Petrobras (PBR) Stock Sinks As Market Gains: What You Should Know
Petrobras (PBR) closed the most recent trading day at $10.84, moving -0.55% from the previous trading session. This change lagged the S&P 500's 0.4% gain on the day. Meanwhile, the Dow gained 0.33%, and the Nasdaq, a tech-heavy index, lost 1.1%.
Coming into today, shares of the oil and gas company had gained 16.08% in the past month. In that same time, the Oils-Energy sector gained 5.03%, while the S&P 500 lost 0.01%.
Investors will be hoping for strength from Petrobras as it approaches its next earnings release. In that report, analysts expect Petrobras to post earnings of $1.08 per share. This would mark year-over-year growth of 66.15%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $30.2 billion, up 25.67% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Petrobras. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 5.82% lower. Petrobras is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Petrobras is holding a Forward P/E ratio of 2.93. This valuation marks a discount compared to its industry's average Forward P/E of 3.87.
Also, we should mention that PBR has a PEG ratio of 1.56. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Oil and Gas - Integrated - Emerging Markets stocks are, on average, holding a PEG ratio of 0.83 based on yesterday's closing prices.
The Oil and Gas - Integrated - Emerging Markets industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 209, which puts it in the bottom 18% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Petroleo Brasileiro S.A. Petrobras (PBR) : Free Stock Analysis Report
