Petroleo Brasileiro SA Petrobras
Petrobras’s Upcoming 3Q16 Results: Where Are Earnings Headed?
Petrobras (PBR) is expected to post its 3Q16 results on November 10, 2016. In 2Q16, it had adjusted EPS of $0.03 compared to analysts’ estimates of $0.12.
How Has Shell’s Stock Performed ahead of Its 4Q16 Earnings?
On January 20, 2016, Shell began recuperating from the falls it had experienced in the previous year. Shell has risen 49% since January 20, 2016.
Integrated Energy and Refiner Stocks with High Implied Volatility
As of November 8, 2016, Alon USA Partners (ALDW) had the highest implied volatility among the integrated energy and refining companies in this series.
What Does BP’s Short Interest Analysis Reveal?
Short interest in BP (BP), which has been rising since the beginning of 2016, has witnessed a 23% fall since July 14, 2016.
These Were Last Week’s Weakest Energy Stocks
Integrated energy stock YPF Sociedad Anonima (YPF) was the second weakest on our list last week, and midstream stocks Western Gas Partners (WES) and Shell Midstream Partners (SHLX) ranked third and fourth.
Why Brazil’s central bank is making a hawkish move on the Selic
On October 29, the central bank’s monetary policy committee in Brazil raised the benchmark Selic interest rate by 25 basis points to 11.25%. The increase was an attempt to fight inflation.
Why Brazil is a long-term commitment for Petrobras
Petrobras’ (PBR) oil and gas production from Brazil was more than 90% of its total upstream energy production. In 2013, ~96% of its total reserves were in Brazil.
Shell’s 1Q16 Pre-Earnings Outlook by Segment
In 1Q16, Shell’s (RDS.A) upstream segment is likely to put on a dull show due to weaker crude oil prices. Earnings from the downstream segment are also likely to be subdued.
Why currency movements are important for Petrobras’ finances
By the end of 2013, PBR’s total long-term debt was ~$106 billion. It also had $8 billion in short-term debt. Approximately 80% of the debt liabilities were denominated in foreign currencies.
Are Commodities a Boon or a Bane for Brazil?
Brazil (EWZ) is rich in commodities. It’s among the top producers and exporters of iron ore, crude petroleum, soybeans, sugar, and meat.
What Does Petrobras’s Strategic Plan Reveal?
Petrobras (PBR) has unveiled its new five-year strategic plan. It aims to evolve into a financially stronger and more socially responsible company.
Why is Petróleo Brasileiro S.A.—Petrobras important?
Petróleo Brasileiro S.A.—Petrobras (PBR) is one of the largest integrated energy companies in the world. In the U.S., it’s more commonly known as Brazilian Petroleum Corporation—Petrobras.
Top Energy Gains Last Week
On April 16, McDermott International announced that it will release its first-quarter earnings results on April 29.
Petrobas and Its Analysts: Are Ratings Improving?
As of January 11, 2017, Petrobras (PBR) has been rated by 18 analysts. Four of them rated the company a “buy” or “strong buy.”
Why Petrobras expanded its international operations
In 2013, PBR produced ~128 thousand barrels of oil per day (or bbl/d) of crude oil and natural gas liquids (or NGLs). It produced ~560 million cubic feet per day (or MMcf/d) of natural gas outside Brazil.
Why IMF Slashed Brazil’s Economic Growth Outlook in 2017
Economic activity in Brazil (EWZ) has been slow as it tries to emerge from its deep recession in 2016. But consumer and business confidence is improving.
BP on the Street: Analyst Ratings Prior to the 1Q17 Results
Of the 11 analysts covering BP stock, four (36%) have assigned “buy” or “strong buy” ratings, while seven (64%) have assigned “holds.” None has assigned a “sell.”
Oil-Weighted Upstream Stocks: Outlier in the Energy Space
On August 24–31, upstream stock California Resources (CRC) saw the highest gain on our list of energy stocks.
Chevron: Analysts’ Recommendations
In January, 23 analysts rated Chevron (CVX). Among the analysts, 17 (or 74%) recommended a “buy” or “strong buy.”
Integrated Energy and Refiner Stocks’ Returns and Volatilities
In the last five days, China Petroleum & Chemical (SNP) rose the most among our integrated energy and refiner stocks with low implied volatilities.
US Dollar and China: Crude Oil Prices Fell for the Third Day
December WTI crude oil futures fell by 2.0% on November 6, 2015. Crude oil prices fell due to the appreciating US dollar and weak demand data from China.
Brazil’s SELIC Rate Rises to 14.25% yet Inflation Continues to Soar
The Central Bank of Brazil has attempted to rein in inflation by raising Brazil’s key interest rate, also known as the SELIC rate.
Iran Set to Increase Crude Oil Production and Flood World Markets
Now that export sanctions have lifted, the global crude oil markets are ready to be flooded with Iranian crude oil of around 1 MMbpd in the first quarter of 2016.
Why Petrobras’ investors should watch Brazil’s energy policies
PBR’s oil and gas production from Brazil accounted for more than 90% of its total upstream energy production. Approximately 96% of its total reserves were in Brazil in 2013.
Crude Oil Bear Market: Worst Case Scenarios for 2016
Goldman Sachs (GS) suggests crude oil prices could test $20 per barrel in a worst case scenario in 2016.
Brazil’s Inflation Continues to Soar While Growth Is Stagnant
Brazil (EWZ) is in a state popularly known as “stagflation.” The economy is characterized by low growth, high unemployment levels, and a rising inflation rate.
Inflationary woes in Brazil continue despite rise in Selic rate
Investors should watch inflationary woes in Brazil. For the week ended March 15, the IPC-S consumer price index was at 1.49 against an expected 1.42.
Why has Brazil’s growth slowed in recent years?
Brazil, a $2.5 trillion economy, is the seventh largest economy in the world. Brazil exports commodities such as iron ore, cotton, and coffee.
George Soros Is Bearish on Brazil, Russia, and Asian Currencies
George Soros sees Russia in a weak position. He believes that it has enough reserves to last a couple of years. It might see a lot of debt coming due in 2017.
Brazilian Stocks Continue to Decline Despite a Pleasant Surprise
Brazilian stocks continue to decline. A good chunk of this decline is due to the corruption scandal surrounding Brazilian oil giant Petróleo Brasileiro.
Service Sector in Emerging Economies Remains Mixed in September
Emerging economies remain mixed in September, with Russia expanding and Brazil contracting further. Although Russia has moved back to expansionary phase, its overall economic environment remains challenging with rising inflationary pressure.
Shell’s Valuation Compared to Its Peers
Shell is trading at a forward PE of 13.8x, below its peer average of 17.6x.
Why you should monitor changes in Petrobras’ cost structure
Despite per unit cost improvement, Petrobras’ (PBR) 2014 year-to-date (or YTD) gross profit decreased to $16.7 billion—from $18.4 billion in the first half of 2013.
Total’s Segments: What’s changed in 1Q16?
Changing oil prices have changed dynamics within Total’s (TOT) segments.
How Does the Indian Rupee Compare Alongside Its Peers?
The Indian rupee has crossed 2.5-year lows as the US dollar and Indian rupee currency pair crossed the 67 handle after the close of the trading session.
ExxonMobil on the Street: Analysts’ Opinions
ExxonMobil (XOM) stock is covered by 26 analysts, eight (31%) of whom have assigned a “buy” or “strong buy” recommendation on the stock.
International Integrated Energy Stocks Take a Tumble in 2017
Integrated energy stocks recovered in 2016 due to rising oil prices. These stocks began 2017 on a positive note.
How Do Most Analysts View Shell’s Stock?
Royal Dutch Shell’s (RDS.A) analyst ratings show that ten of 11 analysts surveyed have rated the company as a “buy,” an “outperform,” or an “overweight.”
What Institutions Are Selling BP Stock?
Series so far So far in this series, we’ve looked at BP’s (BP) exploration portfolio, upstream projects, expected earnings for 2Q17, debt position, and liquidity. In the previous part, we looked at implied volatility based on BP’s stock price estimate for the eight days ending July 14, 2017. We’ll now look at institutional holdings in BP. Institutional […]
Analysts’ Recommendations for BP before 1Q16 Earnings
The highest 12-month target price for BP ahead of 1Q16 earnings is $43, indicating a 40% gain from current levels.
Why Shell’s Valuation Has Risen
Shell’s price-to-book value In this part, we’ll evaluate Royal Dutch Shell’s (RDS.A) historical valuation. Let’s begin by looking at its price-to-book multiple. Volatile oil prices have led to many projects becoming unviable for integrated energy companies Shell (RDS.A), BP (BP), Petrobras (PBR), and Chevron (CVX), resulting in impairments in their upstream segments and affecting their book […]
Why Brazil seeks diversification
Given the declining competitiveness of its commodity exports, Brazil’s economy is attempting to diversify away from its economic model.
Why Brazil looks expensive compared to the BRIC nations
Looking at the price-to-earnings (or P/E) multiple for Brazil over the last two years, equity shoppers may find that Brazil became a bit more expensive.
Why Brazil’s economy has more than 1 issue
Upswings and downswings in growth in the Brazilian economy are directly reflected in the performance of the iShares MSCI Brazil Capped ETF (EWZ).
Why Brazil’s political landscape is important
The political landscape in Brazil is interesting. Even though it endured centuries of political unrest and discrimination, Brazil now enjoys the political rule of a democratic government.
Why is Brazil an attractive investment destination?
With a population of 202.72 million, Brazil is the biggest economy in Latin America and the seventh biggest in the world by nominal gross domestic product.
Why you should be cautious when investing in Brazil
Brazil’s gross domestic product (or GDP) was growing at about 6% before the recession hit the economy in 2009, when GDP dipped below zero.
Shell’s Earnings Fell to a Two-Year Low, Missed Estimate
Shell’s earnings fell almost 50% YoY to $3.0 billion in the second quarter. On an adjusted basis, Shell’s earnings fell 26% YoY to $3.5 billion.
BP’s Earnings Beat Analysts’ Expectations
BP (BP) reported its second-quarter results today. Its earnings per American depositary share of $0.84 beat analysts’ estimate by about 7%.
Will Shell’s Q2 Earnings Outperform Peers?
Shell’s Q2 earnings are expected to rise year-over-year.
ExxonMobil: Analysts’ Recommendations
In the fourth quarter, ExxonMobil’s earnings rose and beat the estimates. ExxonMobil continued to take advantage of its integrated business model.
Suncor’s Stock Price Range Forecast until Its Q4 Earnings
Suncor is expected to post its fourth-quarter earnings on February 5. The price range forecast will be based on the current implied volatility.
With 43% ‘Buy’ Ratings, Petrobras Is Second to Last
Petrobras has the second-smallest market cap of ~$84 billion among the seven integrated energy stocks under discussion in this series.
Why Wall Street Analysts Are Divided on BP Stock
BP (BP) stock is covered by 11 Wall Street analysts. Of this total, five (or 45%) have given it “buy” or “strong buy” ratings.
Integrated Energy Losses This Week: PTR, YPF, CVE, PBR, and SU
PetroChina (PTR) fell ~7.7% from the previous week’s close of $84.18 to $77.72 on June 14.
Chevron’s Moving Averages ahead of Earnings
Before we look at Chevron’s (CVX) moving average since January 2, let’s briefly look at how moving averages trended until then.
Has Chevron Stock Mirrored SPY ahead of 1Q18 Earnings?
In the previous part of this series, we considered Chevron’s (CVX) segmental outlook for 1Q18. Now, we’ll examine Chevron’s stock performance before its 1Q18 results.
Why Wall Street Expects Stellar Earnings from Chevron
Chevron (CVX) is expected to post its 1Q18 results on April 27. Here’s what you can expect.
Integrated Energy Losses this Week: CEO, PBR, YPF, PTR
To conclude our series on the biggest movers in the energy sector, we’ll look at the biggest losses from the US integrated energy sector this week.
Why Are Wall Street Analysts Divided on ExxonMobil?
ExxonMobil (XOM) stock is covered by 24 Wall Street analysts. Seven of them (or 29%) have given the stock a “buy” or “strong buy” recommendation.
What BP’s Moving Averages Indicate
BP surpassed its earnings estimates for 4Q17, as its upstream earnings rose year-over-year.
Why Most Wall Street Analysts Say Chevron Is a ‘Buy’ in 2018
Analyst ratings for Chevron A total 23 Wall Street analysts have ratings on Chevron (CVX). Of the total, 16 analysts (70%) have “buy” or “strong buy” ratings, seven (30%) have “hold” ratings, and none have assigned a “sell” rating on the stock. Ratings and target price changes after Q4 earnings After the Q4 results, Credit Suisse cut […]
Will Analysts Raise Ratings for BP after 4Q17 Earnings?
Post-earnings, BP has been rated by a total of 11 analysts. Of the total, five analysts have assigned “buy” or “strong buy” ratings, five have assigned “hold” ratings, and one has assigned a “sell” rating on the stock.
Where Chevron’s Analyst Ratings Stand after Its 4Q17 Earnings
Of the 23 analysts covering Chevron, 13 analysts assigned “buy” or “strong buy” ratings, nine assigned “hold” ratings, and one assigned a “sell” rating for the stock
Chevron Stock Fell 6% on Its 4Q17 Earnings Miss
Chevron (CVX) announced its 4Q17 results on February 2, 2018. CVX opened the day at $123.90 per share, which was lower than its previous close of $125.60.
Chevron’s Moving Averages Trend Upward
Chevron’s moving averages In this part, we’ll look at Chevron’s (CVX) moving averages. Let’s start with its moving averages in the first nine months of 2017. In the beginning of 2017, Chevron’s 50-DMA (day moving average) slid down but stayed above its 200-DMA. The downtrend in Chevron stock extended to 2Q17. As WTI (West Texas […]
Integrated Energy Losers This Week: CVE, PBR, PTR, CEO, and YPF
Cenovus Energy is the biggest loser this week from the integrated energy sector. It has fallen from last week’s close of $11.26 to $10.17 on November 15.
Analyst Ratings for Total: Least ‘Buy’ Ratings, No ‘Sell’ Ratings
Only one of the six analysts covering Total (TOT) has rated it a “buy” in September 2017. Another five analysts (or 83.0%) have rated it a “hold.”
Analyst Ratings for ExxonMobil: Not Loved, but Not the Worst
Nine (or 33.0%) of the 27 analysts covering ExxonMobil (XOM) have rated it a “buy” in September 2017. Another 12 analysts (or 44.0%) have rated it a “hold.”
Why Has Short Interest in ExxonMobil Risen?
Short interest in ExxonMobil (XOM), expressed as a percentage of outstanding shares, has risen from 0.64% in mid-April to the current level of 0.83%.
Shell on the Street: Analyst Ratings after the 2Q17 Earnings
Of the 11 analysts tracking Shell, ten (91%) analysts have assigned “buy” or “strong buy” ratings, while one (9%) has assigned a “hold” rating.
TOT, SU, E, and PBR: Comparing Their Dividend Yields
Total (TOT), Suncor Energy (SU), ENI (E), and Petrobras (PBR) have provided steady returns to their shareholders in the form of dividends.
Why Loretta Mester Is Worried about Falling behind the Curve
Loretta J. Mester, president of the Federal Reserve Bank of Cleveland, said she doesn’t want the Fed to fall behind the curve.
Will Rising FDI in Brazil Help 2017 Market Performance?
FDI (foreign direct investments) in Brazil picked up in the second half of 2016 in spite of a slow economy, impeachment of the president, political crises, and corruption scandals.
TOT, SU, E, PBR: Who Has Highest Dividend Yield?
Total (TOT), Suncor Energy (SU), ENI (E), and Petrobras (PBR) have consistently given returns to shareholders in the form of dividends.
A Look at Short Interest in Chevron
Short interest in Chevron Last year, short interest in Chevron (CVX) rose. However, since mid-December 2016, it has dropped by 38%, indicating that bearish sentiment for the stock has weakened. However, contrary to market sentiment, Chevron’s stock price has fallen 6%. In the same period, short interest in peers Statoil (STO), Petrobras (PBR), and PetroChina […]
Why Most Analysts Rate Chevron a ‘Buy’
Analyst ratings for Chevron Chevron (CVX) has been rated by 25 analysts. Of the total, 17 analysts have given “buy” or “strong buy” ratings, eight have given “hold” ratings, and none have given “sell” or “strong sell” ratings on the stock. These ratings have improved from March 2016, when Chevron had fewer “buy” ratings, more […]
Understanding XOM Stock through Implied Volatility
The implied volatility in ExxonMobil (XOM) currently stands at 14%, down from 16% on January 3, 2017.
What ExxonMobil’s Institutional Holdings Tell Us
Institutional holdings in ExxonMobil (XOM) currently stands at ~51%.
Is Brazil Showing Improvement in Its Economic Growth?
Brazil’s economy is currently emerging from a severe and prolonged recession. Some reasons for the slump in the country’s economy were political uncertainty and lower consumer and business confidence.
Analysts’ Ratings for ExxonMobil after Its Earnings
Six analysts gave ExxonMobil a “buy” rating, 13 analysts gave it a “hold” rating, and seven analysts gave it a “sell” rating after its 4Q16 earnings.
Analysts’ Ratings for Chevron after Its Earnings
After its earnings, 18 of the analysts assigned “buy” ratings to Chevron, eight analysts assigned “hold” ratings, and none of them assigned “sell” ratings.
Has Implied Volatility in ExxonMobil Fallen Pre-Q4 Earnings?
Implied volatility in ExxonMobil (XOM) is currently 16.0%. On January 11, 2017, it was 18.0%.
Has Short Interest in Shell Risen Leading Up to 4Q16?
Royal Dutch Shell (RDS.A) has witnessed a 37% rise in its short interest volumes since mid-December 2016.
What’s the Correlation Between XOM and WTI?
Integrated energy companies such as ExxonMobil are affected to varying degrees by volatility in crude oil prices. XOM’s correlation coefficient with WTI stands at 0.56.
What Does ExxonMobil’s Implied Volatility Suggest?
Implied volatility in ExxonMobil currently stands at 17%. However, XOM’s current implied volatility has risen compared to its level of 15% on December 23, 2016.
Has Implied Volatility in CVX Risen ahead of Its 4Q16 Earnings?
Implied volatility in Chevron (CVX) currently stands at 19.9%, up from its December 19, 2016, level of 15.6%.
Has Short Interest in ExxonMobil Fallen?
ExxonMobil (XOM) has witnessed a 35% fall in its short interest volumes since September’s end 2016.
Chevron’s 4Q16 Estimates: Are Analysts Expecting Better Performance?
Chevron (CVX) plans to post its 4Q16 results on January 27, 2017. Wall Street analysts expect Chevron to post earnings per share of $0.65 in 4Q16.
What Does ExxonMobil’s Permian Basin Deal Mean?
ExxonMobil (XOM) has penned a huge deal with the Bass family to acquire its companies, which include vast oil resources in the Permian Basin.
A Look at Petrobas’s Implied Volatility
Implied volatility for Petrobras (PBR) currently stands at 43.0%, which is lower than the 30-day average implied volatility of 48.0%.
Petrobras Production Reaches New High: Stock Rises 5%
Petrobras (PBR) has posted record monthly and daily oil production volumes in Brazil for December 2016. Its monthly oil production there was 2.3 MMbpd.
Did Short Interest in Petrobas Fall in 4Q16?
Short interest in PBR fell in 4Q16. In 2016, PBR saw a downtrend in its short interest levels.
Why Is Petrobras’s Valuation Higher Than Peer Average?
After its production update news, Petrobas’s forward PE and EV-to-EBITDA stood at 18.7x and 6.3x, respectively.
What Does Shell’s Implied Volatility Suggest?
Implied volatility in Royal Dutch Shell (RDS.A) currently stands at 22%, in line with its 30-day average implied volatility.
Has Short Interest in Shell Fallen?
Royal Dutch Shell (RDS.A) has witnessed a 43% fall in its short interest volumes since September’s end 2016. What does this mean?
Why Chevron’s Valuations Command a Premium over the Peer Average
Before we go ahead with a peer comparison, let’s consider the market caps of integrated energy companies. Chevron’s market cap stands at ~$221 billion.
Has Short Interest in Chevron Risen since September 2016?
Short interest in Chevron has been rising since the beginning of 2016. If we consider the change since mid-September 2016, CVX’s short interest has risen 10%.
Where Petrobras’s Forward Valuations Stand Compared to Its Peers’
Petrobras is trading at a two-year forward EV-to-EBITDA ratio of 4.8x, below the peer average of 5.4x.
Analysts’ Ratings for PBR: Most Say ‘Hold’
A survey of analysts shows that seven out of 11 companies have rated Petrobras (PBR) as a “hold,” a “neutral,” or a “market perform.”