VIST
📈 Vista has demonstrated high returns on invested capital and good profit margins in recent years.
🏆 It stands out for its agility and lower bureaucracy compared to larger competitors in the industry.
🤔 Although recognized as a good company, the decision not to include it in the portfolio is due to valuation and sector understanding concerns.
@invertirdesdecasa:
“In that same video, after making a conclusion, I analyzed a company that, as I say, is Vista Oil and Gas. Firstly, because I believe that crises, eventually, if we get to see one—because we are far, it seems to me, still from seeing it, at least as of today, surely it will come at some point—but crises, for me, are wealth transfers. What do I mean? Nothing is really destroyed, or rather, of course, in the short term, in terms of market value, there are large fluctuations and anything can happen, but in the long term, you have seen that wealth continues to be generated, continues to grow. And well, there are plenty of examples to tell you that, after all that has happened, there are many people, many investors who have made a lot of money with investments. That’s why we analyzed Vista Oil & Gas in this video, in this video that I’m telling you about, because, well, firstly, it’s a value investing channel aimed at everyone, but I live in Argentina, so many people from Latin America and many people from Spain, many people from parts of the world that I would never have imagined I could be communicating with. But we analyzed this company, and again, you can watch the video; it’s the third time I’ve said it, but my conclusion was: it’s a good company, and it’s not the first time I’ve said it, let it be clear, we’ve been following Vista for a while. Vista seems to me an excellent company, but I said, I don’t have it in my portfolio. I try in the videos to be as transparent as possible without arousing suspicion, of course, I say just enough to not generate any type of date, but to tell you, I have this company, I don’t have this company, so you know, eventually, nothing, where I’m speaking from. And I commented that, in the case of Vista, what I came to tell you, what I came for is that a subscriber of the channel, and here I’m going to read, sorry, so I don’t forget, I don’t like to forget names, Cristian Gómez from Mar del Plata, from La Feliz, left me a comment, of course, I won’t read it verbatim, but he said, ‘Arturo, I’ve seen you in this and in a lot of videos say this is a good company, an excellent business, but you don’t have it in your portfolio, and the question I want to ask you is why do you do it? Why don’t you have it in your portfolio despite it being a good company? What worries you? What doesn’t add up?’ And it seemed to me an excellent question that, of course, answering it in two or three lines seemed very difficult, and I think it can add a lot of value to everyone in general. Of course, my point of view, don’t think that, for example, the fact that I don’t have a company in my portfolio means that the company is destined to fail because nothing could be further from the truth. I’ve been wrong thousands of times, and surely I will be wrong again, but I try to study, and I try to understand these issues, and I think we can talk about this. Vista, and following the example that he asked me, I don’t want to forget, Cristian Gómez asked me, Vista has all these things that I’m commenting on, it has high returns, or at least in recent years, with the average capital invested or of the investors put into Vista’s business. Besides, besides having had excellent growth, besides having had or having good profit margins, which is why, even compared to much heavier players in the industry, well, that’s also a plus, perhaps for Vista, because it’s less bureaucratic, it’s more agile because it’s a bit smaller. That, for me, makes it a good company, makes it a good business, undoubtedly, the numbers tell you so. Of course, you have to have a bit of accounting there to understand this about return on capital, to understand the degree of leverage, if it’s a healthy leverage or not, but don’t think it’s something impossible to learn or impossible to understand. In fact, in the investment course, people who have no knowledge of accounting learn it, it can be understood, but that’s only one of the parts. In fact, the question they asked me was why do you say that a company is a good business or a business that you like and at the same time you don’t have it in your portfolio? I understand that someone may worry about saying, ‘Is this person saying something that is not B?’ He may worry because he says, ‘I’m seeing something, am I missing something that I’m not seeing before making an investment decision?’ and a lot of things. The truth is that there is another value judgment that still needs to be made when deciding whether or not to buy a company, a financial asset, let’s call it. I’m not saying, I’m not saying with this that Vista Oil is excessively overvalued, I’m not saying this, but it is a matter, I clarify, I’m not saying this, it is a matter of valuation.”
Watch the exact part of the YouTube video where Vista Oil & Gas is discussed here:
View the video on YouTube.
Read more articles analyzing Vista Oil & Gas (VIST) at the provided link. VIST stock.
