Oi SA (OIBZQ) AI Stock Analysis

• Market Cap: $23.43M
• Dividend Yield: N/A
• Average Volume (3M): 120.00
• Price to Earnings (P/E): <0.1
• Beta (1Y): -85911.20
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 6,490
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -2.28
• Shares Outstanding: 65,708,890
• 10 Day Avg. Volume: 76
• 30 Day Avg. Volume: 120
• PEG Ratio: >-0.01
• Price to Book (P/B): >-0.01
• Price to Sales (P/S): 0.02
• P/FCF Ratio: -0.05
• Enterprise Value/Market Cap: 86.17
• Enterprise Value/Revenue: 8.86
• Enterprise Value/Gross Profit: -1.07
• Enterprise Value/Ebitda: -1.44
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 0

• Rating: 37 Underperform
• Price Target: $0.50 ▲(38.89% Upside)

The overall stock score is heavily impacted by the company's severe financial distress, as indicated by poor financial performance across income statements, balance sheets, and cash flows. Technical analysis further supports a negative outlook with bearish indicators. Valuation metrics, while suggesting potential undervaluation, are not enough to offset the significant financial challenges.

Oi SA Business Overview & Revenue Model

Company Description

Oi S.A., a switched fixed-line telephony services concessionaire, provides telecommunication services in Brazil. The company offers fixed telephony services, including voice, data communication, and pay TV services; local and intraregional long-distance carrier services; domestic and international long-distance services; mobile telecommunications and corporate solutions; and maintenance, and repair services. It also provides call center and telemarketing, Internet, network, and Wi-Fi Internet services; and financial, and payment and credit system services. In addition, the company engages in the investment management activities, as well as raising funds in the international market. It serves residential, subscription and prepaid, mobile broadband, small, medium-sized, and large corporate customers. The company was formerly known as Brasil Telecom S.A. and changed its name to Oi S.A. in February 2012. Oi S.A. was founded in 1998 and is headquartered in Rio de Janeiro, Brazil. On June 20, 2016, Oi S.A. along with its subsidiaries filed for bankruptcy protection.

How the Company Makes Money

Oi SA generates revenue through several key streams. The primary source of income comes from its mobile telecommunications services, where it offers voice and data plans to consumers and businesses. Fixed-line services, which include traditional telephony and broadband internet access, also contribute significantly to the company's revenue. Additionally, Oi has expanded its offerings to include pay television services, further diversifying its revenue base. The company has engaged in partnerships with various technology providers and content creators to enhance its service offerings and attract more customers. Furthermore, Oi's revenue is supplemented by the sale of value-added services, such as cloud computing and IoT (Internet of Things) solutions, which are increasingly in demand among corporate clients.

Oi SA Financial Statement Overview

Summary

OIBZQ is facing severe financial challenges, with declining revenues, negative profitability margins, high leverage, and negative cash flows. These factors collectively indicate a precarious financial position, requiring significant strategic and operational restructuring to stabilize and improve financial health.

Income Statement

The income statement reveals significant challenges, with negative gross profit margins and net profit margins over recent periods. Revenue has sharply declined, particularly in the TTM period, indicating a severe contraction in business operations. The company has consistently reported negative EBIT and EBITDA margins, reflecting ongoing operational inefficiencies and financial distress.

Balance Sheet

The balance sheet shows a concerning financial structure, with negative stockholders' equity and a high debt-to-equity ratio, indicating significant leverage and financial instability. The negative return on equity further highlights the company's inability to generate profits from its equity base, posing a risk to long-term solvency.

Cash Flow

Cash flow analysis indicates negative operating and free cash flows, with declining free cash flow growth. The operating cash flow to net income ratio is negative, suggesting inefficiencies in converting income into cash. The free cash flow to net income ratio is relatively high, but this is due to negative net income, which is not a positive indicator.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2020	Dec 2019
Income Statement
Total Revenue	227.75M	3.18B	9.72B	10.49B	10.93B	20.14B
Gross Profit	-1.89B	-1.45B	433.59M	-198.26M	2.01B	4.82B
EBITDA	-1.40B	13.89B	763.55M	-11.55B	1.09B	4.15B
Net Income	-1.84B	9.61B	-5.43B	-19.27B	-11.05B	-9.10B
Balance Sheet
Total Assets	18.73B	19.76B	26.12B	29.62B	73.84B	71.89B
Cash, Cash Equivalents and Short-Term Investments	1.15B	1.75B	2.18B	3.21B	4.30B	2.27B
Total Debt	12.60B	11.95B	25.49B	22.30B	29.33B	26.38B
Total Liabilities	34.20B	36.05B	53.41B	51.46B	66.07B	54.10B
Stockholders Equity	-15.50B	-16.32B	-27.32B	-21.88B	7.75B	17.65B
Cash Flow
Free Cash Flow	-395.37M	-1.41B	-3.54B	-4.03B	951.57M	-5.11B
Operating Cash Flow	-529.90M	-1.34B	-2.80B	-2.59B	4.41B	2.31B
Investing Cash Flow	98.22M	166.53M	1.31B	17.42B	-3.46B	-6.85B
Financing Cash Flow	-281.18M	969.36M	250.45M	-14.85B	799.63M	2.24B

Oi SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OIBZQ, the sentiment is Negative. The current price of 0.36 is below the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.68, and below the 200-day MA of 0.99, indicating a bearish trend. The MACD of -0.08 indicates Negative momentum. The RSI at 8.31 is Positive, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OIBZQ.

Oi SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VIV	76 Outperform	$19.78B	19.84	8.20%	4.60%	-6.51%	-0.21%
VEON	75 Outperform	$3.51B	3.56	89.94%	―	8.66%	―
SIFY	61 Neutral	$893.53M	―	―	―	10.20%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
TEO	54 Neutral	$3.36B	―	-0.27%	2.66%	3.89%	-107.44%
RBBN	47 Neutral	$708.33M	-14.08	-11.40%	―	7.38%	20.81%
OIBZQ	37 Underperform	$23.43M	<0.01	-81.27%	―	―	―

Oi SA Corporate Events

Oi S.A. Reports Q2 2025 Financial Results Amid Restructuring

Oi S.A. is a Brazilian telecommunications company that provides a range of services, including fixed-line and mobile telephony, broadband, and digital solutions, with a focus on transforming its business model towards more advanced ICT services.