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Petroleo Brasileiro S.A. – Petrobras (NYSE:PBR) Undervalued? Fundamentals Hard To Beat?

Petroleo Brasileiro S.A. – Petrobras (NYSE:PBR) shares traded higher over the last trading session, gaining 1.70% on 05/24/21. The shares fell to a low of $9.45 before closing at $9.58. Intraday shares traded counted 20.72 million, which was 49.55% higher than its 30-day average trading volume of 41.07M. PBR’s previous close was $9.42 while the outstanding shares total 6.52B. The firm has a beta of 1.73, a 12-month trailing P/E ratio of 5.81. The stock’s Relative Strength Index (RSI) is 61.96, with weekly volatility at 2.25% and ATR at 0.29. The PBR stock’s 52-week price range has touched low of $6.15 and a $11.89 high.

Investors have identified the Oil & Gas Integrated company Petroleo Brasileiro S.A. – Petrobras as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $64.03 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.

Petroleo Brasileiro S.A. – Petrobras (PBR) Fundamentals that are to be considered.

When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For PBR, the company has in raw cash 11.96 billion on their books with 3.29 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 27.02 billion total, with 21.85 billion as their total liabilities.

PBR were able to record 5.59 billion as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by 239.0 million. In cash movements, the company had a total of 7.24 billion as operating cash flow.

Potential earnings growth for Petroleo Brasileiro S.A. – Petrobras (PBR)

What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 7.69 billion trying to sell their products during the last quarter, with the result yielding a gross income of 8.01 billion. This allows shareholders to hold on to 6.52B with the recently reported earning now reading 0.03 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.03 cents a share).

Having a look at the company’s valuation, the company is expected to record 1.65 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on PBR sounds very interesting.

Is the stock of PBR attractive?

In the last 6 months, insiders have changed their ownership in shares of company stock by 39.80%.

1 out of 14 analysts covering the stock have rated it a Buy, while 13 have maintained a Hold recommendation on Petroleo Brasileiro S.A. – Petrobras. 0 analysts has assigned a Sell rating on the PBR stock. The 12-month mean consensus price target for the company’s shares has been set at $11.83.

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