High Petrobras Options Volume Indicates Potential Downturn For Stock Despite Analyst Upgrade
Portfolio Pulse from Lisa Levin
Despite a recent upgrade from Goldman Sachs analyst Bruno Amorim, Petrobras (NYSE:PBR) experienced high options volume, indicating a potential downturn for the stock. The energy sector was one of the weakest performers on the S&P 500, with Petrobras shares closing lower.
June 23, 2023 | 12:21 pm
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Petrobras (NYSE:PBR) may face a downturn despite an analyst upgrade, as high options volume indicates potential weakness in the stock.
The high options volume, specifically the 7x average daily put volume, suggests that traders are expecting a potential downturn for Petrobras stock. This is despite the recent upgrade from Goldman Sachs analyst Bruno Amorim, who raised the price target from $13 to $18.10. The energy sector's weak performance on the S&P 500 also contributes to the negative outlook.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 100