Given its yield and growth rate, you'd buy this, but PBR is in Brazil and that matters. Can't trust it at all.
She is light in oil, because the US shale producers have come back a lot faster in terms of production. That is more than offsetting whatever OPEC is doing on the cutting side. This company is very inexpensive, and has great assets. Management has laid out a plan to divest non-core assets, pay down some debt and right size their balance sheet. If you have a long-term time horizon, this is a good risk/reward. There is some near-term noise around Brazil, which will be a bit of a headwind.
You can’t really talk about this without talking about Brazilian politics. This company has very, very extensive resources. Unfortunately, they also have a lot of debt. A very levered play on oil prices, and a small move in oil will result in a big move in this company.
(A Top Pick Sept 26/15. Down 130.15%.) He closed this off about a month after he had recommended it, because oil started to ramp up. The company had an extremely high debt load and oil prices looked under pressure. Also, there was a corruption scandal going on. The company has slashed their CapX to the bone and were able to keep their free cash flow on side. The story has improved materially.
SHORT. It is a mess. It is going to be negative free cash flow for another 4 years. Cash will go to servicing bond holders. There is also a corruption scandal and there are also the low oil prices. He thinks it will go down to a dollar.
Prefers Canadian oil companies because he thinks the Canadian oil complex is one of the best in the world. This company has a lot of deep oil. Doesn't know if, with the horizontal drilling and the shale plays, if that oil can come on shore or not, because their cost of production is very high.
Petroleo Bras Sa Petro is a American stock, trading under the symbol PBR-N on the New York Stock Exchange (PBR). It is usually referred to as NYSE:PBR or PBR-N
In the last year, 4 stock analysts published opinions about PBR-N. 0 analysts recommended to BUY the stock. 4 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Petroleo Bras Sa Petro.
Petroleo Bras Sa Petro was recommended as a Top Pick by on . Read the latest stock experts ratings for Petroleo Bras Sa Petro.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
4 stock analysts on Stockchase covered Petroleo Bras Sa Petro In the last year. It is a trending stock that is worth watching.
On 2023-05-26, Petroleo Bras Sa Petro (PBR-N) stock closed at a price of $11.97.
He's worried about PBR, because Chile just nationalized all its lithium businesses.