Close menu

May 25th, 2021 | 11:11 CEST

Attention Crypto Investors! Coinbase, SAP, Glencore, Barsele Minerals - Where are the opportunities?

  • Gold
Photo credits:

Those who want to make returns today often attach themselves to well-known names such as Elon Musk, Warren Buffett or even Cathie Wood. The latter is a former portfolio manager at Alliance Bernstein. She has become known in recent years for being a trump card of technology investors. Her ARK funds raised a whopping USD 34.5 billion in 2020. One of its flagship funds is the ARK Innovation ETF, which has its largest positions invested in NASDAQ darlings. For the past month, this fund has had a problem, as 14% declines have rarely been seen on a monthly basis. Tesla, Coinbase, and Zoom are the largest positions and they are dropping big time right now.

time to read: 4 minutes | Author: André Will-Laudien
ISIN: US19260Q1076 , DE0007164600 , JE00B4T3BW64 , CA0688921083

Table of contents:

    Coinbase - A bet on the crypto market

    The listing of Coinbase stock in 2021 needed not beg for attention, as it was sure to get the attention of the entire crypto world. By the time of its stock market debut, a pronounced bitcoin rally led to prices close to USD 65,000. Now disillusionment has set in. In just 3 weeks, the value of a bitcoin has halved and some alternative cryptocurrencies lost up to 90%.

    However, falling prices do not bother the fund manager because Ark Investment Management, headed by Cathie Wood, grabbed over 250,000 shares worth around USD 59.5 million in Coinbase Global Inc. last Thursday. A number of analysts had sounded the buy on Wall Street because, after all, the paper had already lost USD 100 or almost 35% since the initial listing.

    However, the analysis houses are somewhat divided as far as the target value of Coinbase stock is concerned. Broker Loop Capital published a price target of USD 400 to USD 450 per share, but Wedbush analyst Moshe Katri is more cautious with a cautious Outperform rating and price target of USD 275. Coinbase started trading yesterday at USD 227, with a current market cap of USD 47.5 billion. With a hefty valuation for an after-tax profit of USD 108 million in 2020, the stock should remain under pressure.

    SAP - Helper in times of need

    The family has to stick together in hard times, which is the case with SAP and the Hopp family. The case involves Crossgate AG, a multinational company that had developed a network approach to B2B transactions that allowed data to be transferred independently of EDI systems. The Company was unsuccessful and nearly slid into insolvency in 2011.

    However, the son of billionaire SAP founder Dietmar Hopp was able to sell his holdings in the Company to SAP thanks to his father's intervention. The price at which SAP took over Crossgate exceeded the valuation that Ernst & Young once attested to the Company. The transaction has now been uncovered by research conducted by "Der Spiegel" and the ARD magazine "Fakt."

    Dietmar Hopp still holds around 5% of SAP shares today; he stepped down from the supervisory board in 2015 and no longer holds any position in the Company. His son, Daniel Hopp, has never been employed at SAP. With his Company DAH Beteiligungs GmbH, he is active as an investor. In 2006 he bought 28% of Crossgate, and from 2007 SAP cooperated with Crossgate and later acquired 6.4% of the shares. Former Chief of SAP, Jim Hagemann Snabe, sat on Crossgate's supervisory board for a while.

    When Crossgate later ran into liquidity problems, SAP provided a bridging loan and eventually bought the entire Company, which was already making considerable losses at the time, for EUR 93 million. SAP justified the purchase with strategic considerations and stated that Crossgate had been thoroughly examined before the takeover. After one year, however, the investment was completely written off. The SAP share hardly feels the current headlines, what is a write-off of EUR 100 million with a market capitalization of EUR 135 billion. Peanuts!

    Glencore - The combination of blockchain and mining

    The mining industry is also taking advantage of blockchain technology. In a joint project, Glencore will pilot a blockchain solution for cobalt traceability with Umicore. Joining forces with battery materials supplier Umicore makes perfect sense as the entire e-mobility industry faces growing criticism of its methods in procurement markets. In order to demonstrate ESG compliance and environmental justice, it is necessary to make the value chain more transparent and sustainable.

    The new product is called "ReISource," a solution that uses blockchain and zero-knowledge proofs technology to track responsibly produced cobalt from mine to battery. The trade flows between raw material and finished product are digitally linked and stored in the blockchain; thus, the point of origin and supply chain is immutably linked to the final product.

    Glencore is piloting the solution under real-world operating conditions, from upstream cobalt production facilities in the Democratic Republic of Congo (DRC) to downstream electric vehicle production facilities. By the end of the year, the pilot phase will be completed, a striking step in the right direction, we believe. Glencore shares have broken out to the upside at EUR 3.50. The chart target is now EUR 4.70.

    Barsele Minerals - Searching for gold in Sweden

    A still small resource company is Barsele Minerals, a Canadian-based junior explorer managed by Belcarra Group. The Barsele project is located at the western end of the Proterozoic Skellefte Trend, a prolific belt of volcanogenic massive sulfide deposits that overlaps with the gold line in northern Sweden. A group of highly skilled mining experts is currently working at Vasterbottens Lan (Sweden), to date a joint venture with Agnico Eagle. The same team has already been recognized for discovering Orko Silver Corp.'s La Preciosa silver-gold deposit in Durango, Mexico.

    Barsele Minerals has now signed a letter of intent with Agnico Eagle to acquire the indirect 55% interest in the Barsele project. The Company itself currently holds a 45% interest in the joint project and would have complete control of the Barsele property upon completion of the proposed transaction. Completing the transaction will increase Agnico's interest in Barsele Minerals and give the new management a free hand to develop the deposit. Agnico Eagle will receive USD 45 million and a 14.9% interest in Barsele and options on 6 million additional shares at a price of CAD 1.25.

    The acquisition of this project represents a milestone for Barsele, as drilling can now be significantly expanded. With 30,000 meters in 1.5 years, the goal is to report a significant increase in the resource estimate of at least 3.5 million ounces of gold.

    The Barsele share is listed in Stuttgart and Frankfurt, the original price in Canada is currently CAD 0.53, trading volumes in Germany are manageable. The well-positioned explorer currently has a market capitalization of CAD 68.4 million - here, the cooperation with the major Agnico Eagle leads to a higher valuation. In the mid term, the project is very interesting.

    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.

    Der Autor

    André Will-Laudien

    Born in Munich, he first studied economics and graduated in business administration at the Ludwig-Maximilians-University in 1995. As he was involved with the stock market at a very early stage, he now has more than 30 years of experience in the capital markets.

    About the author

    Related comments:

    Commented by Nico Popp on September 26th, 2023 | 07:20 CEST

    Dry spell despite the Housing Summit? New safe havens ahead! Aroundtown, Vonovia, Globex Mining

    • Mining
    • Gold
    • RealEstate

    Shares in real estate companies are once again on the rise. The reason: the interest rate break is here, and with it, the hope of falling capital costs. At the same time, industry representatives and the German government are struggling to find solutions at the Housing Summit. We shed light on the current situation in the real estate market, explain why politicians' promises are of little use and highlight alternatives in an industry that is currently in vogue for several reasons.


    Commented by André Will-Laudien on September 25th, 2023 | 08:35 CEST

    Make a return instead of sitting on the sidelines! Nel ASA, Desert Gold or Nikola Motors - Who belongs on the buy list?

    • Mining
    • Gold
    • Hydrogen
    • Inflation

    Despite the bull market, the hydrogen sector is feeling the global investment slump, not to mention precious metals. Once again, the US Federal Reserve has issued warnings on the inflation front, but this time, after 11 consecutive hikes, it has not turned the interest rate screw. The refinancing rate remains at 5.5%, but the accompanying wording has greatly unsettled the markets. Capital market rates shot up, reaching a whopping 4.55% for 30-year US Treasury bonds - the highest level in 10 years. We take a look at values that have fallen sharply. Where can adequate yields be expected?


    Commented by Stefan Feulner on September 20th, 2023 | 07:40 CEST

    TUI, Desert Gold, Rheinmetall - Is the next upward wave coming?

    • Mining
    • Gold
    • travel
    • armaments

    Today is the day! Once again, the Federal Reserve Bank will tip the scales. Is there another interest rate hike, or, as the consensus expects, will the US central bank pause until further notice? In addition to the actual interest rate step, the markets also react to the statements of the FED members, in which direction they tend in the coming months. Many anticipate an end to the strict monetary policy and see the high interest rate level wavering due to the increased risks of a recession.