Transportadora de Gas del Sur SA (ADR) ($TGS) Possible Buy to $28 Confident Investor Rating: Good

Company name Transportadora de Gas del Sur SA (ADR)
Stock ticker TGS
Live stock price [stckqut]TGS[/stckqut]
P/E compared to competitors Good


Employee productivity Poor
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good


Confident Investor Rating Good
Target stock price (TWCA growth scenario) $34.26
Target stock price (averages with growth) $50.44
Target stock price (averages with no growth) $34.26
Target stock price (manual assumptions) $34.5


The following company description is from Google Finance:

Transportadora de Gas del Sur S.A. is engaged in the transportation of natural gas and production and commercialization of natural gas liquids (Liquids). The Company operates through four segments: Natural Gas Transportation Services, Liquids Production and Commercialization, Other Services and Telecommunications. The Company’s pipeline system connects gas fields in southern and western Argentina with gas distributors and industries in those areas and in the greater Buenos Aires area. It also provides midstream services, which consist of gas treatment, removal of impurities from the natural gas stream, gas compression, wellhead gas gathering and pipeline construction, operation and maintenance services. The Company transports gas through approximately 5,675 miles of pipeline, of which it owns 4,745 miles. It operates the remaining 930 miles, which are owned by the Gas Trusts.


Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Transportadora de Gas del Sur SA (ADR) as long as the indicators that I describe in my book The Confident Investor are favorable. I am adding Transportadora de Gas del Sur SA to my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Transportadora de Gas del Sur SA (ADR) calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
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In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $22.23
  • Growth: 0.2
  • Current EPS (TTM): $0.77
  • P/E: 29
  • Future EPS Calc: $1.91
  • Future Stock Price Calc: $55.56
  • Target stock price: $34.5

I hope that this makes you a Confident Investor.

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