Analyst Bruno Amorim of Goldman Sachs maintained a Buy rating on Petroleo Brasileiro SA- Petrobras, retaining the price target of $14.20.
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Bruno Amorim has given his Buy rating due to a combination of factors influencing Petroleo Brasileiro SA- Petrobras. One of the primary reasons is the positive surprise in oil production, which has exceeded expectations with a significant increase in output. The company has been able to ramp up its FPSOs faster than anticipated, and a new platform is expected to commence production soon, aligning with the upper end of their guidance and surpassing market consensus.
However, this growth in production comes with increased capital expenditures as the company focuses on de-risking and accelerating project timelines. Despite the higher CAPEX, the anticipated growth in oil output and the strategic investments position Petrobras favorably. Additionally, potential M&A opportunities and the implications of Brazil’s upcoming elections in 2026 are considered, which could further influence the company’s financial performance and dividend prospects.
In another report released on August 26, TR | OpenAI – 4o also upgraded the stock to a Buy with a $13.50 price target.