WallStSmart

Petroleo Brasileiro Petrobras SA ADR (PBR)vsTalos Energy (TALO)

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Smart Verdict

WallStSmart Research — data-driven comparison

Petroleo Brasileiro Petrobras SA ADR generates 27858% more annual revenue ($497.55B vs $1.78B). PBR leads profitability with a 22.1% profit margin vs -27.8%. 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

TALO

Avoid

33

out of 100

Grade: F

Growth: 2.7Profit: 2.5Value: 6.7Quality: 4.0
Piotroski: 2/9Altman Z: 0.43
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PBR.

TALOUndervalued (+49.2%)

Margin of Safety

+49.2%

Fair Value

$26.37

Current Price

$15.99

$10.38 discount

UndervaluedFair: $26.37Overvalued

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

TALO1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

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

TALO4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-20.1%2/10

ROE of -20.1% — below average capital efficiency

Revenue GrowthGrowth
-19.2%2/10

Revenue declined 19.2%

EPS GrowthGrowth
-38.1%2/10

Earnings declined 38.1%

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 : TALO

The strongest argument for TALO centers on Price/Book.

Bear Case : PBR

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

Bear Case : TALO

The primary concerns for TALO are Piotroski F-Score, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

PBR profiles as a value stock while TALO is a turnaround play — different risk/reward profiles.

TALO carries more volatility with a beta of 0.35 — expect wider price swings.

PBR is growing revenue faster at 5.0% — 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 33/100), backed by strong 22.1% margins. TALO offers better value entry with a 49.2% margin of safety. Both earn "Strong Buy" and "Avoid" 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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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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