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Ryan Jackson, CEO, Newlox Gold Ventures Corp.

Ryan Jackson
CEO | Newlox Gold Ventures Corp.
60 Laurie Crescent, V7S 1B7 West Vancouver (CAN)

info@newloxgold.com

+1 778 738 0546

Newlox CEO Ryan Jackson on building a green gold producer with a rapid growth trajectory


Nick Mather, CEO, SolGold PLC

Nick Mather
CEO | SolGold PLC
1 King Street, EC2V 8AU London (GB)

emichael@solgold.com.au

+44 20 3823 2125

SolGold CEO Nick Mather on building a major gold and copper mining company


Jared Scharf, CEO, Desert Gold Ventures Inc.

Jared Scharf
CEO | Desert Gold Ventures Inc.
4770 72nd St,, V4K 3N3 Delta (CAN)

jared.scharf@desertgold.ca

Desert Gold Ventures CEO Jared Scharf on West Africa and its potential


30. September 2020 | 11:45 CET

BAT, Barrick Gold, Osino Resources: Supposed political risks, a burden, and an opportunity

  • Investments

Businesses, like citizens, operate within the regulatory framework. In this way, the state guarantees peaceful coexistence. But what if the legal framework changes? It is easy for individuals to adapt to new circumstances. It can be more challenging for companies - for example, if a business model is shaken by regulatory requirements. The best example is the tobacco company BAT. Recently, the German Bundesrat cleared the way for a law that further restricts advertising for tobacco products. Even e-cigarettes, celebrated by the industry as a source of hope, will be subject to the likely ban. Cinema advertising, marketing activities, etc will also be restricted in the future.

time to read: 3 minutes by Nico Popp


 

Author

Nico Popp

At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

About the author


BAT: Good figures fizzle out on the market

For companies like BAT, the new laws in Germany are just another chapter in the never-ending story. But although smokers and tobacco companies have been facing headwinds for years, BAT is holding up comparatively well. In the first half of the year, the group even managed to increase its profits by more than 20%.

The driving force continues to be e-cigarettes, which - despite political headwinds - are popular with customers. BAT is also favorably valued: the price-earnings ratio is below 10, and the dividend yield is also impressive at around 8%. Nevertheless, the share is not a high-flyer on the stock market: on a one-year horizon, despite the solid-key data, a loss of around 3% is recorded. Investors seem to find the anti-smoking policy so deterrent that they are avoiding the share despite the positive figures.

Barrick Gold has costs under control

The Barrick Gold share shows that political headwinds do not always have to result in falling prices. The company is still in dispute with Papua New Guinea over the resumption of production at the Porger Mine. The background is environmental damage, which the country would like to see Barrick repair. For its part, the company announces that it intends to resolve the dispute and take all necessary steps. Nevertheless, the dispute continues to smolder. In recent years, Barrick has also been involved in conflicts with authorities in other regions of the world, such as Chile, but that has not hurt the share. On a one-year horizon, Barrick climbed by almost 50%.

Investors appreciate the share's robust sales growth and low costs. In times when gold prices are rising, this provides a comfortable cushion. In recent months there have been sales of mines that the Group considers unprofitable. Barrick primarily mines gold but also has copper on offer. Both commodities have been performing well since the pandemic, so it can be assumed that the disease will not play any role in Barrick's figures.

Osino Resources seeks gold in Namibia

The Osino Resources share has also benefited from the development of the past six months - since the end of March, the share price has only known one direction, and that is up. It has increased by 61% on a one-year horizon. Osino Resources is a Canadian commodities company specializing in gold exploration in Namibia. Namibia is considered one of the most stable countries in Africa with highly developed mining standards and an industry minded government. Osino Resources operates in the promising gold belt northeast of the capital Windhoek. Within twenty kilometres around the company's properties are roads, access to energy, and other essential infrastructure. By the end of 2020, the company plans to confirm and expand on promising results already achieved by drilling new wells.

Insiders and professional investors rely on Osino Resources

The experienced management team believes in itself and the project, this is shown by the high proportion of Osino shares in its portfolio: around 38% are in the hands of insiders or other persons associated with the company. Professional investors hold another 34%. Private investors, therefore, account for only ~28% of the company's shareholders. Many private investors still shy away from investing in Africa and see political risks.

Osino Resources does not see such fears and emphasises the advantages of Namibia as a mining location. The country has a mining history of more than 110 years. Raw materials contribute to a large extent to the country's gross domestic product. As Namibia has been a democracy since 1990, workers and residents of mining projects have rights and can enforce them. The risk of unrest, strikes, and other complications is lower in Namibia than in many other traditional mining regions.


Author

Nico Popp

At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

About the author



Conflict of interest & risk note

In accordance with §34b WpHG we would like to point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH may hold long or short positions in the aforementioned companies and that there may therefore be a conflict of interest. Apaton Finance GmbH may have a paid contractual relationship with the company, which is reported on in the context of the Apaton Finance GmbH Internet offer as well as in the social media, on partner sites or in e-mail messages. Further details can be found in our Conflict of Interest & Risk Disclosure.


Related comments:

23. October 2020 | 14:36 CET | by Nico Popp

Grenke, Delivery Hero, Desert Gold: Momentum shares on hold

  • Investments

There are stocks where there is something in the air. For some of them, the trend is ultimately negative, others never pick up speed, and others just take off. Three of these potential momentum stocks are Grenke, Delivery Hero, and Desert Gold. At Grenke, the eyes of the market are focused on the accusations of balance sheet manipulation. Although the Baden-Baden-based Company has hired external auditors, suspended supervisory board posts, and announced a complete investigation, the share price is still not getting off the ground. For experienced investors, this means that something is coming to a head!

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23. October 2020 | 10:40 CET | by Stefan Feulner

BYD, Blackrock Gold, Ballard Power - These shares take off!

  • Investments

Oops!... he did it again! Elon Musk continues to ride the wave of success with his Tesla and has repeatedly been able to show strong figures despite the current pandemic. A strong signal for the electric car industry, both for the car manufacturers and the suppliers behind it. The share prices on the overall market were not as strong. The fear of the second wave is mentioned here as the main reason. On the other hand, stocks from the gold and silver sector are once again coming to the fore. The chance of new highs is a given due to the current uncertainty.

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20. October 2020 | 11:51 CET | by Stefan Feulner

BYD, Silver Viper, Plug Power - When will the doubling happen?

  • Investments

Since the Corona low at the end of March, the stock markets have started a brilliant race to catch up. Many indices have reached new highs, with some about to break out. The technology-heavy stocks, such as the Nasdaq Composite, in particular, ran to new all-time highs. Among the individual stocks, the highest gains were seen in Companies from the hydrogen and fuel cell sectors, but also in gold and silver. The trend in these boom sectors is still going strong, and many securities still have a significantly higher price potential.

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