For savers: the 4 most recommended Argentine stocks that beat the dollar and inflation

In the last days, the financial dollars record a considerable rise. So far in April, the dollar Cash with Settlement (CCL) has already accumulated a rise of 5% while the MEP dollar does so by 3.5%. If the blue dollar is taken into account, it advances almost 7%.

This situation affects, above all, those who have savings in pesos and which lose value in relation to the dollar every time the US currency rises in price. But what can investors do to protect themselves from this situation?

IOL investoronline highlighted some Argentine stocks that are outperforming the dollar and inflation:

5 Argentine stocks that beat inflation and the dollar

In general terms, the shares of oil and energy companies have been showing an increase of more than 15% this month, which implies a higher rise than that of financial dollars.

1. Central Port (CEPU)

The electricity producing company reported a profit of ARS 2,364 M in the fourth quarter of 2022. This reflects a year-on-year growth of 43%, compared to the positive result of ARS 1,654 M achieved in the same period of the previous year. Likewise, beyond the positive data, the reported benefit represents a slowdown compared to the previous quarter. In terms of demand structure, in the case of Central Puerto, it is made up of 46% residential users, 27% commercial activity and the remaining 27% mainly corresponds to industrial demand.

2. Transportadora Gas del Sur (TGSU2)

It is a company dedicated to the transportation of natural gas and the production and sale of natural gas liquids. The company operates through four segments: natural gas transportation, production and sale of natural gas liquids, other services, and telecommunications. The company’s pipeline systems connect existing gas basins in southern and western Argentina with distributors and industries in these areas and throughout the Greater Buenos Aires area. It also provides midstream services, in this regard it signed an agreement with Shell to provide midstream services in the Bajada de Añelo block, in Vaca Muerta. Additionally, it is the largest gas transporter in Latin America with 9,183 km of gas pipeline extension.

3. Pampa Energy (PAMP)

For its part, Pampa Energía reported a profit of USD 113 million, which represents almost triple that registered in the last quarter of 2021. This is mainly explained by the arbitration compensation in Ecuador, and higher gains in the holding of financial instruments. For its part, net debt continued to drop to reach USD 913 million, with a net debt ratio of 1.2x, which, together with the aforementioned YPF, are among the best in the sector.

Within some outstanding aspects we can refer to the wind expansion, having acquired 100% of the company that operates in said province from the Government of the Province of La Rioja. In the fourth quarter, the power generation operated by Pampa grew 11% compared to the same period in 2021, while the oil and gas segment totaled sales of USD 155 million, showing year-on-year growth of 30%. This evidences the shock of the high sales prices and higher volumes in the upstream and midstream segments.

4.YPF (YPFD)

In the case of YPF, the Argentine flag oil company continues to report more than interesting performance. The company reported a positive result of USD 464 M. The announced profit represents a growth of almost 70% compared to the USD 274 M reached in the fourth quarter of the previous year. In this same line, the adjusted EBITDA reached almost USD 5,000 M, being the third highest in the history of the oil company, which is explained by a greater production of hydrocarbons and the improvement in sales prices.

Meanwhile, shale crude and shale gas production maintained healthy growth rates, with annual growth of 48% and 22%, respectively.

Another of the high points is the one referring to debt management, YPF continues to reduce the level of debt in absolute terms, which leads it to present one of the best solvency ratios in the industry, totaling a net debt over EBITDA indicator of 1.2x. Lastly, we cannot fail to mention that, despite having attractive valuation ratios, the stock has just shown a rise of more than 270% in less than 8 months. To this we must add that it will be of vital importance that YPF can maintain a high growth rate during 2023.