PETROLEO BRASIL-SP PREF ADR (PBR.A) Stock Fundamental Analysis
USA - NYSE:PBR.A - US71654V1017 - ADR
12.06 USD
+0.49 (+4.24%)
12.04 USD
-0.02 (-0.17%)
PBR.A gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While PBR.A belongs to the best of the industry regarding profitability, there are concerns on its financial health. PBR.A is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PBR.A had positive earnings in the past year.
PBR.A had a positive operating cash flow in the past year.
Each year in the past 5 years PBR.A has been profitable.
In the past 5 years PBR.A always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.59%, PBR.A is in the better half of the industry, outperforming 75.24% of the companies in the same industry.
The Return On Equity of PBR.A (19.38%) is better than 84.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.06%, PBR.A belongs to the top of the industry, outperforming 81.43% of the companies in the same industry.
PBR.A had an Average Return On Invested Capital over the past 3 years of 17.44%. This is below the industry average of 21.78%.
The 3 year average ROIC (17.44%) for PBR.A 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
With a decent Profit Margin value of 15.69%, PBR.A is doing good in the industry, outperforming 66.19% of the companies in the same industry.
In the last couple of years the Profit Margin of PBR.A has declined.
PBR.A's Operating Margin of 29.39% is fine compared to the rest of the industry. PBR.A outperforms 70.95% of its industry peers.
In the last couple of years the Operating Margin of PBR.A has grown nicely.
PBR.A has a Gross Margin of 43.62%. This is comparable to the rest of the industry: PBR.A outperforms 53.33% of its industry peers.
In the last couple of years the Gross Margin of PBR.A 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.A is creating value.
Compared to 1 year ago, PBR.A has less shares outstanding
PBR.A has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PBR.A is higher compared to a year ago.
2.2 Solvency
PBR.A has an Altman-Z score of 1.25. This is a bad value and indicates that PBR.A is not financially healthy and even has some risk of bankruptcy.
PBR.A has a Altman-Z score (1.25) which is comparable to the rest of the industry.
The Debt to FCF ratio of PBR.A is 3.53, which is a good value as it means it would take PBR.A, 3.53 years of fcf income to pay off all of its debts.
PBR.A has a better Debt to FCF ratio (3.53) than 73.33% of its industry peers.
A Debt/Equity ratio of 0.77 indicates that PBR.A is somewhat dependend on debt financing.
The Debt to Equity ratio of PBR.A (0.77) is worse than 64.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.53 | ||
| Altman-Z | 1.25 |
ROIC/WACC1.51
WACC6.64%
2.3 Liquidity
PBR.A has a Current Ratio of 0.76. This is a bad value and indicates that PBR.A is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.76, PBR.A is not doing good in the industry: 70.95% of the companies in the same industry are doing better.
A Quick Ratio of 0.51 indicates that PBR.A may have some problems paying its short term obligations.
With a Quick ratio value of 0.51, PBR.A is not doing good in the industry: 84.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.24% over the past year.
The Earnings Per Share has been growing by 16.66% on average over the past years. This is quite good.
The Revenue has decreased by -4.13% in the past year.
PBR.A shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.18% yearly.
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
Based on estimates for the next years, PBR.A will show a small growth in Earnings Per Share. The EPS will grow by 1.60% on average per year.
Based on estimates for the next years, PBR.A will show a decrease in Revenue. The Revenue will decrease by -4.26% on average per year.
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
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 3.43 indicates a rather cheap valuation of PBR.A.
PBR.A's Price/Earnings ratio is rather cheap when compared to the industry. PBR.A is cheaper than 98.10% of the companies in the same industry.
PBR.A's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.83.
Based on the Price/Forward Earnings ratio of 4.68, the valuation of PBR.A can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PBR.A indicates a rather cheap valuation: PBR.A is cheaper than 95.71% of the companies listed in the same industry.
PBR.A's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 32.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.43 | ||
| Fwd PE | 4.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PBR.A indicates a rather cheap valuation: PBR.A is cheaper than 87.62% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PBR.A indicates a rather cheap valuation: PBR.A is cheaper than 95.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.95 | ||
| EV/EBITDA | 3.22 |
4.3 Compensation for Growth
PBR.A's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PBR.A has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.17
PEG (5Y)0.21
EPS Next 2Y-0.71%
EPS Next 3Y1.98%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.66%, PBR.A is a good candidate for dividend investing.
PBR.A's Dividend Yield is a higher than the industry average which is at 6.14.
PBR.A's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
5.2 History
The dividend of PBR.A is nicely growing with an annual growth rate of 68.55%!
PBR.A has been paying a dividend for at least 10 years, so it has 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.A. This is not a sustainable payout ratio.
PBR.A'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%
12.06
+0.49 (+4.24%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners40.69%
Inst Owner Change-2.38%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap77.72B
Revenue(TTM)490.83B
Net Income(TTM)77.37B
Analysts78.95
Price Target14.75 (22.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
Yearly Dividend2.9
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)-2.16%
PT rev (3m)-2.26%
EPS NQ rev (1m)7.08%
EPS NQ rev (3m)6.94%
EPS NY rev (1m)0%
EPS NY rev (3m)0.23%
Revenue NQ rev (1m)5.47%
Revenue NQ rev (3m)13.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.43 | ||
| Fwd PE | 4.68 | ||
| P/S | 0.84 | ||
| P/FCF | 3.95 | ||
| P/OCF | 2.05 | ||
| P/B | 1.04 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 3.22 |
EPS(TTM)3.52
EY29.19%
EPS(NY)2.58
Fwd EY21.37%
FCF(TTM)3.06
FCFY25.34%
OCF(TTM)5.88
OCFY48.72%
SpS14.33
BVpS11.6
TBVpS11.22
PEG (NY)0.17
PEG (5Y)0.21
Graham Number30.32
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 | 1.25 |
F-Score3
WACC6.64%
ROIC/WACC1.51
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 BRASIL-SP PREF ADR / PBR.A FAQ
What is the ChartMill fundamental rating of PETROLEO BRASIL-SP PREF ADR (PBR.A) stock?
ChartMill assigns a fundamental rating of 5 / 10 to PBR.A.
Can you provide the valuation status for PETROLEO BRASIL-SP PREF ADR?
ChartMill assigns a valuation rating of 9 / 10 to PETROLEO BRASIL-SP PREF ADR (PBR.A). This can be considered as Undervalued.
How profitable is PETROLEO BRASIL-SP PREF ADR (PBR.A) stock?
PETROLEO BRASIL-SP PREF ADR (PBR.A) has a profitability rating of 7 / 10.
What are the PE and PB ratios of PETROLEO BRASIL-SP PREF ADR (PBR.A) stock?
The Price/Earnings (PE) ratio for PETROLEO BRASIL-SP PREF ADR (PBR.A) is 3.43 and the Price/Book (PB) ratio is 1.04.
What is the financial health of PETROLEO BRASIL-SP PREF ADR (PBR.A) stock?
The financial health rating of PETROLEO BRASIL-SP PREF ADR (PBR.A) is 3 / 10.