Oct. 15 (Bloomberg) -- Petroleo Brasileiro SA, the Brazilian state-controlled oil company, had its 2009 share-price forecast cut 38 percent at Raymond James & Associates, citing the prospect of lower crude prices.

``We cut our price target to reflect a revision of our crude price forecast for 2009 as well as lower earnings multiples than those when the stock peaked in May this year,'' Raymond James analyst Ricardo Cavanagh said in a telephone interview from Buenos Aires.

Cavanagh lowered his forecast for Petrobras's American depositary receipts to $50 from $80. Petrobras's ADRs fell 4.2 percent to $32.59 yesterday. They have lost 45 percent this year, compared with a 35 percent drop in the Brazil's Bovespa index and a 33 percent decline in the Standard & Poor's 500 index. The stock has fallen 57 percent from its 2008 peak of $75.19 on May 21.

The research firm reduced its 2009 forecast for the average crude oil price to $90 a barrel from the previous estimate of $130 a barrel.

To contact the reporter on this story: Fabio Alves in New York at falves3@bloomberg.net.

Last Updated: October 15, 2008 09:13 EDT