YPFD Long Term Espectations

5 июл. 2017 г.

Even tough Argentina did not make it into a MSCI upgrade to Emerging Markets last month (notice the last big drop in its price), the bullish trend is still going, the Merval Index (from Argentina) is fully recovered and YPFD bearing its flag stock keeps itself on the bullish channel, respecting major resistances and supports.
Last month YPF S.A. bought back its stocks for 100 million ARS at a top price of 450 ARS (at that time the stock was about 350 ARS).
Last quarter results were very positive if we are looking for a long term investment, almost 90% of the profit was spent to cancel old debt taken by the last administration, making YPF free to take new loans with the best rates to exploit Vaca Muerta well. Operational cost was also reduced by almost 70%. We LL be expecting a very good second quarter result.
Analyst at big firms are expecting an average growth between 450 and 512 ARS in the next months.
I do set a take profit target at 467 ARS for the middle term, and wait and see for further price movement.