WallStSmart

Petróleo Brasileiro S.A. - Petrobras (PBR-A)vsTalos Energy (TALO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Petróleo Brasileiro S.A. - Petrobras generates 27614% more annual revenue ($548.49B vs $1.98B). PBR-A leads profitability with a 24.3% profit margin vs -20.5%. PBR-A earns a higher WallStSmart Score of 83/100 (A-).

PBR-A

Exceptional Buy

83

out of 100

Grade: A-

Growth: 7.3Profit: 9.0Value: 5.7Quality: 4.8
Piotroski: 4/9

TALO

Buy

53

out of 100

Grade: C-

Growth: 5.3Profit: 4.5Value: 6.7Quality: 5.0
Piotroski: 4/9Altman Z: 0.25
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PBR-A.

TALOUndervalued (+35.3%)

Margin of Safety

+35.3%

Fair Value

$20.69

Current Price

$17.68

$3.01 discount

UndervaluedFair: $20.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBR-A6 strengths · Avg: 10.0/10
P/E RatioValuation
4.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Return on EquityProfitability
56.5%10/10

Every $100 of equity generates 56 in profit

Operating MarginProfitability
44.7%10/10

Strong operational efficiency at 44.7%

Revenue GrowthGrowth
42.3%10/10

Revenue surging 42.3% year-over-year

EPS GrowthGrowth
96.8%10/10

Earnings expanding 96.8% YoY

TALO3 strengths · Avg: 10.0/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
34.4%10/10

Strong operational efficiency at 34.4%

Revenue GrowthGrowth
56.6%10/10

Revenue surging 56.6% year-over-year

Areas to Watch

PBR-A1 concerns · Avg: 2.0/10
PEG RatioValuation
5.322/10

Expensive relative to growth rate

TALO4 concerns · Avg: 1.8/10
Return on EquityProfitability
-39.6%2/10

ROE of -39.6% — below average capital efficiency

EPS GrowthGrowth
-38.1%2/10

Earnings declined 38.1%

Altman Z-ScoreHealth
0.252/10

Distress zone — elevated risk

Profit MarginProfitability
-20.5%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : PBR-A

The strongest argument for PBR-A centers on P/E Ratio, Price/Book, Return on Equity. Profitability is solid with margins at 24.3% and operating margin at 44.7%. Revenue growth of 42.3% demonstrates continued momentum.

Bull Case : TALO

The strongest argument for TALO centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 56.6% demonstrates continued momentum.

Bear Case : PBR-A

The primary concerns for PBR-A are PEG Ratio.

Bear Case : TALO

The primary concerns for TALO are Return on Equity, EPS Growth, Altman Z-Score.

Key Dynamics to Monitor

PBR-A profiles as a growth stock while TALO is a hypergrowth play — different risk/reward profiles.

TALO carries more volatility with a beta of 0.36 — expect wider price swings.

TALO is growing revenue faster at 56.6% — sustainability is the question.

PBR-A generates stronger free cash flow (7.3B), providing more financial flexibility.

Bottom Line

PBR-A scores higher overall (83/100 vs 53/100), backed by strong 24.3% margins and 42.3% revenue growth. TALO offers better value entry with a 35.3% margin of safety. Both earn "Exceptional Buy" and "Buy" 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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Talos Energy

ENERGY · OIL & GAS E&P · USA

Talos Energy Inc., an independent exploration and production company, focuses on the exploration and production of oil and natural gas properties in the United States Gulf of Mexico and off the coast of Mexico. The company is headquartered in Houston, Texas.

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