Petrobras: Bursting with Energy

摘要

With the stock of Petroleo Brasileiro, commonly called Petrobras (PRB), having soared from 43 in March to 93.18 on Nov. 7, is the party over? Don't bet on it, advises David Riedel, president of Rie-rndel Research Group, who just visited the oil company in Rio de Janeiro and came back impressed. "It isn't just a play on oil or etha-nol, but in the boom in Brazil," so the stock is still undervalued, hernsays. Riedel expects Petrobras, which found light oil off Brazil's coast in September, to come out with another oil discovery in 2008. Petrobras is the "best emerging-market investment, better than China or India," says Riedel, who predicts the Big Board-rnlisted stock will hit 120 in 12 months. As the world's 14th-largest oil producer, Petrobras supplies crude to refineries in Brazil and other countries.