Initiating Coverage on YPF: Outperform Opportunity Amid Macro and Shale Expansion

YPF’s strategic focus on expanding unconventional production and investing in infrastructure, particularly export capacity, is expected to enhance its credit profile.

Executive Summary

• We are initiating coverage on YPF with an Outperform recommendation. In our view, improving macroeconomic conditions in Argentina will likely support YPF’s operations. This, combined with the company’s strategic focus on expanding unconventional, lower-cost production and investing in infrastructure, particularly export capacity, is exp…