WallStSmart

Petróleo Brasileiro S.A. - Petrobras (PBR-A)vsSabine Royalty Trust (SBR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Petróleo Brasileiro S.A. - Petrobras generates 641617% more annual revenue ($497.55B vs $77.53M). SBR leads profitability with a 94.7% profit margin vs 22.1%. SBR appears more attractively valued with a PEG of 1.35. PBR-A earns a higher WallStSmart Score of 67/100 (B-).

PBR-A

Strong Buy

67

out of 100

Grade: B-

Growth: 4.0Profit: 9.0Value: 5.7Quality: 4.5
Piotroski: 5/9Altman Z: 1.35

SBR

Hold

50

out of 100

Grade: D+

Growth: 2.0Profit: 10.0Value: 5.3Quality: 6.0
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PBR-A.

SBRSignificantly Overvalued (-17.6%)

Margin of Safety

-17.6%

Fair Value

$60.39

Current Price

$75.99

$15.60 premium

UndervaluedFair: $60.39Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBR-A6 strengths · Avg: 9.2/10
P/E RatioValuation
6.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Market CapQuality
$131.32B9/10

Large-cap with strong market position

Return on EquityProfitability
28.2%9/10

Every $100 of equity generates 28 in profit

Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
26.9%8/10

Strong operational efficiency at 26.9%

SBR4 strengths · Avg: 9.5/10
Return on EquityProfitability
94.4%10/10

Every $100 of equity generates 94 in profit

Profit MarginProfitability
94.7%10/10

Keeps 95 of every $100 in revenue as profit

Operating MarginProfitability
96.7%10/10

Strong operational efficiency at 96.7%

P/E RatioValuation
15.0x8/10

Attractively priced relative to earnings

Areas to Watch

PBR-A3 concerns · Avg: 2.7/10
EPS GrowthGrowth
0.5%4/10

0.5% earnings growth

PEG RatioValuation
4.982/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.352/10

Distress zone — elevated risk

SBR4 concerns · Avg: 2.5/10
Market CapQuality
$1.10B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
161.7x2/10

Trading at 161.7x book value

Revenue GrowthGrowth
-30.2%2/10

Revenue declined 30.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : PBR-A

The strongest argument for PBR-A centers on P/E Ratio, Price/Book, Market Cap. Profitability is solid with margins at 22.1% and operating margin at 26.9%.

Bull Case : SBR

The strongest argument for SBR centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 94.7% and operating margin at 96.7%. PEG of 1.35 suggests the stock is reasonably priced for its growth.

Bear Case : PBR-A

The primary concerns for PBR-A are EPS Growth, PEG Ratio, Altman Z-Score.

Bear Case : SBR

The primary concerns for SBR are Market Cap, Piotroski F-Score, Price/Book.

Key Dynamics to Monitor

PBR-A profiles as a value stock while SBR is a declining play — different risk/reward profiles.

SBR carries more volatility with a beta of 0.23 — expect wider price swings.

PBR-A is growing revenue faster at 5.0% — sustainability is the question.

PBR-A generates stronger free cash flow (3.2B), providing more financial flexibility.

Bottom Line

PBR-A scores higher overall (67/100 vs 50/100), backed by strong 22.1% margins. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Petróleo Brasileiro S.A. - Petrobras

ENERGY · OIL & GAS INTEGRATED · USA

Petrleo Brasileiro SA - Petrobras produces and sells oil and gas in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.

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Sabine Royalty Trust

ENERGY · OIL & GAS MIDSTREAM · USA

Sabine Royalty Trust owns copyrights and mineral interests in several oil and gas producing properties in the United States. The company is headquartered in Dallas, Texas.

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