Teekay (NYSE:TK) versus Petroleo Brasileiro S.A.- Petrobras (NYSE:PBR) Head-To-Head Analysis

Teekay (NYSE:TK) and Petroleo Brasileiro S.A.- Petrobras (NYSE:PBR) are both energy companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Profitability

This table compares Teekay and Petroleo Brasileiro S.A.- Petrobras’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teekay	N/A	N/A	N/A
Petroleo Brasileiro S.A.- Petrobras	15.99%	34.11%	8.63%

Volatility & Risk

Teekay has a beta of 0.42, meaning that its stock price is 58% less volatile than the S&P 500. Comparatively, Petroleo Brasileiro S.A.- Petrobras has a beta of 0.86, meaning that its stock price is 14% less volatile than the S&P 500.

Institutional & Insider Ownership

46.7% of Teekay shares are held by institutional investors. 2.4% of Teekay shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Teekay and Petroleo Brasileiro S.A.- Petrobras”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teekay	$992.52 million	0.84	$133.77 million	$1.41	6.46
Petroleo Brasileiro S.A.- Petrobras	$91.42 billion	0.83	$7.53 billion	$2.14	5.49

Petroleo Brasileiro S.A.- Petrobras has higher revenue and earnings than Teekay. Petroleo Brasileiro S.A.- Petrobras is trading at a lower price-to-earnings ratio than Teekay, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for Teekay and Petroleo Brasileiro S.A.- Petrobras, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teekay	1	0	0	0	1.00
Petroleo Brasileiro S.A.- Petrobras	0	3	4	1	2.75

Petroleo Brasileiro S.A.- Petrobras has a consensus price target of $15.43, suggesting a potential upside of 31.33%. Given Petroleo Brasileiro S.A.- Petrobras’ stronger consensus rating and higher possible upside, analysts clearly believe Petroleo Brasileiro S.A.- Petrobras is more favorable than Teekay.

Dividends

Teekay pays an annual dividend of $0.25 per share and has a dividend yield of 2.7%. Petroleo Brasileiro S.A.- Petrobras pays an annual dividend of $1.03 per share and has a dividend yield of 8.8%. Teekay pays out 17.7% of its earnings in the form of a dividend. Petroleo Brasileiro S.A.- Petrobras pays out 48.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Teekay has raised its dividend for 1 consecutive years.

Summary

Petroleo Brasileiro S.A.- Petrobras beats Teekay on 12 of the 18 factors compared between the two stocks.

About Teekay

Teekay Corporation engages in the international crude oil and other marine transportation services worldwide. The company owns and operates crude oil and refined product tankers. It also provides ship-to-ship support services; tanker commercial management operation services; and operational and maintenance marine services. As of March 1, 2024, the company operated a fleet of approximately 53 owned and chartered-in vessels. It serves energy and utility companies, major oil traders, large oil consumers and petroleum product producers, government agencies, and various other entities that depend upon marine transportation. Teekay Corporation was founded in 1973 and is headquartered in Hamilton, Bermuda.

About Petroleo Brasileiro S.A.- Petrobras

Petróleo Brasileiro S.A. – Petrobras explores, produces, and sells oil and gas in Brazil and internationally. The company operates through three segments: Exploration and Production; Refining, Transportation and Marketing; and Gas and Power. The Exploration and Production segment explores, develops, and produces crude oil, natural gas liquids, and natural gas primarily for supplies to the domestic refineries. The Refining, Transportation and Marketing segment engages in the refining, logistics, transport, acquisition, and exports of crude oil; and production of fertilizers, as well as holding interests in petrochemical companies. The Gas and Power segment is involved in the logistic and trading of natural gas and electricity; transportation and trading of LNG; generation of electricity through thermoelectric power plants; renewable energy businesses; low carbon services; and natural gas processing business, as well as production of biodiesel and its co-products. The company also engages in prospecting, drilling, refining, processing, trading, and transporting crude oil from producing onshore and offshore oil fields, and shale or other rocks, as well as oil products, natural gas, and other liquid hydrocarbons. In addition, it engages in research, development, production, transport, distribution, and trading of energy. Petróleo Brasileiro S.A. – Petrobras was incorporated in 1953 and is headquartered in Rio de Janeiro, Brazil.