WallStSmart

Petroleo Brasileiro Petrobras SA ADR (PBR)vsSeadrill Limited (SDRL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Petroleo Brasileiro Petrobras SA ADR generates 35980% more annual revenue ($497.55B vs $1.38B). PBR leads profitability with a 22.1% profit margin vs -5.6%. PBR earns a higher WallStSmart Score of 76/100 (B+).

PBR

Strong Buy

76

out of 100

Grade: B+

Growth: 4.0Profit: 9.0Value: 8.3Quality: 4.5
Piotroski: 5/9Altman Z: 1.35

SDRL

Buy

50

out of 100

Grade: C-

Growth: 8.7Profit: 3.5Value: 5.3Quality: 7.0
Piotroski: 3/9Altman Z: 2.21
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PBR.

SDRLUndervalued (+6.8%)

Margin of Safety

+6.8%

Fair Value

$46.13

Current Price

$49.69

$3.56 discount

UndervaluedFair: $46.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBR6 strengths · Avg: 9.2/10
PEG RatioValuation
0.3810/10

Growing faster than its price suggests

P/E RatioValuation
7.3x10/10

Attractively priced relative to earnings

Market CapQuality
$141.97B9/10

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

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

SDRL4 strengths · Avg: 9.3/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

EPS GrowthGrowth
63.1%10/10

Earnings expanding 63.1% YoY

Debt/EquityHealth
0.229/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
26.3%8/10

Revenue surging 26.3% year-over-year

Areas to Watch

PBR2 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.5%4/10

0.5% earnings growth

Altman Z-ScoreHealth
1.352/10

Distress zone — elevated risk

SDRL4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-2.7%2/10

ROE of -2.7% — below average capital efficiency

Free Cash FlowQuality
$-85.00M2/10

Negative free cash flow — burning cash

Profit MarginProfitability
-5.6%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : PBR

The strongest argument for PBR 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 0.38 suggests the stock is reasonably priced for its growth.

Bull Case : SDRL

The strongest argument for SDRL centers on Price/Book, EPS Growth, Debt/Equity. Revenue growth of 26.3% demonstrates continued momentum.

Bear Case : PBR

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

Bear Case : SDRL

The primary concerns for SDRL are Piotroski F-Score, Return on Equity, Free Cash Flow.

Key Dynamics to Monitor

PBR profiles as a value stock while SDRL is a growth play — different risk/reward profiles.

SDRL carries more volatility with a beta of 1.48 — expect wider price swings.

SDRL is growing revenue faster at 26.3% — sustainability is the question.

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

Bottom Line

PBR scores higher overall (76/100 vs 50/100), backed by strong 22.1% margins. 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.

Petroleo Brasileiro Petrobras SA ADR

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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Seadrill Limited

ENERGY · OIL & GAS DRILLING · USA

Seadrill Limited, an offshore drilling contractor, provides offshore drilling services to the oil and gas industry globally. The company is headquartered in Hamilton, Bermuda.

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