PETROLEO BRASIL-SP PREF ADR (PBR.A) Stock Fundamental Analysis
USA - NYSE:PBR.A - US71654V1017 - ADR
10.95 USD
-0.11 (-0.99%)
11.06 USD
+0.11 (+1%)
PBR.A gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 211 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 cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year PBR.A was profitable.
PBR.A had a positive operating cash flow in the past year.
Each year in the past 5 years PBR.A has been profitable.
Each year in the past 5 years PBR.A had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 6.59%, PBR.A is doing good in the industry, outperforming 75.36% of the companies in the same industry.
With an excellent Return On Equity value of 19.38%, PBR.A belongs to the best of the industry, outperforming 84.36% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.06%, PBR.A belongs to the top of the industry, outperforming 81.52% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PBR.A is below the industry average of 21.53%.
The last Return On Invested Capital (10.06%) for PBR.A is well below the 3 year average (17.44%), which needs to be investigated, but indicates that PBR.A 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.A has a better Profit Margin (15.69%) than 66.82% of its industry peers.
PBR.A's Profit Margin has declined in the last couple of years.
PBR.A has a better Operating Margin (29.39%) than 71.56% 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 (43.62%) which is in line with 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
The number of shares outstanding for PBR.A has been reduced compared to 5 years ago.
PBR.A has a worse debt/assets ratio than last year.
2.2 Solvency
PBR.A has an Altman-Z score of 1.24. This is a bad value and indicates that PBR.A is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.24, PBR.A perfoms like the industry average, outperforming 48.34% of the companies in the same industry.
PBR.A has a debt to FCF ratio of 3.53. This is a good value and a sign of high solvency as PBR.A 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.A is in the better half of the industry, outperforming 73.93% of the companies in the same industry.
PBR.A has a Debt/Equity ratio of 0.77. This is a neutral value indicating PBR.A is somewhat dependend on debt financing.
The Debt to Equity ratio of PBR.A (0.77) is worse than 64.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 3.53 | ||
| Altman-Z | 1.24 |
ROIC/WACC1.6
WACC6.29%
2.3 Liquidity
A Current Ratio of 0.76 indicates that PBR.A may have some problems paying its short term obligations.
PBR.A has a worse Current ratio (0.76) than 71.56% of its industry peers.
A Quick Ratio of 0.51 indicates that PBR.A may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.51, PBR.A is doing worse than 83.89% 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.A have decreased by -8.97% in the last year.
Measured over the past years, PBR.A shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.66% on average per year.
Looking at the last year, PBR.A shows a decrease in Revenue. The Revenue has decreased by -1.19% in the last 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)-8.97%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%49.75%
Revenue 1Y (TTM)-1.19%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-2.56%
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.A will show a decrease in Revenue. The Revenue will decrease by -0.09% on average per year.
EPS Next Y17.32%
EPS Next 2Y-2.04%
EPS Next 3Y2.65%
EPS Next 5Y1.6%
Revenue Next Year-3.62%
Revenue Next 2Y-1.69%
Revenue Next 3Y0.29%
Revenue Next 5Y-0.09%
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.
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
A Price/Earnings ratio of 3.92 indicates a rather cheap valuation of PBR.A.
Compared to the rest of the industry, the Price/Earnings ratio of PBR.A indicates a rather cheap valuation: PBR.A is cheaper than 96.68% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of PBR.A to the average of the S&P500 Index (27.77), we can say PBR.A is valued rather cheaply.
A Price/Forward Earnings ratio of 4.42 indicates a rather cheap valuation of PBR.A.
Based on the Price/Forward Earnings ratio, PBR.A is valued cheaply inside the industry as 94.79% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of PBR.A to the average of the S&P500 Index (23.23), we can say PBR.A is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.92 | ||
| Fwd PE | 4.42 |
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 88.63% 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 94.31% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.63 | ||
| EV/EBITDA | 3.16 |
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.
The decent profitability rating of PBR.A may justify a higher PE ratio.
PEG (NY)0.23
PEG (5Y)0.24
EPS Next 2Y-2.04%
EPS Next 3Y2.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.50%, PBR.A is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.30, PBR.A pays a bit more dividend than its industry peers.
PBR.A's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.5% |
5.2 History
On average, the dividend of PBR.A grows each year by 68.55%, which is quite nice.
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.
The dividend of PBR.A is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP92.83%
EPS Next 2Y-2.04%
EPS Next 3Y2.65%
10.95
-0.11 (-0.99%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners40.69%
Inst Owner Change0.01%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap70.57B
Analysts78.95
Price Target15.21 (38.9%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.5% |
Yearly Dividend2.86
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)0.9%
PT rev (3m)1.03%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-3.71%
EPS NY rev (1m)-0.8%
EPS NY rev (3m)0.23%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)4.87%
Revenue NY rev (1m)1.87%
Revenue NY rev (3m)1.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.92 | ||
| Fwd PE | 4.42 | ||
| P/S | 0.77 | ||
| P/FCF | 3.63 | ||
| P/OCF | 1.89 | ||
| P/B | 0.96 | ||
| P/tB | 0.99 | ||
| EV/EBITDA | 3.16 |
EPS(TTM)2.79
EY25.48%
EPS(NY)2.48
Fwd EY22.63%
FCF(TTM)3.02
FCFY27.56%
OCF(TTM)5.8
OCFY52.99%
SpS14.15
BVpS11.46
TBVpS11.08
PEG (NY)0.23
PEG (5Y)0.24
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%
ROICexcg growth 3Y-7.85%
ROICexcg 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 | 1.24 |
F-Score3
WACC6.29%
ROIC/WACC1.6
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)-8.97%
EPS 3Y3.04%
EPS 5Y16.66%
EPS Q2Q%49.75%
EPS Next Y17.32%
EPS Next 2Y-2.04%
EPS Next 3Y2.65%
EPS Next 5Y1.6%
Revenue 1Y (TTM)-1.19%
Revenue growth 3Y2.73%
Revenue growth 5Y10.18%
Sales Q2Q%-2.56%
Revenue Next Year-3.62%
Revenue Next 2Y-1.69%
Revenue Next 3Y0.29%
Revenue Next 5Y-0.09%
EBIT growth 1Y-19%
EBIT growth 3Y-3.58%
EBIT growth 5Y15.19%
EBIT Next Year33.4%
EBIT Next 3Y12.07%
EBIT Next 5Y9.61%
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%