Petroleo Brasileiro S.A. – Petrobras (NYSE:PBR) is among the top gainers of the stock market today, skyrocketing 2.59% or (0.36 points) to $14.45 from its previous close of $14.09. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 4256246 contracts so far this session. PBR shares had a relatively better volume day versus average trading capacity of 14.72 million shares, but with a 4.19 billion float and a -0.42% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for PBR stock indicates that the average analyst price target is $19.71 per share. This means the stock has a potential increase of 36.4% from where the PBR share price has been trading recently which is between $13.95 and $14.25. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $15.8. Flipping the other side of the coin, an analyst who is fully bullish set a price target as high as $23.
Looking at the current readings for Petroleo Brasileiro S.A. – Petrobras, the two-week RSI stands at 55.61. This figure suggests that PBR stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current PBR readings is similarly very revealing as it has a stochastic reading of 42.81% at this stage. This figure means that PBR share price today is being neutral.
Technical chart claims that Petroleo Brasileiro S.A. – Petrobras (PBR) would settle between $14.24/share to $14.4/share level. However, if the stock price goes below the $13.94 mark, then the market for Petroleo Brasileiro S.A. – Petrobras becomes much weaker. If that happens, the stock price might even plunge as low as $13.8 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.11. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Goldman, assumed coverage of PBR assigning Buy rating, according to their opinion released on July 11. Citigroup, analysts launched coverage of Petroleo Brasileiro S.A. – Petrobras (NYSE:PBR) stock with a Buy recommendation, according to their flash note issued to investors on July 08. Analysts at Credit Suisse released an upgrade from Neutral to Outperform for the stock, in a research note that dated back to April 08.
PBR equity has an average rating of 2.85, with the figure leaning towards a bullish end. 8 analysts who tracked the company were contacted by Reuters. Amongst them, 3 rated the stock as a hold while the remaining 5 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 5 analysts rated Petroleo Brasileiro S.A. – Petrobras (NYSE:PBR) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, PBR stock price is currently trading at 9.55X forward 12-month Consensus EPS estimates, and its P/E ratio is 11.4 while for the average stock in the same group, the multiple is 12.7. Petroleo Brasileiro S.A. – Petrobras current P/B ratio of 1.2 means it is trading at a premium against its industry’s 1.1.
Petroleo Brasileiro S.A. – Petrobras (PBR)’s current-quarter revenues are projected to climb by nearly -19.7% to hit $20.19 billion, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over -12.4% from $95.58 billion to a noteworthy $83.7 billion. At the other end of the current quarter income statement, Petroleo Brasileiro S.A. – Petrobras is expected to see its adjusted earnings surge by roughly 50% to hit $0.39 per share. For the fiscal year, PBR’s earnings are projected to climb by roughly 6% to hit $1.6 per share.