(PBR) Petroleo Brasileiro - Ratings and Ratios

Petróleo Brasileiro S.A. - Petrobras is Brazils state-owned oil and gas giant, operating as a fully integrated energy company. It dominates Brazils energy sector, with extensive operations in exploration, production, refining, and distribution. Petrobras is known for its deepwater expertise, particularly in the pre-salt layer, where it has made significant discoveries. The company also has a growing presence in biofuels and renewable energy, aligning with global decarbonization trends. Its three main segments are Exploration and Production, Refining, Transportation and Marketing, and Gas and Power. Exploration and Production focuses on crude oil, natural gas, and NGLs, primarily supplying domestic refineries. The Refining, Transportation and Marketing segment processes and distributes oil products, including fertilizers and petrochemicals. The Gas and Power segment covers natural gas logistics, LNG, electricity generation, and low-carbon initiatives, including biodiesel production. Petrobras also engages in energy research, development, and trading, positioning itself as a key player in Brazils energy transition.

Technically, PBR is currently trading at 11.62, below its SMA 20 (13.00), SMA 50 (13.43), and SMA 200 (13.35), indicating bearish momentum. Average 20-day volume is 25.2 million shares, with an ATR of 0.52, suggesting moderate volatility. Fundamentally, Petrobras has a market cap of 86.32 billion USD, with a P/E of 11.32 and forward P/E of 4.45, indicating undervaluation potential. Its P/B ratio of 1.43 reflects fair valuation relative to book value, though the negative RoE of -5.50 raises profitability concerns. The P/S ratio of 0.18 highlights its low revenue multiple, appealing to value investors.

3-Month Forecast: Based on technical and fundamental analysis, PBR may face near-term headwinds. The stocks position below key moving averages suggests continued weakness, potentially testing support near 10.50. However, with a forward P/E of 4.45 and strong energy demand, upside could emerge if the company demonstrates operational improvements. Expect volatility within a 10.50-13.00 range, with potential stabilization if Petrobras advances its debt reduction and renewable energy initiatives.