Petrobras gets another bearish recommendation

• Petrobras (PBR +9.2%) is initiated with an Underperform rating and $2.80 price target at Macquarie, which believes the company needs to come up with a new plan to fund its growth.
• PBR's current business plan is based on certain macro assumptions, including oil price and exchange rate, but Macquarie thinks the assumptions are outdated and overly dependent on the company’s ability to execute its ambitious $58B divestment and restructuring plan.
• The firm estimates that PBR's investment plan generates a $79B funding gap to 2020, which appears too large to be absorbed by debt capital markets and will compel the company to make further capex cuts.
• Shares are up sharply today after announcing price hikes for gasoline and diesel at its Brazil refineries in the company's first increase since November.