The actions of petz (PETZ3) are heading to close this Monday (9) with an accumulated low of 26.8% in just three days, reaching their historic low of R$ 11.90.
The performance reflects the moment of risk aversion in the global markets, with investors fearing the advance of the inflation and the rise of feesbut also unfulfilled expectations about the company with the most recent balance sheet.
Well regarded by analysts among the new crop of companies on the Brazilian stock exchange, Petz presented on Friday (6th) an Ebitda of R$ 52 million in the first quarter, annual advance of 19.6% – but 49% lower than expected (by Genial Investimentos calculations).
The Ebitda margin was stable at 7.9%, but was 6.5 percentage points below the broker’s expectations.
Analyst Adriano Castro, from greatsaid that it is “evident” that the inflationary environment has been putting pressure on the company’s costs.
According to him, the rise in prices affects components of raw materials found in pet food (which consist of animal protein, corn and soy).
THE Bradesco BBI pondered that the main adverse factors are the acceleration of store openings and the acquisition of Zee.Dog, both of which we consider “good” headwinds.
Organic and inorganic growth, the bank said, will contribute “significantly to future revenue growth and cost dilution”.
The institution states that the balance sheet for the first quarter showed no evidence that the macro environment in Brazil could lead to a downgrade within the category of pet foodputting pressure on sales growth and gross margin.
The hypothesis would be investor concernaccording to Bradesco BBI.
“The company is well positioned to capitalize on the growth opportunity offered by a highly fragmented market”, reads an excerpt from the report signed by Vicente Falanga and team.
Ativa Investimentos analyst Lívia Rodrigues said on Friday that the fall in Petz’s share was unjustifiable, but acknowledged that factors such as the increase in grain prices can hamper the performance of the paper.
“In the short term, anything can happen, so our buy recommendation is for the long term,” he said.
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