Petroleo Brasileiro S.A. Petrob PBR
Petrobras is Brazil's state-owned integrated oil company, with offshore exploration and production in the pre-salt and refining. Petrobras shows solid fundamentals with a 44.68% operating margin, 30.27% ROE, and an attractive valuation (P/E 5.14), but the governance risk from Brazilian state control is the most significant factor in the investment decision.
Detailed metrics
Market and fundamental data as of the analysis date.
Full AI report
Generated automatically from the metrics, the macro context and the company's news.
Petrobras is Brazil's state-owned integrated oil company, with offshore exploration and production in the pre-salt and refining. Petrobras shows solid fundamentals with a 44.68% operating margin, 30.27% ROE, and an attractive valuation (P/E 5.14), but the governance risk from Brazilian state control is the most significant factor in the investment decision.
Score by category
| Category | Score |
|---|---|
| Financial health | 7.0 |
| Quality / Moat | 8.0 |
| Valuation | 8.2 |
| Growth | 7.5 |
| Dividend | 8.9 |
| Momentum | 7.7 |
| Risk & Context | 5.7 |
OVERALL SCORE: 7.5/10
Context and risks
Elevated governance risk due to state control in Brazil, with a history of political interference in the company's management (fuel prices, appointments). This risk may prevent profits from reaching minority shareholders.
News considered in the analysis
- Petrobras (PBR) Takes its Oil Hunt to Ivory Coast: Is Another Major Oil Play Taking Shape? — Exploración en un nuevo país africano, potencial de crecimiento a largo plazo pero con alta incertidumbre y sin impacto a corto plazo.
- Petrobras (PBR) Stock Sinks As Market Gains: Here's Why — La caída de la acción ya está reflejada en el precio y el momentum, sin información nueva sobre los fundamentales.
- Sector Update: Energy Stocks Fall Late Afternoon — Ruido sectorial sin impacto específico en Petrobras.
- Sector Update: Energy Stocks Fall Friday Afternoon — Ruido sectorial sin impacto específico en Petrobras.
- Update: Market Chatter: Petrobras Executive Expects Braskem to Finalize Deal With Creditors — La resolución de la deuda de Braskem, participada de Petrobras, podría eliminar una incertidumbre y liberar valor, aunque el impacto directo es limitado.
Verdict: Hold, with a negative bias due to governance risk, despite a solid financial position and cheap valuation.
Main risk: Governance risk from state control in Brazil, which may lead to political interference in management and prevent profits from reaching minority shareholders.
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