share price? Or lesser than the share price? Checked some companies that some socialist countries nationalized and saw that they offered more of less 11% more of either current SP or average in 3months SP. Thoughts?
  • D
    David
    As I wrote many times there is political risk in Brazil. Bolsonaro has been threatening for awhile and he's on the 3 pbr president. He can fire the president but if the president refuses to leave he has to wait until next years board meeting. As for the pricing policy it's not written law and can be changed. There are laws about government exerting influence on pbr that hurts the shareholders which in theory makes the government responsible for paying shareholders damages equal to the impact of changes. Decide what your risk tolerance is and follow it. If pbr is keeping up at night you might want to think carefully.
  • B
    Berta
    Rio de Janeiro, May 14, 2022 - Petróleo Brasileiro S.A. – Petrobras, regarding the news published in the media, clarifies that it is not discussing changes in its pricing policy with the Ministry of Mines and Energy.

    Petrobras reiterates its commitment to the practice of competitive prices and in balance with the market, following the variations up and down, while avoiding the immediate pass-through of volatility to domestic prices.
  • M
    Mike
    In a true privatization, PBR common would have a fair buyout price of close to book value plus any premium or less any headwinds facing the new owner. That would be in the ball park of $50-60 a share. I would think the low end since any buyer would ultimately face the same governmental problems we face today, a socialist country with left leanings. A nationalization would be accomplished at a likely average price over the last three to five years or the paid in capital for the common shares, in any case, it would not be a giant windfall for the share holders. My plan is to buy any dips, take the dividends until the situation changes in a meaningful manner, and continue to hold my current shares. I only trade the common PBR.
  • p
    paola
    With that in mind, the chief investment officer of Miller Value Partners said it was time to look for stocks with low price-to-earnings multiples and ample dividend yields.

    I had to pay for this information./ pbr-a has a p/e of under 3 after last earnings call and according to goldman, divvy of 35% approx for this year 2022
  • J
    Jeff
    Brazilian President Jair Bolsonaro suggested on Monday he may tinker with state-run company Petrobras' profit policy, DAAHHH...... to be expected. They have such entitlement problems. A publicly traded company owned by the shareholders where profits are confiscated by the government. Prices set by the government. Officials on the board work for the government. A lower dividend/ payout would accumulate cash and push up stock price.
  • J
    Jeff
    Confusing terminology with "privatization." What I believe they mean is the government selling their shares and no longer being in control. I would think this would be favorable to shareholders longer term. Here is an older '21 article that discusses it...

    QUOTE: "Rising energy prices have eroded Bolsonaro’s popularity ahead of reelection next year and put Petrobras under political scrutiny in a country with a history of subsidizing fuel. Chief Executive Officer Joaquim Silva e Luna has been grilled in Congress over the surge in fuel prices, but has said the company will continue to adjust to international levels. Oil in New York soared past $81 a barrel Thursday after the International Energy Agency became the latest to say natural gas shortages are boosting demand for crude.

    If Petrobras is privatized, it likely won’t happen anytime soon. Economy Minister Paulo Guedes said last month that Brazil plans to take the company private within a decade. He suggested on Wednesday that Petrobras could sell shares and use the proceeds for social programs.

    Privatizing Petrobras, as well as state-run lender Banco do Brasil, would shield the companies from political interference. Despite naming a former general to run Petrobras, Bolsonaro’s government has let the company be managed independently."
  • J
    Joel
    Does anyone have an idea as to he holding period requirements to insure that the dividends from PBR-A are qualified and are taxed at a lower rate? Since it is an ADR not sure if the 91 day holding period exists or if it is 61 days. Any insight would be appreciated.
  • C
    Cornerlot
    It would be good to get to at least 15 by ex div date. That would be slightly higher than last sp before ex div.
  • M
    Mike
    Pbr shares should rise in the coming days for reasons in addition to the ex date. Pbrashould lag as now the truth is out...SAO PAULO, May 11 (Reuters) - Brazil's newly appointed mines and energy minister, Adolfo Sachsida, said on Wednesday he will request studies on Petrobras' privatization as his first act in office.
  • P
    Patrick
    PBR next earnings report will be best yet!! Price of oil high. PBR raised price charging customers in gas, diesel to match world market. Dividend announcement in August probably over $1 per share. Brazil has 22% tax so do the math!!!🤔
  • b
    billy
    PBR is at about a 9 year high.
    Look at chart in 2007-2008 right before collapse.