Transportadora De Gas Sa Ord B (TGS) AI Stock Analysis

• Market Cap: $4.42B
• Dividend Yield: 3.23%
• Average Volume (3M): 378.24K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.52
• Revenue Growth: 37.43%
• EPS Growth: 395.49%
• Country: US
• Employees: 1,147
• Sector: Energy
• Sector Strength: 60
• Industry: Oil & Gas Integrated
• EPS (TTM): 0.50
• Shares Outstanding: 77,860,535
• 10 Day Avg. Volume: 335,087
• 30 Day Avg. Volume: 378,241
• PEG Ratio: 0.89
• Price to Book (P/B): 2.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.70
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $30.84
• Price Target Upside: 7.46% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 78 Outperform
• Price Target: $34.00 ▲(18.47%Upside)

TGS scores high due to its strong financial performance and attractive valuation. The company's robust growth in revenue and cash flow, along with efficient asset management, provide a solid foundation. Technical indicators show bullish momentum, although potential overbought conditions should be monitored. The appealing P/E ratio and dividend yield further enhance the stock's attractiveness.

Transportadora De Gas Sa Ord B Business Overview & Revenue Model

Company Description

Transportadora De Gas Sa Ord B (TGS) is a leading energy company based in Argentina, primarily engaged in the transportation and distribution of natural gas. Operating one of the largest natural gas pipeline systems in Latin America, TGS plays a critical role in delivering energy across the region. The company also engages in complementary activities such as natural gas processing and commercialization of natural gas liquids, which further solidifies its position in the energy sector.

How the Company Makes Money

TGS generates revenue primarily through the transportation of natural gas via its extensive pipeline network. The company enters into long-term contracts with natural gas producers and distributors, securing a stable and predictable revenue stream. Additionally, TGS earns income from processing natural gas and selling natural gas liquids, which are by-products of the gas processing operations. These activities not only provide diversification to its revenue streams but also leverage its existing infrastructure to maximize profitability. Key partnerships with energy producers and regulatory arrangements in Argentina also play a significant role in TGS’s financial performance, ensuring continued demand for its transportation and processing services.

Transportadora De Gas Sa Ord B Financial Statement Overview

Summary

Transportadora De Gas Sa Ord B exhibits strong financial performance with impressive revenue and profit growth, healthy margins, and a robust balance sheet. The company effectively manages its debt and generates significant cash flows. However, attention should be paid to the volatility in revenue growth and the rising liabilities.

Income Statement

The company shows strong revenue growth, with a significant increase from 2023 to 2024. Gross profit margin and net profit margin are healthy, indicating good cost management and profitability. The EBIT and EBITDA margins are robust, reflecting operational efficiency. However, the revenue growth rate from 2022 to 2023 was negative, which raises concerns about consistent growth.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio, indicating good financial leverage management. The return on equity (ROE) is impressive, showcasing efficient use of shareholder funds to generate profit. The equity ratio is high, suggesting a strong capital structure. However, the significant increase in total liabilities from 2023 to 2024 warrants attention.

Cash Flow

Cash flow generation is strong with substantial free cash flow growth from 2023 to 2024. The operating cash flow to net income ratio is favorable, indicating efficient cash generation from operations. The free cash flow to net income ratio is healthy, demonstrating good cash profitability. Nonetheless, the capital expenditures have increased, which could impact future cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.25T	1.22T	444.29B	495.50B	526.69B	163.31B
Gross Profit	689.07B	653.12B	159.54B	196.42B	237.57B	82.26B
EBITDA	742.12B	643.37B	128.88B	235.89B	289.63B	50.60B
Net Income	392.89B	370.16B	23.52B	100.64B	126.97B	9.66B
Balance Sheet
Total Assets	3.75T	3.39T	1.53T	1.28T	405.52B	194.10B
Cash, Cash Equivalents and Short-Term Investments	955.75B	796.54B	329.46B	131.66B	34.48B	10.25B
Total Debt	590.57B	580.11B	421.65B	294.64B	102.42B	66.22B
Total Liabilities	1.21T	1.16T	670.12B	451.13B	170.61B	94.44B
Stockholders Equity	2.53T	2.23T	855.67B	832.16B	234.91B	99.66B
Cash Flow
Free Cash Flow	299.34B	194.36B	54.49B	31.47B	125.28B	60.99B
Operating Cash Flow	585.30B	484.17B	189.57B	110.28B	183.80B	83.84B
Investing Cash Flow	-536.66B	-384.90B	-206.43B	-125.23B	-183.70B	-88.47B
Financing Cash Flow	-27.08B	-31.35B	24.65B	11.29B	-5.82B	-14.92B

Transportadora De Gas Sa Ord B Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TGS, the sentiment is Positive. The current price of 28.7 is above the 20-day moving average (MA) of 26.81, above the 50-day MA of 27.15, and above the 200-day MA of 26.25, indicating a bullish trend. The MACD of 0.55 indicates Negative momentum. The RSI at 59.12 is Neutral, neither overbought nor oversold. The STOCH value of 83.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TGS.

Transportadora De Gas Sa Ord B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TGS	78 Outperform	$4.42B	11.25	20.40%	3.23%	37.43%	395.49%
E	77 Outperform	$51.50B	19.39	4.83%	6.97%	-6.31%	-33.87%
EC	72 Outperform	$17.74B	5.32	18.64%	21.31%	-2.26%	-20.04%
YPF	72 Outperform	$13.42B	7.87	15.54%	―	8.58%	―
NFG	71 Outperform	$7.94B	200.07	8.00%	2.40%	19.59%	-21.86%
Sector *	67 Neutral	$15.32B	10.21	6.62%	5.48%	4.82%	-57.74%