PETROLEO BRASILEIRO-SPON ADR (PBR) Stock Fundamental Analysis
USA - NYSE:PBR - US71654V4086 - ADR
13.13 USD
+0.01 (+0.08%)
13.1 USD
-0.03 (-0.23%)
We assign a fundamental rating of 5 out of 10 to PBR. PBR was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. While PBR has a great profitability rating, there are quite some concerns on its financial health. PBR is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year PBR was profitable.
PBR had a positive operating cash flow in the past year.
In the past 5 years PBR has always been profitable.
In the past 5 years PBR always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.59%, PBR is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
PBR has a better Return On Equity (19.38%) than 84.76% of its industry peers.
PBR's Return On Invested Capital of 10.06% is amongst the best of the industry. PBR outperforms 81.90% of its industry peers.
PBR had an Average Return On Invested Capital over the past 3 years of 17.44%. This is below the industry average of 21.71%.
The last Return On Invested Capital (10.06%) for PBR is well below the 3 year average (17.44%), which needs to be investigated, but indicates that PBR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 19.38% | ||
| ROIC | 10.06% |
ROA(3y)11.46%
ROA(5y)9.22%
ROE(3y)31.56%
ROE(5y)24.91%
ROIC(3y)17.44%
ROIC(5y)14.59%
1.3 Margins
PBR's Profit Margin of 15.69% is fine compared to the rest of the industry. PBR outperforms 65.71% of its industry peers.
In the last couple of years the Profit Margin of PBR has declined.
PBR has a better Operating Margin (29.39%) than 70.00% of its industry peers.
In the last couple of years the Operating Margin of PBR has grown nicely.
PBR's Gross Margin of 43.62% is in line compared to the rest of the industry. PBR outperforms 52.86% of its industry peers.
PBR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.39% | ||
| PM (TTM) | 15.69% | ||
| GM | 43.62% |
OM growth 3Y-6.15%
OM growth 5Y4.54%
PM growth 3Y-31.85%
PM growth 5Y-10.9%
GM growth 3Y0.92%
GM growth 5Y5.33%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PBR is creating value.
Compared to 1 year ago, PBR has less shares outstanding
Compared to 5 years ago, PBR has less shares outstanding
The debt/assets ratio for PBR is higher compared to a year ago.
2.2 Solvency
PBR has an Altman-Z score of 1.29. This is a bad value and indicates that PBR is not financially healthy and even has some risk of bankruptcy.
PBR's Altman-Z score of 1.29 is in line compared to the rest of the industry. PBR outperforms 51.43% of its industry peers.
PBR has a debt to FCF ratio of 3.53. This is a good value and a sign of high solvency as PBR would need 3.53 years to pay back of all of its debts.
PBR has a better Debt to FCF ratio (3.53) than 72.38% of its industry peers.
PBR has a Debt/Equity ratio of 0.77. This is a neutral value indicating PBR is somewhat dependend on debt financing.
The Debt to Equity ratio of PBR (0.77) is worse than 65.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.53 | ||
| Altman-Z | 1.29 |
ROIC/WACC1.44
WACC6.96%
2.3 Liquidity
A Current Ratio of 0.76 indicates that PBR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.76, PBR is doing worse than 71.43% of the companies in the same industry.
A Quick Ratio of 0.51 indicates that PBR may have some problems paying its short term obligations.
The Quick ratio of PBR (0.51) is worse than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
PBR shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.24%.
PBR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.66% yearly.
PBR shows a decrease in Revenue. In the last year, the revenue decreased by -4.13%.
Measured over the past years, PBR shows a quite strong growth in Revenue. The Revenue has been growing by 10.18% on average per year.
EPS 1Y (TTM)7.24%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%72.05%
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-3.07%
3.2 Future
PBR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.60% yearly.
PBR is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.26% yearly.
EPS Next Y20.31%
EPS Next 2Y-0.71%
EPS Next 3Y1.98%
EPS Next 5Y1.6%
Revenue Next Year-2.04%
Revenue Next 2Y-0.97%
Revenue Next 3Y0.38%
Revenue Next 5Y-4.26%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 3.74, which indicates a rather cheap valuation of PBR.
Compared to the rest of the industry, the Price/Earnings ratio of PBR indicates a rather cheap valuation: PBR is cheaper than 96.67% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of PBR to the average of the S&P500 Index (25.51), we can say PBR is valued rather cheaply.
The Price/Forward Earnings ratio is 5.10, which indicates a rather cheap valuation of PBR.
95.24% of the companies in the same industry are more expensive than PBR, based on the Price/Forward Earnings ratio.
PBR is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.74 | ||
| Fwd PE | 5.1 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PBR is valued cheaper than 85.71% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PBR is valued cheaply inside the industry as 93.81% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.3 | ||
| EV/EBITDA | 3.46 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of PBR may justify a higher PE ratio.
PEG (NY)0.18
PEG (5Y)0.22
EPS Next 2Y-0.71%
EPS Next 3Y1.98%
5. Dividend
5.1 Amount
PBR has a Yearly Dividend Yield of 5.24%, which is a nice return.
PBR's Dividend Yield is a higher than the industry average which is at 5.89.
PBR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.24% |
5.2 History
The dividend of PBR is nicely growing with an annual growth rate of 68.55%!
PBR has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)68.55%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
92.83% of the earnings are spent on dividend by PBR. This is not a sustainable payout ratio.
PBR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP92.83%
EPS Next 2Y-0.71%
EPS Next 3Y1.98%
13.13
+0.01 (+0.08%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners40.69%
Inst Owner Change-2.68%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap84.61B
Revenue(TTM)490.83B
Net Income(TTM)77.37B
Analysts78.95
Price Target15.78 (20.18%)
Short Float %0.99%
Short Ratio0.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.24% |
Yearly Dividend2.93
Dividend Growth(5Y)68.55%
DP92.83%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-7.5%
Min EPS beat(2)-25.5%
Max EPS beat(2)10.49%
EPS beat(4)2
Avg EPS beat(4)-4.81%
Min EPS beat(4)-25.5%
Max EPS beat(4)14.05%
EPS beat(8)3
Avg EPS beat(8)-8.25%
EPS beat(12)5
Avg EPS beat(12)-3.16%
EPS beat(16)7
Avg EPS beat(16)-3.06%
Revenue beat(2)0
Avg Revenue beat(2)-2.51%
Min Revenue beat(2)-4.3%
Max Revenue beat(2)-0.71%
Revenue beat(4)1
Avg Revenue beat(4)-3.06%
Min Revenue beat(4)-7.91%
Max Revenue beat(4)0.67%
Revenue beat(8)1
Avg Revenue beat(8)-4.93%
Revenue beat(12)2
Avg Revenue beat(12)-3.68%
Revenue beat(16)3
Avg Revenue beat(16)-2.89%
PT rev (1m)-4.22%
PT rev (3m)-4.69%
EPS NQ rev (1m)7.08%
EPS NQ rev (3m)-7.99%
EPS NY rev (1m)2.55%
EPS NY rev (3m)2.78%
Revenue NQ rev (1m)5.95%
Revenue NQ rev (3m)11.13%
Revenue NY rev (1m)1.63%
Revenue NY rev (3m)5.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.74 | ||
| Fwd PE | 5.1 | ||
| P/S | 0.92 | ||
| P/FCF | 4.3 | ||
| P/OCF | 2.24 | ||
| P/B | 1.13 | ||
| P/tB | 1.17 | ||
| EV/EBITDA | 3.46 |
EPS(TTM)3.51
EY26.73%
EPS(NY)2.58
Fwd EY19.63%
FCF(TTM)3.05
FCFY23.27%
OCF(TTM)5.87
OCFY44.74%
SpS14.33
BVpS11.6
TBVpS11.21
PEG (NY)0.18
PEG (5Y)0.22
Graham Number30.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.59% | ||
| ROE | 19.38% | ||
| ROCE | 14.56% | ||
| ROIC | 10.06% | ||
| ROICexc | 10.61% | ||
| ROICexgc | 10.76% | ||
| OM | 29.39% | ||
| PM (TTM) | 15.69% | ||
| GM | 43.62% | ||
| FCFM | 21.32% |
ROA(3y)11.46%
ROA(5y)9.22%
ROE(3y)31.56%
ROE(5y)24.91%
ROIC(3y)17.44%
ROIC(5y)14.59%
ROICexc(3y)18.75%
ROICexc(5y)15.7%
ROICexgc(3y)19.11%
ROICexgc(5y)16.14%
ROCE(3y)25.25%
ROCE(5y)21.12%
ROICexgc growth 3Y-7.85%
ROICexgc growth 5Y10.24%
ROICexc growth 3Y-7.66%
ROICexc growth 5Y12.26%
OM growth 3Y-6.15%
OM growth 5Y4.54%
PM growth 3Y-31.85%
PM growth 5Y-10.9%
GM growth 3Y0.92%
GM growth 5Y5.33%
F-Score3
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.53 | ||
| Debt/EBITDA | 1.4 | ||
| Cap/Depr | 131.19% | ||
| Cap/Sales | 19.67% | ||
| Interest Coverage | 14.18 | ||
| Cash Conversion | 92.35% | ||
| Profit Quality | 135.88% | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 1.29 |
F-Score3
WACC6.96%
ROIC/WACC1.44
Cap/Depr(3y)94.35%
Cap/Depr(5y)77.72%
Cap/Sales(3y)11.93%
Cap/Sales(5y)10.87%
Profit Quality(3y)191.06%
Profit Quality(5y)478.72%
High Growth Momentum
Growth
EPS 1Y (TTM)7.24%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%72.05%
EPS Next Y20.31%
EPS Next 2Y-0.71%
EPS Next 3Y1.98%
EPS Next 5Y1.6%
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-3.07%
Revenue Next Year-2.04%
Revenue Next 2Y-0.97%
Revenue Next 3Y0.38%
Revenue Next 5Y-4.26%
EBIT growth 1Y-19%
EBIT growth 3Y-3.58%
EBIT growth 5Y15.19%
EBIT Next Year33.4%
EBIT Next 3Y12.07%
EBIT Next 5Y8.23%
FCF growth 1Y-40.39%
FCF growth 3Y-9.76%
FCF growth 5Y12.88%
OCF growth 1Y-12.98%
OCF growth 3Y0.15%
OCF growth 5Y14.93%
PETROLEO BRASILEIRO-SPON ADR / PBR FAQ
Can you provide the ChartMill fundamental rating for PETROLEO BRASILEIRO-SPON ADR?
ChartMill assigns a fundamental rating of 5 / 10 to PBR.
What is the valuation status for PBR stock?
ChartMill assigns a valuation rating of 9 / 10 to PETROLEO BRASILEIRO-SPON ADR (PBR). This can be considered as Undervalued.
What is the profitability of PBR stock?
PETROLEO BRASILEIRO-SPON ADR (PBR) has a profitability rating of 7 / 10.
How financially healthy is PETROLEO BRASILEIRO-SPON ADR?
The financial health rating of PETROLEO BRASILEIRO-SPON ADR (PBR) is 3 / 10.
Is the dividend of PETROLEO BRASILEIRO-SPON ADR sustainable?
The dividend rating of PETROLEO BRASILEIRO-SPON ADR (PBR) is 5 / 10 and the dividend payout ratio is 92.83%.