Core Viewpoint - Pampa Energia (PAM) has received an upgrade to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [3][5]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [3]. Recent Performance of Pampa Energia - Pampa's rising earnings estimates and the Zacks Rank upgrade suggest an improvement in the company's underlying business, likely resulting in higher stock prices [4]. - For the fiscal year ending December 2025, Pampa is expected to earn $10.14 per share, reflecting an 11.1% decrease from the previous year, but the Zacks Consensus Estimate has increased by 41.2% over the past three months [7]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [6]. - Only the top 5% of Zacks-covered stocks receive a 'Strong Buy' rating, indicating superior earnings estimate revisions and potential for market-beating returns [8][9].

Production and Reserves - As of December 31, 2024, the company has a total production of 78.2 thousand boe/d, with crude oil production at 4.8 k bbl/d and natural gas production at 73.4 thousand boe/d[256][260] - As of December 31, 2024, the company's combined crude oil and natural gas proved reserves amounted to approximately 231.2 million boe, with 93% being natural gas[260] - Combined crude oil and natural gas proved reserves were 231 million boe, with 55% being proved developed reserves[310] - The total proved reserves increased from 199.0 million boe in 2023 to 231.2 million boe in 2024, reflecting successful extensions and discoveries[343] - The company has proved developed and undeveloped reserves totaling 231.2 million barrels of oil equivalent (boe), which includes 17.2 million barrels of liquid hydrocarbons and 1,284.2 billion cubic feet of natural gas[338] - Proved developed reserves of crude oil equivalent represented 55% of total proved reserves, equating to approximately nine years of production at 2024 volumes[339] - There was a 46% increase in proved undeveloped reserves in 2024 compared to 2023, primarily due to successful drilling activities[349] - The independent audit by GaffneyCline covered 98% of the company's estimated proved reserves as of December 31, 2024[337] - The reserves estimation process is supervised by a Reserves Technical Officer, ensuring compliance with SEC guidelines[350] Financial Performance - The oil and gas business segment recorded revenue of U.S.$730 million and an operating profit of U.S.$69 million for the fiscal year ended December 31, 2024[256] - Revenues from oil and gas operations in Argentina for 2024 totaled $730 million, an increase from $666 million in 2023[329] - The average production cost per barrel of oil equivalent in Argentina for 2024 was $17, a decrease from $18 in 2023[327] - The average sales price for oil in Argentina was $73 per barrel in 2024, up from $69 in 2023, while the gas price remained stable at $4 per thousand cubic feet[330] - The average gross margin for 2024 is projected to be 24, compared to 26 for 2023, indicating a slight decrease in profitability[395] - Average gross margin for 2024 is forecasted at $36/MWh, up from $35/MWh in 2023[397] Power Generation - The power generation segment achieved installed capacity of approximately 5,472 MW, representing about 13% of Argentina's total installed capacity, with revenue of U.S.$672 million and an operating profit of U.S.$204 million[257] - Installed capacity increased to 5,472 MW, with a market share of 13%[397] - The total net generation for 2024 is expected to be 3,633 GWh, reflecting a 15% increase compared to 2023[395] - Net generation for 2024 projected at 21,743 GWh, a 4% increase from 2023[397] - Sales for 2024 expected to reach 22,557 GWh, reflecting a 4% growth compared to 2023[397] Investments and Projects - The Vaca Muerta Oil Sur Project involves a 437 km pipeline with an estimated investment of U.S.$3 billion, aimed at enhancing crude oil evacuation and exports[266][269] - The company acquired a 20% stake in the FLNG Project, which is expected to start operations in September 2027, to monetize Vaca Muerta reserves and boost foreign currency inflows[271][272] - The "Proyecto Duplicar" increased the Allen - Puerto Rosales oil pipeline's capacity from 225,000 barrels per day to 540,000 barrels per day, with an investment of U.S.$1.4 billion[444] - VMOS project requires an estimated investment of U.S.$3 billion, aimed at constructing a 437 km pipeline for crude oil evacuation and exports[439] - The company invested U.S.$ 72.2 million in drilling and completion activities in 2024, converting approximately 12.7 million boe of proved undeveloped reserves to proved developed reserves[348] Production Activities - The company has a total of 688 productive wells in Argentina, with 272 being oil wells and 416 gas wells[312] - In 2024, the company drilled a total of 19 gross wells in Argentina, down from 44 in 2023, with 1 oil and 18 gas development wells[314] - Average daily production in 2024 was 4,772 barrels of crude oil and 440 million cubic feet of natural gas, with gas production increasing by 21% compared to 2023[318] - Total oil and gas production for 2024 was 1,742 thousand barrels of oil and 160,829 million cubic feet of gas, compared to 1,762 thousand barrels of oil and 132,652 million cubic feet of gas in 2023[321] - The company lifted hydrocarbons from 688 productive wells in Argentina as of December 31, 2024[317] Segment Performance - The petrochemicals segment generated revenue of U.S.$516 million and an operating profit of U.S.$43 million for the fiscal year ended December 31, 2024[259] - TGS's regulated segment revenues reached $427 million, a 249% increase from 2023[408] - TGS's midstream segment revenues totaled $215 million, a 97% increase compared to 2023[421] - Transener's annual revenues from extra high voltage power transmission amounted to U.S.$292 million, representing 89% of total revenues, a 103% increase compared to 2023[431] - Business development revenues were U.S.$38 million, accounting for 11% of total revenues, reflecting a 115% increase from 2023[432] Regulatory and Compliance - SE Resolutions No. 9/24 and No. 99/24 established increases of 73.9% and 25% in remuneration values for spot generation transactions[291] - The Independent Reserves Engineers Firm audited reserves estimates to conform to SEC guidelines, ensuring "reasonable certainty" about recoverability under current economic conditions[357] - The demand for electricity reached a new all-time high of 29,653 MW on February 1, 2024, exceeding the previous peak by 2%[430] - Transener recorded 0.35 failures per 100 km of line at the end of 2024, maintaining service quality consistent with international standards[430] - Transener's transparent remuneration policy has led to the continual renewal of most contracts, reflecting high customer satisfaction[435]

Core Insights - Marvell Technology, Inc. has developed the industry's first 400G/lane technology, enabling a new generation of PAM4 network connectivity, which was previously deemed impossible [1][5] - The technology will be showcased at OFC 2025, demonstrating its capabilities in real silicon [1] - Marvell is collaborating with leading optical and switch companies to create an ecosystem for products based on this technology, targeting AI and general-purpose cloud architectures [2][5] Technology Impact - The 400G/lane technology will significantly enhance bandwidth capacity in cloud data centers, improving efficiency and reducing the time needed for AI training and complex tasks [3] - This technology represents a 4x increase over the current mainstream 100G/lane infrastructure and a 2x increase over the 200G/lane infrastructure being deployed this year [3] Industry Collaboration - Key industry players, including Coherent and Lumentum, are collaborating with Marvell to ensure the necessary technology for AI and cloud infrastructure [4][5] - The partnership aims to lay a foundation for the AI economy and expand opportunities for optical technologies in infrastructure [4] Historical Context - Marvell has a strong history of innovation in PAM4 connectivity, being the first to demonstrate 100G/lane and 200G/lane technologies, now advancing to 400G/lane [5]

Energy Production and Capacity - The initial production at Rincón de Aranda reached 1.4 kbbl/day, with an average of 1.1 kbbl/day in 2024, exceeding neighboring blocks' average yield [7]. - Pampa aims to increase its oil production tenfold to 45 kbbl/day by 2027, supported by an active drilling campaign and the incorporation of a fracking fleet [7]. - The Vaca Muerta Sur project, with an estimated investment of US$3 billion, will construct a 437-km oil pipeline with an initial capacity of 550 kbbl/day, expandable to 700 kbbl/day [8]. - Pampa's gas production reached a record high of 16.7 million m³ per day in July 2024, showcasing the productivity of its shale gas wells [12]. - Total gross natural gas production in 2024 reached 139 million m³ per day, a 5% increase compared to 2023, with net production growing by 7% to 129 million m³ per day [59]. - Total oil production in 2024 was 700.7 kbbl per day, marking a 10% increase from 2023, driven primarily by a 20% increase in the Neuquina Basin [66]. - Exports of oil increased by 41% in 2024, reaching 185.5 kbbl per day, which accounted for 26% of total production [68]. - The Neuquina Basin's production improvements were attributed to enhanced evacuation capacity from Vaca Muerta, contributing to the overall increase in oil production [66]. Financial Performance and Debt Management - Pampa closed 2024 with a net debt of US$410 million, the lowest level since 2016, reflecting improved debt management and cash generation [14]. - The balance of payments recorded an estimated US$18.9 billion surplus, with a US$5.7 billion energy surplus, the highest in 18 years, driven by increased oil exports [21]. - The Argentine government achieved a primary surplus of 2.4% of GDP in 2024, the first time in 14 years, contributing to improved economic stability [18]. Regulatory and Policy Developments - The Argentine Hydrocarbons Law was updated on July 8, 2024, promoting exploration and commercialization of both conventional and unconventional hydrocarbon resources [71]. - The Bases Law allows for the underground storage of gas in depleted reservoirs, with indefinite-term authorizations granted to qualified entities [85]. - The Bases Law enacted on July 8, 2024, aims to unify regulatory bodies and adjust the electricity regulatory framework to promote competition and investment [193]. Energy Consumption and Market Dynamics - In 2024, electricity consumption in Argentina contracted by 0.5%, totaling 140,227 GWh, with a decrease of 1.2% in the commercial segment and 1.3% in industrial demand [131]. - Power generation increased by 1% in 2024, reaching 141,592 GWh, driven by renewable sources (+2,791 GWh) and thermal sources (+2,370 GWh), despite a 15% reduction in hydropower generation [135]. - Fuel consumption for power plants increased by 1% year-on-year in 2024, totaling 45.4 million m³/day of gas equivalent, with natural gas accounting for 92% of total consumption [146]. - Total demand for natural gas grew by 2% year-on-year, primarily due to increased consumption by power plants and residential demand [60]. Renewable Energy Initiatives - The completion of the PEPE 6 wind farm in December 2024 increased Pampa's clean energy capacity to 427 MW, positioning it as a leading renewable energy generator in Argentina [14]. - Pampa has sold 15 GWh of third-party renewable energy in 2024, contributing to the MAT ER segment's margin [187]. - A total of 29 projects were awarded for 3,340 MW in a recent tender, including a 300-MW GT installation in CTGEBA [188]. Tariffs and Pricing - In 2024, TGS's natural gas transportation tariffs were updated cumulatively by 791.3%, with a significant 675% increase effective from April 2024 [117]. - The maximum spot energy prices in the Wholesale Electricity Market (WEM) reached AR$ 11,528 in December 2024 and are projected to rise to AR$ 12,656 by March 2025 [150]. - The price for generated energy from natural gas is set to rise from AR$ 1,473/MWh until January 2024 to AR$ 4,347/MWh by March 2025 [155]. - The remuneration for energy generated from unconventional sources increased from AR$ 10,304/MWh in January 2024 to AR$ 30,400/MWh by March 2025 [164]. Export and Import Dynamics - Significant reductions in natural gas imports were noted, with a 48% decrease from Bolivia and a 34% decrease in LNG imports [60]. - The company is authorized to export natural gas on a firm basis during oversupply periods, with specific limitations on volumes per producer [103]. - The export duties for liquid hydrocarbons remain at 8% in 2024, with exemptions when the Brent price is equal to or lower than US$45/bbl [107]. Operational Efficiency and Compliance - Pampa's thermal units recorded a commercial availability of 95.4%, demonstrating the reliability of its asset portfolio [13]. - The company has implemented an Integrity Program to ensure compliance with legal standards and prevent irregularities, which is periodically reviewed by the Board [40]. - TGS's license to operate the natural gas transportation system is set to expire in December 2027, with a renewal process initiated for a potential extension until December 2047 [120].

Financial Data and Key Metrics Changes - In 2024, the company achieved a 21% growth in average output and an 80% increase since 2017, reaching an all-time high in gas production [5] - EBITDA grew 19% year-on-year and 29% compared to 2017, with net debt falling to $410 million, the lowest since 2016 [8][28] - Adjusted EBITDA for Q4 amounted to $182 million, up 60% from last year, driven by increased gas deliveries and improved PPA performance [10][11] Business Line Data and Key Metrics Changes - Gas production rose 11% year-on-year, with shale gas's share increasing from 32% in 2023 to nearly 50% in 2024 [9] - Power segment recorded a 94% availability rate, with adjusted EBITDA of $86 million in Q4, up 7% year-on-year [22] - E&P adjusted EBITDA was $36 million in Q4, down 26% year-on-year due to lower sales to industries in Chile and higher operating costs [14] Market Data and Key Metrics Changes - The average gas price for Q4 was $2.9 per MBTU, down 10% due to lower exports to Chile and sales to industries [17] - Gas exports to Chile are expected to ramp up to 1 million cubic meters per day by May 2025, with current exports around 1.4 million cubic meters per day [88] Company Strategy and Development Direction - The company plans to diversify into shale oil with the development of Rincon de Aranda, targeting 20,000 barrels per day by December 2025 [19] - The focus remains on operational excellence and maintaining a strong balance sheet while preparing for future growth projects [8][29] - The company is not currently analyzing new investments in power generation but is studying a potential battery package investment in Buenos Aires [62] Management Comments on Operating Environment and Future Outlook - Management expressed optimism regarding regulatory changes, which are expected to enhance the company's ability to self-procure fuel and improve competitiveness [73] - The company anticipates a marginal increase in net debt due to significant CapEx in Rincon de Aranda, with expectations of returning to positive free cash flow by 2026 [39][40] Other Important Information - Total proven reserves rose 16% to 231 million barrels of oil equivalent, with shale reserves growing 60% year-on-year [20][21] - The total CapEx for 2025 is projected to be around $1.1 billion, with $750 million allocated for Rincon de Aranda [105] Q&A Session Summary Question: How do you expect regulatory changes to impact Pampa? - Management indicated it is too early to tell, but they do not expect significant impacts in the near term, with potential benefits for self-procurement of fuel [33][35] Question: How do you expect leverage to evolve with growth plans? - Management expects a marginal increase in net indebtedness due to significant CapEx in Rincon de Aranda, projecting a net debt increase to about 1.2 times by 2026 [39][40] Question: What is the plan if Brent prices go to $60-$65 per barrel? - The company has hedged approximately 65% of its production for 2025, feeling comfortable with the prices achieved through hedging [42][43] Question: What is the expected contribution of Rincon de Aranda to total EBITDA in 2025? - The estimated contribution is around $180 million for 2025 [112] Question: What is the timeline for the urea plant FID? - The company expects to make a decision by year-end, with a production plan of 2 million tons per year [119][120]

The material that follows is a presentation of general background information about Pampa Energía S.A.("Pampa" or the "Company") as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. This presentation is strictly confidential and may not be disclosed to any other person. No representation or warranty, express or implied, is made concerning, and no reliance should be placed on, the accu ...

Group 1 - Seeking Alpha welcomes Ivan Leyba as a new contributing analyst, encouraging others to share investment ideas for publication and potential earnings [1] - The new analyst has over 10 years of experience in accounting, auditing, and tax, with a focus on global macro strategy and value investing in sectors like energy, real estate, and utilities [2] - The analyst emphasizes the importance of studying companies with competitive advantages, good management, and strong future prospects, particularly those with solid cash flow and healthy margins [2] Group 2 - The article does not provide any specific company or industry analysis, focusing instead on the background and expertise of the new analyst [3][4]

Core Insights - Marvell Technology, Inc. has introduced the Ara platform, the first 3nm 1.6 Tbps PAM4 interconnects platform, which reduces optical module power by over 20% to support the increasing bandwidth demands of AI workloads [1][2][3] - The Ara platform integrates eight 200 Gbps electrical lanes and eight 200 Gbps optical lanes, enabling a compact design that simplifies module design complexity and reduces costs [2][4] - The anticipated unit shipments of PAM4 DSPs are expected to triple from 2024 to 2029, reaching nearly 127 million units annually, indicating a strong market demand for this technology [3] Company Overview - Marvell has a long-standing leadership in PAM4 optical DSP technology, with Ara being the latest advancement in a series of innovations [2][3] - The company emphasizes partnerships with leading technology firms to deliver data infrastructure solutions that meet current and future needs [6] Product Features - Ara supports 200 Gbps per channel, enhancing bandwidth for AI-driven applications and ensuring backward compatibility with previous generations [4] - The platform includes a high-swing laser driver and PAM4 modulation, which are critical for efficient high-speed data transmission in AI and cloud applications [4] - Enhanced crossbar switching capabilities and support for both InfiniBand and Ethernet provide flexibility across diverse network topologies [4] Availability - The Ara platform is set to sample to select customers in Q1 2025, indicating a forthcoming market introduction [5]

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q3 2024 reached $279 million, a 14% increase year-on-year, driven by higher gas deliveries and strong performance in the Power Generation segment [7][19] - Net debt decreased to $539 million, down 20% year-on-year, marking the lowest ratio in the last eight years at 0.8x to the last 12 months EBITDA [19] - Free cash flow for Q3 was $80 million, supported by improved working capital [17] Business Line Data and Key Metrics Changes - Power Generation segment posted an EBITDA of $112 million, a 23% increase year-on-year, attributed to higher legacy prices and operational outperformance [9] - E&P business recorded an EBITDA of $122 million, an 8% decrease year-on-year, primarily due to higher operating costs and reduced exports [11] - CapEx in Q3 was 59% lower year-on-year, mainly due to the shale gas ramp-up and PEPE 4 construction [8] Market Data and Key Metrics Changes - Gas production increased by 8% year-on-year, with significant contributions from Shell [6] - Average gas price for the quarter was $4.4 per MBTU, a 6% decrease due to lower exports to Chile [14] - Total production averaged nearly 88,000 BOE per day, an 8% increase compared to last year [12] Company Strategy and Development Direction - The company is focusing on the Rincon de Aranda project, targeting a production plateau of 45,000 barrels per day by 2027 [15] - Pampa Energia is interested in LNG projects to monetize competitive dry gas reserves, prioritizing Vaca Muerta Sur before pursuing LNG [28][29] - The company plans to invest over $700 million in 2025, with a total of $1.5 billion in CapEx between 2025 and 2027 [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the gas evacuation capacity improvements and ongoing discussions for the Vaca Muerta Sur project [25][27] - The company expects to maintain a solid cash position and does not foresee immediate needs for market financing [51] - Management highlighted the importance of regulatory changes in the energy market and expressed readiness to adapt to a free market environment [53][54] Other Important Information - The company issued a $410 million international bond maturing in 2031 to improve its debt profile [17] - The civil works for PEPE 6 expansion are completed, with full commercial operation expected soon [10] Q&A Session All Questions and Answers Question: Can you talk about the initial performance of Rincón de Aranda, and how should we think about the path of drilling in the coming quarters through the end of 2025? - The company plans to drill around 28 wells from November 2024 to December 2025, expecting production to reach 12,000 barrels by mid-2025 and 18,000 barrels by September 2025 [21][22] Question: Regarding the evacuation capacity, can you remind us Pampa's and Argentina's capacity today and how that should evolve into 2025? - The evacuation capacity of the Nestor Kirchner plant will increase to 21 million cubic meters per day by next winter, with ongoing discussions about additional infrastructure [25] Question: How have discussions about LNG projects evolved? Is Pampa still interested in being directly involved? - The company is very interested in LNG projects to monetize its gas reserves, prioritizing Vaca Muerta Sur before pursuing LNG [28][29] Question: What is the current status of Pampa and its subsidiaries receivables with CAMMESA? - Receivables from CAMMESA have been paid on time, with payments occurring within three to four days of billing [44] Question: Do you see any chance of renewing Mendoza's hydros concessions? - The government has not yet decided on the concessions, but the company is interested in hydro concessions if they are auctioned again [45][46] Question: What are the negotiations or extension plans for the concession of OCP Ecuador? - The government has decided that the asset should be returned to the state at the end of the concession on November 30, with plans for a new bidding process [47] Question: How do you see the upsides from gas from the local market and exports to Brazil in terms of production and pricing? - The company is developing contacts with Brazilian traders, but the competitiveness of Argentinian gas will depend on final transportation tariffs [48][49] Question: Could you give us guidance related to gas production for 2025 and onwards? - The company forecasts average production to increase slightly in 2025, reaching peaks of around 14.5 million cubic meters per day [50]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to capitalize on established price movements for profitable trades [1] Company Overview: Pampa Energia (PAM) - Pampa Energia currently holds a Momentum Style Score of B and a Zacks Rank of 1 (Strong Buy) [2] - Stocks rated Zacks Rank 1 and 2 with Style Scores of A or B have historically outperformed the market over the following month [2] Price Performance - PAM shares have increased by 3.03% over the past week, while the Zacks Utility - Electric Power industry has decreased by 1.47% [3] - Over the past month, PAM's price change is 8.72%, significantly outperforming the industry's 0.6% [3] - In the last quarter, PAM shares rose by 48.66%, and over the past year, they gained 61.63%, compared to the S&P 500's increases of 4.9% and 35.3%, respectively [4] Trading Volume - PAM's average 20-day trading volume is 213,596 shares, indicating a bullish sign when combined with rising stock prices [4] Earnings Outlook - In the past two months, one earnings estimate for PAM has increased, raising the consensus estimate from $8.95 to $9.55 [5] - For the next fiscal year, one estimate has also moved upwards with no downward revisions [5] Conclusion - Given the strong performance metrics and positive earnings outlook, PAM is positioned as a promising momentum pick for investors [5]