(Editor's Note: TGS NOPEC trades under the ticker TGS.OL on the Oslo exchange with average daily volume of ~540 million Norwegian Krone.)
TGS NOPEC (OTCPK:TGSGY) (OTC:TGSNF) has everything value investors could dream about:
- Natural monopoly with pricing power;
- Wide-moat, asset-light and flexible business model;
- Management with proven track record, low compensation and significant holdings in the company;
- Long history of excess returns, with ROE=22%, BV growth of 20% over 10 years;
- High profitability with EBITDA margin of 80% and net margin of 30%;
- 4-5% dividend yield and share buybacks.
Due to Oil & Gas industry cyclicality the company is currently out of favor with investor. This creates a buying opportunity...