Petrobras (PBR) Price Target Lowered at JP Morgan

With an annual dividend yield of 6.49%, Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) is included among the 10 High Yield Crude Oil Stocks to Buy Now.

Petrobras (PBR) Price Target Lowered at JP Morgan

Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) is one of the largest oil and gas producers in the world. The Brazilian company is mainly dedicated to exploration and production, refining, energy generation, and marketing.

On June 3, JPMorgan lowered its price target on Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) from $24 to $23, but maintained its ‘Overweight’ rating on the shares. The trimmed target, which still indicates an upside of almost 30% from the current levels, comes after the analyst firm updated the company’s model.

Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) ​reported a drop in profits and fell behind expectations in its Q1 report last month, ‌as the impact of higher oil prices from the US-Iran had yet to flow through to results. The company expects to feel this impact starting in the second quarter.

The Q1 report also indicated that Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) has become increasingly reliant on its exports to generate revenue. While ​revenue from exports surged by 28.3% YoY during ⁠the first quarter, the Brazilian oil giant’s revenue from sales in its home country fell by 9.4%.

Petróleo Brasileiro S.A. – Petrobras (NYSE:PBR) was also recently included in our list of the 8 Best Natural Resources Stocks to Buy Now.

While we acknowledge the risk and potential of PBR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PBR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Renewable Energy Stocks to Buy According to Billionaires and 14 Best Oil and Gas Stocks to Buy According to Hedge Funds

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1