PetroChina Is Worth Less Than its Reserves

The video discusses PetroChina's decline from being the world's most valuable company due to poor capital allocation, resulting in decreased returns. The company's current valuation is considered too low, trading at two times cash flow, reflecting high investment levels. Despite low confidence in long-term demand, PetroChina's intrinsic value remains significant. The potential catalyst for stock improvement is the Chinese government's pipeline reform. Management needs to improve capital allocation to enhance returns and shareholder value.

What has been the trend in PetroChina's return on capital over the last decade?

How does the current valuation of PetroChina compare to its historical valuation?

What are the concerns investors have regarding PetroChina's capital spending?

What intrinsic value does the company hold based on its reserves?

What is seen as a potential catalyst for PetroChina's stock in the near term?