The stock exchange is cheap and waiting for an interest rate cut in the Selic, today at 13.75%, to shoot, analysts point out. And the newest episode of market makers dealt precisely with the opportunities to take advantage of this turning point.
Among those interviewed was Ricardo Campos, founding partner and manager of Reach Capital, with 25 years of experience (12 of them analyzing stocks with Louis Stuhlberger).
In May while stocks exposed to commodities (mainly metallic) had a weaker performance, papers aimed at the local economy were the true champions of the month.
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Within the Ibovespa, the Yduqs (YDUQ3) easily outperformed other stocks and consolidated as the index’s biggest gain in May, after jumping more than 70%. already the OK (VOUCH3) was part of the top 5 biggest drops of the month after accumulating losses of almost 12%.
See below the main theses discussed:
3R Petroleum, well played
Campos maintains that the company is undergoing a manager revolution, with the entry of new partners, such as the family Gerdau (GGBR4) in the figure of Richard Chagas, together with the staff of Grendene.
“They put Harley Lorentz Scardoelli, who was the former CFO of Gerdau, Roberto Castello Brancoa weighty name of the Petrobras (PETR4) with infinite competence. 3R has very capable people”, he says.
In addition, the manager recalls that the company currently produces 25,000 barrels, with the expectation of increasing it to 50,000 next year and 100,000 for 2026.
“A company that bought assets when the Petroleum was US$ 50. It is a company of Petroleum that you don’t have to bet it’s going to go up. You were already making money at $50 a barrel. Now it’s $75, our long curve is $60. Any level of oil extraction will make you money. You just need the guys to deliver that little thing there ”, she maintains.
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The manager also mentioned companies headquartered in Caxias do Sul, in Rio Grande do Sul: random (RAPT4), which makes agricultural implements, Fras-Le (FRAS3), which manufactures braking and suspension material, and Marcopolo (POMO4), bus body builder.
“Fras-le is a very good company at what it proposes to do, it is at the forefront of technology. And regardless of the economic situation in Brazil, you need to change your brake part”. argue.
Regarding the MarcopoloCampos recalls that Brazil went 10 years without selling trucks and buses due to growth caused by a measure of access to credit by then-president Dilma Rouseff.
“The economy was very bad in these ten years and now these vehicles are old and you need to change”, he points out.
The manufacturer also benefits from the rise in airline tickets that favors the use of buses.
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Kepler Weber, almost free
The manager also mentions a company that is little known and negotiated, but that delivers results: the manufacturer of silos (grain storage) Kepler Weber (KEPL3).
According to Campos, it is a company that is growing enormously. “And when El Nino comes, grain production increases and there is a need to increase storage”, he argues.
He points out that the company went from an annual Ebitda of R$ 50 million to up to R$ 600 million.
“A kepler there were some mistakes back there due to the price not following the variation of steel. Today it already makes a different pricing. It is now investing in Mato Grosso”, he adds.
And to top it all off, the stock is trading at 2x earnings. “It was a more than extraordinary vintage last year. It won’t be like that this year, it’s going to be 4 times, but even then it’s still very cheap ”, he calculates.
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From Profit to Trash
Finally, the manager cites the orizon (ORVR3), which takes care of landfill concessions.
“But it’s not just garbage, you use it to have another use, like the production of gas and decomposing material, which you can sell for fertilizer or turn into carbon credits”, he argues.
“It is the major player in the sector and has a 20% market share. Big potential to grow. It is a company that has a lot to grow and with low operational risk”, he adds.
Source: Moneytimes
I am an author and journalist with a focus on market news. I have worked for a global news website for the past two years, writing articles on a range of topics relating to the stock market. My work has been published in international publications and I have delivered talks at both academic institutions and business conferences around the world.
