Hi Elmatador. The PBR $70B stock sale is completed, so maybe now PBR stock will stop falling.
As PBR lets out contracts, the SBillions will flow to oil service companies all over the world. Of course, Brazil, which seems to have an oil policy, will give top priority, maybe exclusive priority, to Brazilian companies that provide products and services to PBR. I still follow several Brazilian companies that may benefit.
One company that I'm sure (although I could be wrong) will receive at least several $Billions is the lead bank in the stock sale, Banco Bradesco. The money may not stay there, but it is going there. And as Brazilian companies get orders from PBR, and more workers get jobs and income, this bank should be able to finance some of these people's purchases and also provide a way for them to save.
BBD has not been a great investment for me during the three years I've held the stock. I believe business prospects for BBD are good now, and with the stock price where it is, I'll again add a few more shares to my position, (I also hold just a few shares of ITUB, which some analysts in the past have said is the better opportunity. I'm staying with BBD for now.)
finance.yahoo.com |
