Eni and YPF are partnering on a major LNG project aiming for 30 million tons annually by 2030. Analysts expect a 33.86% price upside for YPF, currently holding an ‘Outperform’ rating. The GF Value metric suggests a fair value of $35.99 in one year, pointing to further growth opportunity for investors.
Eni, the renowned Italian energy company, has teamed up with Argentina’s YPF to spearhead a vital liquefied natural gas (LNG) export project. This collaboration aims to ramp up LNG exports to an impressive 30 million tons annually by the year 2030. Central to this endeavor are the fecund resources found in the Vaca Muerta shale formation. The development will unfold in phases, emphasizing strategic alliances as crucial elements in reaching output goals.
On Wall Street, analysts have weighed in on YPF SA, offering insights on the company’s share potential. Among 11 analysts, the consensus price target stands at $45.87, creating an appealing upside opportunity of 33.86% from YPF’s current share price of $34.27. The targets vary, showing a high estimate of $62.00 and a low of $33.00, which gives a sense of the market’s range of expectations.
In addition to this, the brokerage recommendations reflect a positive outlook on YPF. The average recommendation is rated at 2.0, which is categorized as “Outperform” on a scale from 1 to 5, where 1 is a Strong Buy and 5 is a Sell. This suggests that brokerage firms are confident in the company’s performance moving forward.
Further emphasizing positive expectations, the GF Value metric from GuruFocus indicates YPF SA’s fair value could reach $35.99 within a year, reflecting a potential rise of 5.02% from the current $34.27 share price. This metric considers historical trading multiples, as well as projected business growth metrics. For more details, one can examine the YPF SA summary page.
In summary, Eni’s partnership with YPF marks a crucial step toward unlocking Argentina’s LNG potential through a robust export strategy. Analysts project significant upside for YPF, as reflected in favorable price targets and brokerage recommendations. With the potential for increased market value and a strategic focus on Vaca Muerta’s resources, this venture could pave the way for considerable advancements in Argentina’s energy sector.
Original Source: www.gurufocus.com
