WallStSmart

Petroleo Brasileiro Petrobras SA ADR (PBR)vsTransportadora de Gas del Sur SA ADR (TGS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Transportadora de Gas del Sur SA ADR generates 238% more annual revenue ($1.85T vs $548.49B). TGS leads profitability with a 28.0% profit margin vs 24.3%. PBR trades at a lower P/E of 5.1x. PBR earns a higher WallStSmart Score of 84/100 (A-).

PBR

Exceptional Buy

84

out of 100

Grade: A-

Growth: 7.3Profit: 9.0Value: 7.3Quality: 5.5
Piotroski: 4/9Altman Z: 2.11

TGS

Strong Buy

72

out of 100

Grade: B

Growth: 9.3Profit: 8.5Value: 6.0Quality: 8.0
Piotroski: 5/9Altman Z: 2.21
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PBRUndervalued (+88.9%)

Margin of Safety

+88.9%

Fair Value

$188.27

Current Price

$21.20

$167.07 discount

UndervaluedFair: $188.27Overvalued

Intrinsic value data unavailable for TGS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBR6 strengths · Avg: 9.8/10
P/E RatioValuation
5.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

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

Market CapQuality
$129.66B9/10

Large-cap with strong market position

TGS6 strengths · Avg: 9.2/10
Operating MarginProfitability
40.7%10/10

Strong operational efficiency at 40.7%

EPS GrowthGrowth
147.6%10/10

Earnings expanding 147.6% YoY

Free Cash FlowQuality
$256.43B10/10

Generating 256.4B in free cash flow

Profit MarginProfitability
28.0%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
13.0x8/10

Attractively priced relative to earnings

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

PBR1 concerns · Avg: 2.0/10
PEG RatioValuation
5.872/10

Expensive relative to growth rate

TGS0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : PBR

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

Bull Case : TGS

The strongest argument for TGS centers on Operating Margin, EPS Growth, Free Cash Flow. Profitability is solid with margins at 28.0% and operating margin at 40.7%. Revenue growth of 15.4% demonstrates continued momentum.

Bear Case : PBR

The primary concerns for PBR are PEG Ratio.

Bear Case : TGS

No major red flags identified for TGS, but monitor valuation.

Key Dynamics to Monitor

PBR carries more volatility with a beta of -0.21 — expect wider price swings.

PBR is growing revenue faster at 42.3% — sustainability is the question.

TGS generates stronger free cash flow (256.4B), providing more financial flexibility.

Monitor OIL & GAS INTEGRATED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PBR scores higher overall (84/100 vs 72/100), backed by strong 24.3% margins and 42.3% revenue growth. Both earn "Exceptional Buy" and "Strong 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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Transportadora de Gas del Sur SA ADR

ENERGY · OIL & GAS INTEGRATED · USA

Transportadora de Gas del Sur SA provides natural gas transportation and distribution services in Argentina. The company is headquartered in Buenos Aires, Argentina.

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