Petroleo Brasileiro: Crouching Tiger, Hidden Dragon
By Seeking Benny Frank:Petrobras (PBR) is a multinational energy giant headquartered in Rio de Janeiro, Brazil. Founded in 1953, Petrobras over the years has grown into the largest company by market cap and revenue in the Southern Hemisphere. Petrobras produces over 2.7 million barrels of oil equivalents per day, and looks to double output over the next decade. Current profit margins sit at 14% with a debt credit rating of BBB. Timing, growth, and valuation are key reasons to begin building a position in PBR.A shares, currently trading around $21.28 per share.Catching a falling knife as the saying goes often results in cuts, and this applies to PBR.A shares; down 10.25% over the last month alone. The 52 week high was hit last May at $31.67, and the 2012 high was reached in February, at $29.74. The shares have seen a significant pullback for a multitude of reasons to be listed below,Complete Story »
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