Petrobras (PBR) Stock Slipping, Oil Rising

Shares of Petrobras (PBR) are lower on Wednesday afternoon although the price of oil is moving higher after initially being down this morning.
By Lindsay Rittenhouse ,

NEW YORK (TheStreet) -- Shares of Petrobras (PBR) - Get Report are declining 0.73% to $6.83 on Wednesday afternoon despite the price of oil heading higher.

Crude oil is rising by 1.07% to $47.10 per barrel and Brent crude is up by 0.85% to $48.37 per barrel, CNBC reports.

The price of oil has been fluctuating throughout the day.

Oil initially went lower today on Brexit uncertainty. The U.K.'s recent vote to leave the European Union could lead to weaker refinery demand and a slowdown in economic growth, Reuters reports.

The British pound this morning fell to nearly 1.30 per U.S. dollar, a 31-year low.

Yesterday, Petrobras stock moved lower after the Brazil-based energy company put nine small, shallow-water oil fields on sale to help reduce its debt.

Separately, TheStreet Ratings rated Petrobras as a "sell" with a score of D.

This is driven by several weaknesses, which can be seen in multiple areas, such as its deteriorating net income, generally high debt management risk, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.

You can view the full analysis from the report here: PBR

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

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