Embraer rises almost 5% with KC-390 agreement with Greece and Petrobras retreats on Tuesday morning
According to InfoMoney, the share rose 4.95% at 11:53 am with the Greek contract and JPMorgan's assessment, while the Ibovespa fell and Petrobras retreated.
BY THE X-TRADER NEWS NEWSROOM · REPORTING FROM INFOMONEY · 3 MIN
Embraer (EMBJ3) was one of the highlights of the Brazilian Stock Exchange on Tuesday morning (3), against the Ibovespa, which was falling. At 11:53 am, the shares rose 4.95%, quoted at R$104.53. According to InfoMoney, the increase is linked to the behavior of the dollar and the agreement reached with Greece.
The agreement is with the Greek Air Force and provides for three KC-390 Millennium aircraft, with three additional purchase options. According to InfoMoney, the contract was signed by the Greek Ministry of Defense, as part of a government agreement between Greece and Portugal, and was announced on Monday (2).
In JPMorgan's assessment, cited by InfoMoney, revenue from Embraer's Defense division is expected to grow at an average annual rate (CAGR) of around 15% between 2026 and 2030. For the company as a whole, the estimate is 11%. The bank classified the evaluation as positive.
The trading session, however, had opposite signs. Petrobras fell 4.25% in PETR4, quoted at R$57.62, and 3.97% in PETR3, at R$50.64, in the morning. In oil, WTI fell 2.11%, to US$ 94.42, and Brent lost 2.76%, to US$ 101.66. According to InfoMoney, both opened higher and reversed the movement.
On the same day, Raízen (RAIZ4) had the extrajudicial recovery plan approved. Itaú (ITUB4), BB Seguridade (BBSE3), ISA Energia (ISAE4), Marcopolo (POMO4) and RD Saúde (RADL3) also released balance sheets. On the confidence side, FGV IBRE's Business Confidence Index (ICE) fell 0.3 points in October, to 89.8 points. It was the fourth monthly drop in a row. In the quarterly moving averages, the index fell 0.6 points, its second consecutive drop.
In the United States, Polymarket indicated around a 77% chance of Democrats controlling both Houses of Congress in the midterm elections.
What changes for the investor
The central point for those who follow Embraer is the combination between a concrete contract and the projection of growth for the Defense division above that estimated for the company as a whole. This may change the reading on future revenue, but a one-day increase does not automatically become a trend. In the rest of the market, the fall of Petrobras on the same day that oil reversed its rise, added to four consecutive months of decline in the ICE, suggests an environment of business caution. It is worth monitoring the following balance sheets and the next confidence data to understand whether this situation continues.
Automatically translated from Portuguese.
