TGS (Transportadora de Gas del Sur) Intrinsic Value: DCF (Earnings Based): $66.91 (As of Aug. 14, 2026) — 41719% Above Median

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Founder & CEO of GuruFocus
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TGS Transportadora de Gas del Sur SA TGS
96 GF Score
Price $28.10
GF Value $21.97
Valuation Modestly Overvalued
! 3 Warning Signs
View Full Analysis

What is Transportadora de Gas del Sur Intrinsic Value: DCF (Earnings Based)?

Transportadora de Gas del Sur TGS +0.74% 96 Intrinsic Value: DCF (Earnings Based) is $66.91 as of Aug. 14, 2026, which is 41719% above its 10-year median of 0.16. GuruFocus rates TGS with a GF Score™ of 96/100 and a GF Value™ of $21.97 (Modestly Overvalued). The stock has 3 warning signs investors should review. Among 77 Oil & Gas companies, Transportadora de Gas del Sur ranks better than 66.23% on this metric.

As of today (2026-08-14), Transportadora de Gas del Sur's intrinsic value calculated from the Discounted Earnings model is $66.91.

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's predictability rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

Transportadora de Gas del Sur's Predictability Rank is 3.5-Stars.

Margin of Safety (Earnings Based) using Discounted Earnings model for Transportadora de Gas del Sur is 58.01%.

The historical rank and industry rank for Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) or its related term are showing as below:

TGS' s Price-to-DCF (Earnings Based) Range Over the Past 10 Years
Min: 0.02   Med: 0.16   Max: 0.79
Current: 0.45

During the past 13 years, the highest Price-to-Intrinsic-Value-DCF (Earnings Based) Ratio of Transportadora de Gas del Sur was 0.79. The lowest was 0.02. And the median was 0.16.

TGS's Price-to-DCF (Earnings Based) is ranked better than
66.23% of 77 companies
in the Oil & Gas industry
Industry Median: 0.78 vs TGS: 0.45

Transportadora de Gas del Sur  (NYSE:TGS) Intrinsic Value: DCF (Earnings Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book Value per Share, Graham Number, Median Ratio etc, discounted Cash Flow model evaluates the companies based on their future earnings power instead of their assets.


Be Aware

What you need to know about Discounted Earnings model:

1. The Discounted Earnings model evaluates a company based on its future earnings power
2. Growth is taken into account; therefore a faster growth company is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies that are relatively consistent performers.
4. The Discounted Earnings model works poorly for inconsistent performers like cyclicals.
5. Your expected return from the investment is a reasonable discount rate assumption.
6. A larger margin of safety should be required for companies with less predictable businesses.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


Transportadora de Gas del Sur Intrinsic Value: DCF (Earnings Based) Related Terms


Transportadora de Gas del Sur Intrinsic Value: DCF (Earnings Based) Historical Data

* Premium members only.

The historical data trend for Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Transportadora de Gas del Sur Intrinsic Value: DCF (Earnings Based) Chart

Transportadora de Gas del Sur Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Intrinsic Value: DCF (Earnings Based)
Get a 7-Day Free Trial Premium Member Only Premium Member Only 194.24 135.06 19.15 63.35 57.36

Transportadora de Gas del Sur Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Intrinsic Value: DCF (Earnings Based) Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 61.85 51.37 57.36 57.90 0.00

TGS vs XOM, CVX: Intrinsic Value: DCF (Earnings Based) Comparison

For the Oil & Gas Integrated subindustry, Transportadora de Gas del Sur's Price-to-DCF (Earnings Based), along with its competitors' market caps and Price-to-DCF (Earnings Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Transportadora de Gas del Sur Price-to-DCF (Earnings Based) vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Transportadora de Gas del Sur's Price-to-DCF (Earnings Based) distribution charts can be found below:

* The bar in red indicates where Transportadora de Gas del Sur's Price-to-DCF (Earnings Based) falls into.


TGS
96GF Score
Transportadora de Gas del Sur SA TGS
Intrinsic Value: DCF (Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Transportadora de Gas del Sur Intrinsic Value: DCF (Earnings Based) Calculation

This is the intrinsic value calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow. This is the default method of calculation with GuruFocus DCF calculator.

Usually a two-stage model is used in calculating the intrinsic value with discounted cash flow model. The first stage is called growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DCF calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 11%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 4.70%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Growth Rate in the growth stage: g1 = 20%
The Growth Rate in the growth stage is initially set as the default 10-Year EPS without NRI Growth Rate. In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year EPS without NRI Growth Rate. If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year EPS without NRI Growth Rate.
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
=> Transportadora de Gas del Sur's average EPS without NRI Growth Rate in the past 10 years was 87.50%, which is no less than 20%. GuruFocus defaults => Growth Rate: 20%

3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Years of Terminal Growth: y2 = 10

6. EPS without NRI: eps without nri = $2.141.
GuruFocus DCF calculator is actually a Discounted Earnings calculator, EPS without NRI is used as the default. The reason we are doing this is we found that historically stock prices are more correlated with earnings than free cash flow.

All of the default settings can be changed and the results are calculated automatically.

Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) for today is calculated as:

Intrinsic Value: DCF (Earnings Based)=EPS without NRI*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+0.2)/(1+0.11) = 1.0810810810811
and y = (1+g2)/(1+d) = (1+0.04)/(1+0.11) = 0.93693693693694

Intrinsic Value: DCF (Earnings Based)=EPS without NRI*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=EPS without NRI*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=2.141*31.2501
=66.91

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(66.91-28.095)/66.91
=58.01 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Intrinsic Value: DCF (Earnings Based) of $66.91 mean?
Transportadora de Gas del Sur (TGS) has a Intrinsic Value: DCF (Earnings Based) of $66.91 as of Aug. 14, 2026. Intrinsic Value: DCF (Earnings Based) is the stock value based on a two-stage discounted earnings model. View historical data on Transportadora de Gas del Sur and its competitors. This is 41719% above median its historical median of 0.16. Over the past decade, Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) has ranged from 0.02 to 0.79. According to the industry distribution chart, Transportadora de Gas del Sur ranks #26 out of 77 companies in the Oil & Gas industry, placing it in the top 33.8%.
Is Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) too high?
Transportadora de Gas del Sur's current Intrinsic Value: DCF (Earnings Based) of $66.91 is 41719% above median its 10-year median of 0.16. Over the past 10 years, this metric has ranged from a low of 0.02 to a high of 0.79. The Oil & Gas industry median Intrinsic Value: DCF (Earnings Based) is 0.78. Transportadora de Gas del Sur's value of $66.91 is 8478.2% above this industry median. Based on the distribution chart, Transportadora de Gas del Sur ranks #26 out of 77 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Transportadora de Gas del Sur has a GF Score™ of 96/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Transportadora de Gas del Sur's Intrinsic Value: DCF (Earnings Based) compare to XOM and CVX?
According to the Oil & Gas industry distribution chart, Transportadora de Gas del Sur ranks #26 out of 77 companies for Intrinsic Value: DCF (Earnings Based). This puts Transportadora de Gas del Sur in the upper half of its industry. The industry median Intrinsic Value: DCF (Earnings Based) is 0.78. Transportadora de Gas del Sur's value of $66.91 is 8478.2% above this benchmark. Historically, Transportadora de Gas del Sur's own Intrinsic Value: DCF (Earnings Based) has ranged from 0.02 to 0.79 over the past decade. While the company's 10-year median is 0.16 vs. the industry median of 0.78, Transportadora de Gas del Sur has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Intrinsic Value: DCF (Earnings Based) for an Oil & Gas company?
The median Intrinsic Value: DCF (Earnings Based) among Oil & Gas companies is 0.78, based on 77 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: DCF (Earnings Based) significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: DCF (Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Transportadora de Gas del Sur's current Intrinsic Value: DCF (Earnings Based) of $66.91 is 8478.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Intrinsic Value: DCF (Earnings Based) mean?
A high Intrinsic Value: DCF (Earnings Based) can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: DCF (Earnings Based) is the stock value based on a two-stage discounted earnings model. View historical data on Transportadora de Gas del Sur and its competitors. For the Oil & Gas industry, the median Intrinsic Value: DCF (Earnings Based) is 0.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Transportadora de Gas del Sur's current Intrinsic Value: DCF (Earnings Based) is $66.91, which is 41719% above median its own 10-year median of 0.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Transportadora de Gas del Sur stock overvalued right now?
Based on GuruFocus' analysis, Transportadora de Gas del Sur (TGS) is currently considered Modestly Overvalued. The stock's GF Value™ is $21.97, compared to a current price of $28.10 — trading 27.9% above its estimated fair value. The current Intrinsic Value: DCF (Earnings Based) is $66.91, which is 41719% above median its 10-year median of 0.16 and 8478.2% above the Oil & Gas industry median of 0.78. Transportadora de Gas del Sur's overall GF Score™ is 96/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: DCF (Earnings Based) calculated?
Intrinsic Value: DCF (Earnings Based) is calculated from a company's financial statements. For Transportadora de Gas del Sur (TGS), the current Intrinsic Value: DCF (Earnings Based) is $66.91 as of Aug. 14, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Transportadora de Gas del Sur (TGS) Overvalued in 2026?

Based on GuruFocus' analysis, Transportadora de Gas del Sur stock appears to be overvalued. The current stock price of $28.10 is trading 27.9% above its estimated GF Value™ of $21.97. GuruFocus considers Transportadora de Gas del Sur to be Modestly Overvalued.

Key valuation signals for TGS:

  • Intrinsic Value: DCF (Earnings Based): $66.91 (41719% above median its 10-year median of 0.16)
  • GF Value™: $21.97 vs. price of $28.10 (27.9% above fair value)
  • GF Score™: 96/100 with 3 warning signs
  • Industry Position: 8478.2% above the Oil & Gas median (#26 of 77)

No single metric tells the full story. See the TGS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Transportadora de Gas del Sur Business Description

Industry EnergyOil & Gas
Address Cecilia Grierson 355, 26th Floor, Buenos Aires, ARG, C1107CBG
Transportadora de Gas del Sur SA is a natural gas transporter in Latin America. The company's operating segments include Natural Gas Transportation, Midstream, Telecommunications, and Liquids Production and Commercialization. It generates maximum revenue from the Natural Gas Transportation segment. Geographically, it derives the majority of its revenue from Argentina.
96GF Score

Get the complete analysis for TGS

Intrinsic Value: DCF (Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$28.10
Price
$21.97
GF Value