Close menu




December 10th, 2021 | 13:54 CET

Bayer, Almonty Industries, JinkoSolar - Still considerable room for improvement

  • Tungsten
Photo credits: pixabay.com

Inflation is growing relentlessly. In November, Germany's barometer for price increases climbed to 5.2%; a level last reached 29 years ago. Rising energy prices and exploding commodity prices are found to be the culprits here. Given the energy turnaround, the materials required for this, such as lithium, copper and cobalt, are in fact close to their highs. However, tungsten, which will be essential for electromobility in the future, still has some catching-up potential.

time to read: 3 minutes | Author: Stefan Feulner
ISIN: BAYER AG NA O.N. | DE000BAY0017 , ALMONTY INDUSTRIES INC. | CA0203981034 , JINKOSOLAR ADR/4 DL-00002 | US47759T1007

Table of contents:


    Almonty Industries - Growing demand

    Climate activists want it just as much as politicians - the switch from an internal combustion engine to a battery-powered automobile. This demand, whatever the cost, is driving cobalt demand and price. By contrast, the conditions under which the metal is mined, mainly in the Democratic Republic of Congo, are swept under the carpet. There is extreme environmental pollution and children who work in dangerous, illegal mines at the risk of their lives, while gangs finance themselves with the cobalt business.

    If the CEO of Almonty Industries has his way, this trend should soon end. For Lewis Black, CEO of the Canadian company, the switch from cobalt to tungsten is drawing ever closer. Tungsten is extremely heat resistant and offers advantages both in terms of battery charging performance and safety. Tungsten also allows more nickel to be incorporated into batteries for e-cars, which in turn extends their range.

    The man should know, after all, Almonty Industries is building the world's largest tungsten mine in Sangdong, South Korea. The groundbreaking ceremony took place in the second quarter of this year, and the financing was completed with a capital increase of EUR 9.4 million. The debt capital is contributed by the Frankfurt KfW-IPEX Bank in the amount of USD 75.1 million.

    After full utilization, the plant's potential is 1.2 million rocks, while only about half will be exploited at the beginning. From the end of 2022, the mine is expected to produce around 30% of the tungsten supply outside China. Besides the Austrian Plansee Group, CEO Lewis Black is the second-largest shareholder of Almonty Industries. In addition, Deutsche Rohstoff AG owns around 12.2% of the promising company, which in addition to the main project in South Korea, is also active in Spain and Portugal. You can read a detailed interview with the CEO of Almonty Industries, Lewis Black.. https://www.kapitalerhoehungen.de/interviews/interview-mit-minenbetreiber-almonty-industries-wolfram-macht-e-autos-besser.

    Bayer AG - Legal risks weigh heavily

    Pharmaceutical and agricultural giant Bayer cannot get out of the negative headlines. The rating agency Moody's has lowered the outlook from stable to negative because of the existing legal risks. The rating was confirmed at Baa2. According to the agency, there is a risk of a higher payout concerning the swelling settlement proceedings in Germany and the US over the crop protection product glyphosate. Dow Jones Newswires reports that the litigation is costly and dampens Bayer's flexibility in stocking its pharmaceutical pipeline. In addition, uncertainty is high, he said. Last but not least, Bayer's reputation has been damaged, he said.

    On an operational level, the Leverkusen-based company was able to announce the launch of the Carbonview project. The platform is an industry-unique digital solution that helps farmers in the US measure the carbon footprint of their supply chain, he said. It establishes the carbon footprint of end products, enabling them to increase the sustainability of supply chains and reduce the environmental impact of agriculture. From a technical perspective, the stock is approaching the all-time low at EUR 39.90. Due to the uncertainty, there is no reason to invest here.

    JinkoSolar - Clearly shaken

    The share of JinkoSolar, a leading global supplier of solar modules, has also only known a downward course in recent weeks. After an interim high of USD 66.28 at the end of November, the stock plummeted to below EUR 40. So far, the support at this level has held, but a further test does not seem unlikely.

    Operationally, the Chinese company has landed several orders recently. The latest order with a volume of 360 MW comes from one of the largest traders on the Israeli market, Tadiran Solar Ltd. It provides for the delivery of the latest N-Type TOPCon solar modules called Tiger Neo from 2022 to 2023.


    Electromobility requires many raw materials such as copper, lithium and nickel. According to experts, the controversial cobalt could be replaced by tungsten. Here, Almonty Industries is leading the way and is building a tungsten mine in South Korea that can cover 30% of the demand outside China. Less promising, however, are the shares of Bayer and JinkoSolar.


    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 news.financial. 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

    Stefan Feulner

    The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
    He is passionate about analyzing a wide variety of business models and investigating new trends.

    About the author



    Related comments:

    Commented by Juliane Zielonka on June 30th, 2022 | 11:39 CEST

    Almonty Industries, Plug Power, BASF - Energy becomes the most valuable asset

    • Tungsten
    • renewableenergies

    Europe is at a crossroads: The energy supply crisis is hitting Germany particularly hard due to its dependence on Russian gas. Alternatives must be found as quickly as possible. In Belgium, a hydrogen plant is being built to make one of the largest industrial ports more CO2-neutral - Plug Power is the development sponsor. BASF is already feeling the gas loss and is changing its strategy. Investors are fleeing the stock despite an 8% dividend. And electric top dog South Korea is also building on economic independence. A metal for nuclear energy is of particular value here - and so is Almonty Industries.

    Read

    Commented by André Will-Laudien on June 22nd, 2022 | 14:35 CEST

    Metal rally: BYD, Almonty Industries, BASF, Nordex - Which shares will be climate change winners?

    • Tungsten
    • Electromobility
    • Battery

    Germany is bracing itself for a difficult winter. Gas supplies from Russia are dwindling. The reason that Siemens Energy is not getting a move on with urgent maintenance here is more likely to be interpreted politically. If Germany continues to join the international arms deliveries to Ukraine, things will likely get tense in the winter. Minister Habeck is calling on the German people to save energy and wants to offer corresponding rewards, but nuclear power plants are still being left out. It is all a bit confusing, but France is already standing by to compensate for Germany's botched energy policy with high-priced electricity supply contracts. So the citizen will have to pay for the red-green climate policy. Where are the opportunities for investors in this environment?

    Read

    Commented by Armin Schulz on June 13th, 2022 | 15:45 CEST

    Alibaba, Almonty Industries, Shell - Shares with conspicuous strength in the crisis

    • Tungsten
    • Oil
    • ecommerce

    The past week was tough for many investors. First, the ECB declared on Wednesday to raise interest rates, and on Friday, it was announced that the inflation rate in the US rose to 8.6% in May. As a result of these events, the markets collapsed and a number of blue chips suffered, in some cases significantly. But even in the weak phases, some shares buck the general market trend, which is a clear sign of strength. When the market as a whole turns around, it is precisely these stocks that often benefit disproportionately. We have picked out three companies that have held up well in the falling market environment and look closely at their future prospects.

    Read