BRF and Other Brazil Exporters' Shares Fall as Stronger Real Erodes Revenue
By Jeffrey T. Lewis
SÃO PAULO--BRF SA's shares fell 4%, and other Brazilian meatpackers' shares also declined, as the Brazilian currency hit its strongest level against the U.S. dollar in 10 months and chipped away at the value of their exports.
BRF shares reached 6.54 reais, the equivalent of $1.33, and are down 18% from the end of last year through Wednesday's close. Shares also retreated for Marfrig Global Foods SA by 2.8% at BRL6.62, for Minerva SA by 2.6% to BRL9.79, and for JBS SA by 1.2% to BRL17.21.
The Brazilian real had strengthened to 4.90 to the U.S. dollar earlier Thursday, its strongest level since June of last year. BRF and its Brazilian peers are big exporters of beef and other products, meaning a stronger real translates to less revenue when accounting for foreign exchange.
Write to Jeffrey T. Lewis at jeffrey.lewis@wsj.com
(END) Dow Jones Newswires
April 13, 2023 10:59 ET (14:59 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
Small-Cap and Value Stocks Are Undervalued
-
Why We Expect the Job Market’s Slowdown to Renew in 2024
-
5 Undervalued Stocks to Buy to Play a Little Defense
-
Markets Brief: AI Leaders Excel In Earnings Season So Far
-
What History Tells Us About the Fed’s Next Move
-
What’s Happening In the Markets This Week
-
Alphabet’s New Dividend: What Investors Need to Know
-
Going Into Earnings, Is Palantir Stock a Buy, a Sell, or Fairly Valued?
-
SiriusXM Earnings: Decent Results With Plan for Technology and Content Investment to Drive Growth
-
Coca-Cola Earnings: Solid Volume On Innovation and Digital Engagement
-
Is Berkshire Hathaway a Buy Before the Annual Meeting?
-
Investment Opportunities in the Drug Distribution Industry
-
Why the End of Quantitative Tightening Matters
-
Eli Lilly Earnings: Strong Weight-Loss Drug Sales Expand Margins
-
After Earnings, Is Meta Stock a Buy, a Sell, or Fairly Valued?
-
After Earnings, Is Boeing Stock a Buy, a Sell, or Fairly Valued?