(EBR-B) Centrais Elétricas - Ratings and Ratios

Centrais Elétricas Brasileiras S.A. - Eletrobrás (NYSE:EBR-B), a cornerstone of Brazils energy sector, is the largest power utility company in the country. Established in 1962 and headquartered in Rio de Janeiro, Eletrobras plays a pivotal role in the generation, transmission, and commercialization of electricity. The companys diverse portfolio includes hydroelectric, thermoelectric, nuclear, wind, and solar plants, underscoring its commitment to a balanced energy mix. As of December 31, 2023, Eletrobras operates 44 hydroelectric plants with a combined capacity of 42,293.5 MW, 5 thermal plants contributing 1,632 MW, and two nuclear plants, Angra 1 and Angra 2, with capacities of 657 MW and 1,350 MW, respectively. The companys extensive network includes 66,539.17 kilometers of transmission lines, ensuring wide-reaching energy distribution. Eletrobras is dedicated to sustainability, actively pursuing renewable energy projects to align with global environmental goals.

Over the next three months, Eletrobras is expected to demonstrate moderate price movement, influenced by its technical and fundamental indicators. The stocks last price of $8.51 is above the 20-day SMA of $7.86, signaling a short-term bullish trend, while it remains below the 50-day ($7.66) and 200-day ($7.16) SMAs, indicating a longer-term bearish outlook. The ATR of 0.25 reflects low volatility, suggesting stable price fluctuations. Fundamentally, the companys P/E of 10.39 and forward P/E of 7.76 hint at potential undervaluation, supported by a P/B ratio of 0.87. The P/S ratio of 0.05 and an RoE of 8.52% further suggest attractive valuation metrics, positioning Eletrobras as a promising investment opportunity in the utilities sector.