Industries – Chemicals & Oil: Second

São Paulo–based Paula Kovarsky, who captures second place for a third consecutive year, “has the largest and deepest knowledge in the oil and gas sector — by far,” proclaims one ally. “Her reports give us very detailed explanations about her assumptions and insights.” The Itaú BBA analyst covers 13 companies and currently has high-conviction buy calls on two of them, Cosan and Ultrapar Participações, in anticipation of earnings growth and improved profitability at the São Paulo–based entities. Brazil’s weakened currency should help spur global sales at Ultrapar’s chemicals subsidiary, Oxiteno; while Cosan should benefit from ongoing operational efficiencies stemming from recent acquisitions, including November’s purchase of a controlling stake in gas distributor Cia. de Gás de São Paulo, or Comgás. “The challenge will be to provide more visibility on those opportunities for the market to be able to price them in,” Kovarsky notes. — Leslie Kramer