Petroleo Brasileiro S.A.- Petrobras (PBR.A) vs Shell PLC Unsponsored ADR (SHEL)

Petroleo Brasileiro S.A.- Petrobras and Shell PLC Unsponsored ADR are both Oil & Gas Integrated companies. Shell PLC Unsponsored ADR is the larger, with a market value of $294.9B against $61.6B — 4.8× the size. Petroleo Brasileiro S.A.- Petrobras trades at the lower P/E: 5.9× against 11.6×. Petroleo Brasileiro S.A.- Petrobras grew revenue faster over the last twelve months: 20.8% against 10.1%. Petroleo Brasileiro S.A.- Petrobras has the higher net margin (24.5% vs 8.55%) and the higher return on invested capital (15.5% vs 13.1%). Across the 22 metrics below, Petroleo Brasileiro S.A.- Petrobras leads on 17 and Shell PLC Unsponsored ADR on 5.

Valuation

Metric PBR.A SHEL Oil & Gas Integrated median
P/E 5.88 11.64 12.62
P/S 1.44 0.98 1.29
P/B 1.61 1.64 1.62
Price to free cash flow 7.24 9.06 10.23
EV/EBITDA 3.84 4.70 4.86
EV/Sales 1.92 1.09 1.52
Earnings yield 17.00% 8.59% 7.04%
Free cash flow yield 13.81% 11.04% 6.09%

Profitability

Metric PBR.A SHEL Oil & Gas Integrated median
Gross margin 50.75% 27.55% 39.18%
Operating margin 34.15% 14.81% 14.90%
Net margin 24.52% 8.55% 8.88%
Free cash flow margin 19.89% 10.81% 9.61%
Return on equity 30.66% 14.24% 12.22%
Return on assets 11.05% 6.76% 6.47%
Return on invested capital 15.53% 13.13% 10.61%

Growth

Metric PBR.A SHEL Oil & Gas Integrated median
Revenue growth (TTM) 20.79% 10.06% 5.63%
EPS growth (last fiscal year) 162.07% 18.58% (14.54%)
Revenue growth, 5-year CAGR 10.69% 8.36% 12.04%
Net income growth, 5-year CAGR 76.66% 0.00% 0.00%

Health

Metric PBR.A SHEL Oil & Gas Integrated median
Debt to equity 0.65 0.40 0.55
Current ratio 0.85 1.43 1.18
Net debt to EBITDA 1.23 0.61 0.80

Dividend

Metric PBR.A SHEL Oil & Gas Integrated median
Dividend yield — — 3.24%
Payout ratio — — 0.52

Size

Metric PBR.A SHEL Oil & Gas Integrated median
Market cap 61.57b 294.92b 58.96b

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