Petróleo Brasileiro S.A. - Petrobras (PBR-A)vsValero Energy Corporation (VLO)
PBR-A
Petróleo Brasileiro S.A. - Petrobras
$18.80
+2.79%
ENERGY · Cap: $122.82B
VLO
Valero Energy Corporation
$254.32
+2.49%
ENERGY · Cap: $76.05B
Smart Verdict
WallStSmart Research — data-driven comparison
Petróleo Brasileiro S.A. - Petrobras generates 329% more annual revenue ($497.55B vs $115.94B). PBR-A leads profitability with a 22.1% profit margin vs 2.0%. PBR-A appears more attractively valued with a PEG of 0.30. PBR-A earns a higher WallStSmart Score of 75/100 (B).
PBR-A
Strong Buy75
out of 100
Grade: B
VLO
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+37.8%
Fair Value
$23.71
Current Price
$18.80
$4.91 discount
Margin of Safety
+42.5%
Fair Value
$354.74
Current Price
$254.32
$100.42 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Attractively priced relative to earnings
Large-cap with strong market position
Every $100 of equity generates 28 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 26.9%
Earnings expanding 317.9% YoY
Large-cap with strong market position
Generating 1.8B in free cash flow
Areas to Watch
0.5% earnings growth
Distress zone — elevated risk
Premium valuation, high expectations priced in
2.0% margin — thin
Expensive relative to growth rate
Revenue declined 2.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : PBR-A
The strongest argument for PBR-A centers on PEG Ratio, P/E Ratio, Market Cap. Profitability is solid with margins at 22.1% and operating margin at 26.9%. PEG of 0.30 suggests the stock is reasonably priced for its growth.
Bull Case : VLO
The strongest argument for VLO centers on EPS Growth, Market Cap, Free Cash Flow.
Bear Case : PBR-A
The primary concerns for PBR-A are EPS Growth, Altman Z-Score.
Bear Case : VLO
The primary concerns for VLO are P/E Ratio, Profit Margin, PEG Ratio. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
VLO carries more volatility with a beta of 0.73 — 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.
Monitor OIL & GAS INTEGRATED industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PBR-A scores higher overall (75/100 vs 51/100), backed by strong 22.1% margins. VLO offers better value entry with a 42.5% margin of safety. Both earn "Strong 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.
Visit Website →Valero Energy Corporation
ENERGY · OIL & GAS REFINING & MARKETING · USA
Valero Energy Corporation is a Fortune 500 international manufacturer and marketer of transportation fuels, other petrochemical products, and power. It is headquartered in San Antonio, Texas, United States.
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