PETROLEO BRASILEIRO-SPON ADR (PBR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PBR - US71654V4086 - ADR
11.8 USD
+0.26 (+2.25%)
11.765 USD
-0.04 (-0.3%)
PBR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 208 industry peers in the Oil, Gas & Consumable Fuels industry. PBR has an excellent profitability rating, but there are concerns on its financial health. PBR is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
PBR had positive earnings in the past year.
PBR had a positive operating cash flow in the past year.
PBR had positive earnings in each of the past 5 years.
PBR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PBR has a better Return On Assets (6.59%) than 74.04% of its industry peers.
PBR's Return On Equity of 19.38% is amongst the best of the industry. PBR outperforms 87.02% of its industry peers.
With an excellent Return On Invested Capital value of 10.06%, PBR belongs to the best of the industry, outperforming 83.17% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PBR is below the industry average of 21.28%.
The 3 year average ROIC (17.44%) for PBR is well above the current ROIC(10.06%). The reason for the recent decline needs to be investigated.
| 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 has a Profit Margin of 15.69%. This is in the better half of the industry: PBR outperforms 67.31% of its industry peers.
PBR's Profit Margin has declined in the last couple of years.
The Operating Margin of PBR (29.39%) is better than 72.12% of its industry peers.
PBR's Operating Margin has improved in the last couple of years.
PBR has a Gross Margin of 43.62%. This is comparable to the rest of the industry: PBR outperforms 52.40% of its industry peers.
In the last couple of years the Gross Margin of PBR has grown nicely.
| 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.
PBR has less shares outstanding than it did 1 year ago.
PBR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, PBR has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.26, we must say that PBR is in the distress zone and has some risk of bankruptcy.
PBR's Altman-Z score of 1.26 is in line compared to the rest of the industry. PBR outperforms 51.92% 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.
Looking at the Debt to FCF ratio, with a value of 3.53, PBR is in the better half of the industry, outperforming 72.60% of the companies in the same industry.
A Debt/Equity ratio of 0.77 indicates that PBR is somewhat dependend on debt financing.
PBR's Debt to Equity ratio of 0.77 is on the low side compared to the rest of the industry. PBR is outperformed by 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.53 | ||
| Altman-Z | 1.26 |
ROIC/WACC1.54
WACC6.53%
2.3 Liquidity
A Current Ratio of 0.76 indicates that PBR may have some problems paying its short term obligations.
PBR has a worse Current ratio (0.76) than 70.19% of its industry peers.
A Quick Ratio of 0.51 indicates that PBR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.51, PBR is doing worse than 82.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The earnings per share for PBR have decreased strongly by -17.37% in the last year.
PBR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.66% yearly.
The Revenue has decreased by -4.13% in the past year.
PBR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.18% yearly.
EPS 1Y (TTM)-17.37%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%-12.39%
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-1.28%
3.2 Future
The Earnings Per Share is expected to grow by 1.60% on average over the next years.
Based on estimates for the next years, PBR will show a decrease in Revenue. The Revenue will decrease by -3.71% on average per year.
EPS Next Y25.68%
EPS Next 2Y-3.78%
EPS Next 3Y0.29%
EPS Next 5Y1.6%
Revenue Next Year-1.45%
Revenue Next 2Y-1.74%
Revenue Next 3Y0.09%
Revenue Next 5Y-3.71%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 4.39 indicates a rather cheap valuation of PBR.
94.23% of the companies in the same industry are more expensive than PBR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.00, PBR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 4.91, the valuation of PBR can be described as very cheap.
Based on the Price/Forward Earnings ratio, PBR is valued cheaply inside the industry as 95.67% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, PBR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.39 | ||
| Fwd PE | 4.91 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PBR is valued cheaply inside the industry as 87.98% of the companies are valued more expensively.
PBR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PBR is cheaper than 94.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.89 | ||
| EV/EBITDA | 3.27 |
4.3 Compensation for Growth
PBR's 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)0.17
PEG (5Y)0.26
EPS Next 2Y-3.78%
EPS Next 3Y0.29%
5. Dividend
5.1 Amount
PBR has a Yearly Dividend Yield of 3.69%.
PBR's Dividend Yield is comparable with the industry average which is at 3.96.
PBR's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.69% |
5.2 History
On average, the dividend of PBR grows each year by 68.55%, which is quite nice.
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
PBR pays out 92.83% of its income as dividend. 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-3.78%
EPS Next 3Y0.29%
11.8
+0.26 (+2.25%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners40.87%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap76.04B
Revenue(TTM)490.83B
Net Income(TTM)77.37B
Analysts78.95
Price Target14.96 (26.78%)
Short Float %0.89%
Short Ratio0.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.69% |
Yearly Dividend2.84
Dividend Growth(5Y)68.55%
DP92.83%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)-5.16%
PT rev (3m)-9.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)7.08%
EPS NY rev (1m)1.32%
EPS NY rev (3m)7.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.47%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)2.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.39 | ||
| Fwd PE | 4.91 | ||
| P/S | 0.83 | ||
| P/FCF | 3.89 | ||
| P/OCF | 2.02 | ||
| P/B | 1.02 | ||
| P/tB | 1.06 | ||
| EV/EBITDA | 3.27 |
EPS(TTM)2.69
EY22.8%
EPS(NY)2.4
Fwd EY20.36%
FCF(TTM)3.03
FCFY25.7%
OCF(TTM)5.83
OCFY49.41%
SpS14.22
BVpS11.51
TBVpS11.13
PEG (NY)0.17
PEG (5Y)0.26
Graham Number26.4
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 | 1.26 |
F-Score3
WACC6.53%
ROIC/WACC1.54
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)-17.37%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%-12.39%
EPS Next Y25.68%
EPS Next 2Y-3.78%
EPS Next 3Y0.29%
EPS Next 5Y1.6%
Revenue 1Y (TTM)-4.13%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-1.28%
Revenue Next Year-1.45%
Revenue Next 2Y-1.74%
Revenue Next 3Y0.09%
Revenue Next 5Y-3.71%
EBIT growth 1Y-19%
EBIT growth 3Y-3.58%
EBIT growth 5Y15.19%
EBIT Next Year36.06%
EBIT Next 3Y11.5%
EBIT Next 5Y9.5%
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.
Can you provide the valuation status for PETROLEO BRASILEIRO-SPON ADR?
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.
Can you provide the PE and PB ratios for PBR stock?
The Price/Earnings (PE) ratio for PETROLEO BRASILEIRO-SPON ADR (PBR) is 4.39 and the Price/Book (PB) ratio is 1.02.
What is the expected EPS growth for PETROLEO BRASILEIRO-SPON ADR (PBR) stock?
The Earnings per Share (EPS) of PETROLEO BRASILEIRO-SPON ADR (PBR) is expected to grow by 25.68% in the next year.