YPF SA (ADR) Scores Mixed Ratings from Guru Strategies

YPF SA (ADR) receives a 50% rating according to the Price/Sales Investor model, indicating mixed performance based on its fundamentals and stock valuation after a recent report. There are both positive and negative indicators impacting potential investors.

Date: 09-10-2024

AI Rating: 5

YPF SA (ADR) is assessed using the Price/Sales Investor model based on the strategy of Kenneth Fisher. The report indicates that the stock rates highest among the 22 guru strategies followed, with a current rating of 50%. This reflects mixed sentiments around its fundamental performance.

Key insights from the analysis include:

Price/Sales Ratio: The stock passes this criterion, indicating it is trading at a reasonable valuation relative to its sales. This could attract value-oriented investors and positively influence its stock price.
Total Debt/Equity Ratio: The stock fails this test, which could be a concern for investors, as higher debt levels could raise risks during economic downturns, negatively affecting stock performance.
Price/Research Ratio: YPF passes, suggesting strong perceived value relative to the resources invested in research; this is a positive sign for potential growth and might attract cautious investors.
Long-Term EPS Growth Rate: The failure to meet this criterion raises concerns regarding long-term profitability, as weak earnings growth can hinder investment interest and exert downward pressure on stock price.
Free Cash Per Share: YPF passes, indicating adequate free cash flow, which is a positive factor as it suggests the company has enough liquidity to support operations and potentially return cash to shareholders.
Three Year Average Net Profit Margin: The failure here suggests profitability issues over time, which can lead to investor skepticism and potentially affect stock price negatively.

Overall, the mixed results indicate that while YPF shows positive signs through certain metrics like free cash flow and price-to-sales ratio, key factors such as EPS growth rate and profit margins could dampen investor sentiment, impacting stock prices negatively.

Stocks: YPF