NEW YORK (TheStreet) -- Petrobras (PBR.A) stock closed higher by 9.98% to $4.63 in Monday's trading session, as President Dilma Rousseff's political allies distance themselves, fueling impeachment speculation.
Petrobras is a Rio de Janeiro-based energy company.
Brazil's real increased by 1% 3.6427 per dollar in Sao Paulo this morning following reports that Brazil's largest party in Congress might leave the governing body as soon as Tuesday, Bloomberg reports.
Other groups might follow suit, thereby undermining support for the current government.
Many have called for Rousseff's impeachment as Brazil struggles to contend with the country's worst recession in decades.
Additionally, Petrobras will hold a shareholder meeting on April 28 to vote on whether to extend term lengths for board members to two years from one year and whether to reduce the number of directors to six from seven, Reuters reports.
Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.
Petrobras's weaknesses include its disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and generally high debt management risk.
You can view the full analysis from the report here: PBR.A
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 article's author.