Fitch maintains Petrobras' BB rating and raises the company's isolated assessment

At the same time that it confirmed Petrobras' BB rating (PETR4) in foreign and local currency, with a stable outlook, Fitch raised the company's isolated assessment, the so-called SCP, from bbb to bbb+. The information was released by Money Times and shared by InfoMoney. The movement combines stability in the rating with an improvement in an indicator that evaluates the company separately.

The company's long-term rating remains at BB, in foreign and local currency, with a stable outlook. On a national scale, the long-term rating, AAA(bra), was also maintained, with a stable outlook. According to reports, the agency linked the decision to Brazil's sovereign rating, currently at BB with a stable outlook.

The isolated credit profile, or SCP, measures the financial quality of the company considered on its own, without counting external support. It was in this indicator that Fitch identified progress, moving the SCP from bbb to bbb+. The reasons cited are governance, management effectiveness, solid cash generation and low leverage.

The agency's reading is that the company has gained strength in internal factors, such as the governance structure and the ability to convert operations into cash, and that its debt level remains low. These points gain weight because they show the solidity of the company without depending on factors external to its management.

There is, however, a cautionary factor highlighted in the reports: the Union controls 50.3% of Petrobras' votes, which gives it room to interfere in the company's strategy and investment decisions. In other words, the improvement in fundamentals coexists with the controller's influence on the company's direction.

What changes for the investor

For shareholders, Fitch's message is mixed. On the one hand, the increase in the SCP signals that the company, assessed separately, has governance, cash generation and debt that the agency considers to be solid. On the other hand, the maintenance of BB ratings, linked to the sovereign rating, indicates that the rating continues to be linked to Brazil risk, and the government's voting power remains a relevant variable for those evaluating investment decisions. The report does not provide price projections or purchase or sale recommendations. Monitoring new decisions by state-owned agencies and policies remains the path for investors.

Automatically translated from Portuguese.