GAZPROM (GAZ) Time to buy?

First of all, a dutiful thought to the victims in Ukraine, solidarity with their families and we hope that the situation will be resolved as soon as possible.

The situation in Russia is very tense, the economy risks a serious collapse due to the repercussions that sanctions could have on many sectors.

However, there are also some opportunities that I consider very interesting, one of which is Gazprom, which distributes the majority of gas to the major European countries, first of all Germany and Italy.
It has already been made clear that the sanctions, intended as the exclusion of Russia from the swift, will not affect the supply of gas, which is simply indispensable for a Europe which depends, in fact, on Russia.

Since the end of 2004 Gazprom has been the only supplier to Bosnia and Herzegovina, Estonia, Finland, Macedonia, Latvia, Lithuania, Moldova and Slovakia, as well as supplying 97% of the gas from Bulgaria, 89% from Hungary, 86% of the Poland, almost three quarters of that of the Czech Republic, 67% of Turkey, 65% of Austria, about 40% of Romania, 36% of Germany, 27% of Italy and 25% of France .

The collapse of the gas giant’s share is therefore clearly a panic selling created by the war, as well as for Yandex (the Russian google), Aeroflot (the first Russian airline), and Sberbank.

But, for the banking system I have several doubts, even if I think it is wise to enter if it were to approach 1.5 € per share, (SBNC on the Frankfurt stock exchange), as regards Gazprom I believe that the increase in value in the long period.

As often happens to me, I divided my entry into 2 tranches, and I will only buy at a heavy discount, but the possibilities of making a 400% are all there, it remains to be seen in how long.

Obviously, as I always say in the disclaimer, mine is not financial advice, I speak only in a personal capacity and no one should invest money that they are not willing to lose. Because what I’m talking about here is a very risky situation,

Even more interesting is the situation of Yandex, which I will reserve for another article.

The coming week could be decisive, the meeting between Russia and Ukraine in Belarus could lead to an agreement, as we all hope, or not, in the second case I will wait a little longer for any developments in the conflict.

One thing to consider is also the exchange factor: the ruble is at historic lows and an appreciation of these shares is highly likely that it will also be accompanied by a recovery of the ruble, which could make the investment even more profitable.

Happy trading

Lazy Bull

saveandinvest.eu

 

DISCLAIMER: I am not a financial advisor nor a CPA . These posts, videos, and any other contents are for educational and entertainment purposes only. Investing of any kind involves risk. While it is possible to minimize risk, your investments are solely your responsibility. It is imperative that you conduct your own research. I am merely sharing my opinion with no guarantee of gains or losses on investments.

 

Lazy Bull
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