Close menu




December 8th, 2020 | 08:59 CET

Cisco Systems, BASF, Defense Metals - Everyone is extremely important!

  • Investments
Photo credits: pixabay.com

Current advances in technology are changing the industry forever. It is the data worlds that play an increasingly important role in all stages of the production process today due to their availability and analytical capabilities. They make operational activities more transparent and much easier to control. Production data is automatically matched with supply chains and the resulting end products. In this context, digitization has a healing and destructive component. Healing, because the understanding of the process is getting better and better, and all eventualities can be mapped. Destructive, because it has a damaging effect on routine activities that were historically performed by a large number of people and will be increasingly dispensable in the future. In the field of cybersecurity, numerous investigations are conducted, thousands of vulnerabilities are identified, and forensic tools are developed to help protect corporate assets. A new era has begun - complete transparency is the order of the day!

time to read: 4 minutes | Author: André Will-Laudien
ISIN: CA2446331035 , DE000BASF111 , US17275R1023

Table of contents:


    Cisco Systems - The network Company

    Cisco Systems, Inc. designs, manufactures, and sells Internet Protocol-based networking solutions and also provides comprehensive services and other products related to communications and information technology. The Company is a pioneer in the field of data transmission, network configuration, Internet connection, and the combination of voice and video within complete company divisions, across locations and worldwide.

    Cisco Systems has been on a stable growth path for a good two decades, with smaller additions being purchased on the market every year. Yesterday IMImobile, a British manufacturer of customer service software which will be bought for GBP 543 million, was one of them. This transaction is the largest for Cisco in the UK since 2018, and the UK Company's share price is going through the roof with a 47% increase. The news came as a surprise to the market as IMImobile's share price has been trending sideways and downwards for the last 3 months. The provider of cloud communications software has already agreed to Cisco Systems' takeover bid, and the Company seems to be feeling very comfortable with the NASDAQ Titan.

    Cisco has already received irrevocable commitments for 25.8 million shares, representing approximately 31% of IMI's share capital. IMImobile also announced its interim results, which showed a sharp increase in profits from GBP 1.3 million last year to GBP 3.5 million over the previous six months. The market capitalization of Cisco itself is currently USD 187.5 billion. Since the 1980s, complementary companies and providers of new technologies have been bought up, with money or their own shares - a prevalent expansion strategy. In the last 10 years, Cisco has risen by about 133%, making it one of the more comfortable stocks on the NASDAQ.

    BASF - From the dark depths back to the light

    BASF has been a rock in the surf of the DAX standard stocks for years. The "Baden aniline", as it is also called in stock market jargon, is very cyclical, which is why it is always sold out during economic downturns. In March, the price fell to a 10-year low of around EUR 40.00. Long-term oriented investors should not worry about the Company's recent net losses caused by non-cash impairments due to Covid-19. For the last quarter, non-cash impairment charges amounted to EUR 2.8 billion, which helped turn net profit into a loss of EUR 2.1 billion. However, a recent free cash flow analysis indicates a potential FCF return of 6.5%, a solid analytical figure.

    To keep the group in the wind in the long term, the chemical group is once again restructuring a small amount. Yesterday it was announced that its subsidiary, Colors & Effects, which specializes in colour pigments, may be sold to the Japanese Company DIC subject to conditions. According to a decision by the EU competition authorities on Monday, the merger is subject to the condition that DIC's main production facility for pigments must be sold to competitors. It is operated by DIC's subsidiary Sun Chemical in South Carolina (USA). It's a good thing that the guardians of competition always do the math with a sharp pencil!

    In its current line-up, BASF SE has a market value of EUR 56 billion and has increased its share price by a good 50% since its low in March 2020. Chart wise it is a Company to hold on to as it approaches its 52-week high. On top of that, there is a solid dividend of 5% for the patient in April/May 2021.

    Defense Metals - Strategically immensely important

    Defense Metals Corp. is an explorer focused on rare metals. The topic has become a key issue on the industrial procurement side in recent years. Entire branches of technology increasingly depend on the secured supply of rare raw materials. Future technologies such as green energy technology, fuel cells, seawater desalination, high-temperature superconductors or new technical alloys stand and fall with the availability of rare metals such as palladium, selenium, cerium or niobium. The western industrial nations are today almost wholly dependent on the import of rare earths
    .
    In the past, there have been extreme price movements for many rare raw materials. In the course of the strong global economy at the turn of the millennium, prices initially rose continuously until 2007, but then fell massively in the following financial crisis from 2008 onwards. Now, with the limitations of COVID-19, a shortage problem is emerging again, and the situation is extremely tense. The worldwide nervous reaction shows this as an announcement by China stated that it would no longer be able to satisfy the demand for the scarce metals indium and germanium in the future - the reason: domestic demand!

    Defense Metals could offer a solution for the industry as it has an option to acquire 100% of the 1,708-hectare Wicheeda rare earth property near the Canadian city of Prince George. Jamie Spratt has now been appointed as the Company's strategic advisor to assist in the future strategy for dealing with the many demands. He is a Principal at Walmsley Capital Inc, a Company specializing in corporate finance in the mining sector, which he himself founded in 2019. Over the past 14 years, he has gained extensive experience in the mining investment sector and has advised on major deals. The Company currently has a capitalization of only CAD 10.8 million at a price of CAD 0.20 per share. The price has already tripled since March 2020 and remains promising.


    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

    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 Armin Schulz on April 29th, 2025 | 07:10 CEST

    Gold rush 2.0: Desert Gold could become the next takeover target in West Africa

    • Mining
    • Gold
    • Investments

    In uncertain times, gold is again gaining attention as a safe haven. While the price of gold continues to climb to new record highs, exploration companies with substantial resources offer attractive potential – especially in established gold regions such as West Africa. Desert Gold Ventures, a Canadian gold explorer, is well positioned here. With a 440 sq km project in Mali, surrounded by large producing mines, and already confirmed and inferred resources of around 1.1 million ounces, the Company could emerge as a surprise candidate. But what makes Desert Gold special? We take a look at the facts.

    Read

    Commented by Fabian Lorenz on April 29th, 2025 | 07:05 CEST

    Out of RENK and Co. and into Almonty shares? China's sharpest sword! Another 100% price gain with the tungsten high-flyer?

    • Mining
    • Tungsten
    • Investments
    • Defense

    "Restrictions on the export of rare earths are the sharpest sword China can wield," Harald Elsner of the German Raw Materials Agency told FAZ. Reserves are likely to last only a few weeks for German industry. While RENK, KNDS, and Co. are trembling in the face of export restrictions, Almonty's strategic importance for the Western defense industry and beyond is becoming increasingly clear. Like defense stocks, the tungsten producer's share price has more than doubled in the current year. However, the valuation remains low, and analysts see more than 100% upside potential. There are good reasons why the tungsten stock rocket could ignite the next stage as early as tomorrow.

    Read

    Commented by Mario Hose on April 28th, 2025 | 11:30 CEST

    Almonty Industries - Value drivers: NASDAQ listing and takeover candidate

    • Mining
    • Tungsten
    • Investments

    In a world where geopolitical tensions are rising, and critical raw materials are being used as strategic weapons, investors are faced with an important question: Who will deliver what is needed to secure progress? One answer to this question will be Almonty Industries – an emerging tungsten producer seen not only as a bulwark against Chinese dominance but also as a hot candidate for a NASDAQ listing. For savvy investors, this is a rare opportunity to profit early from a geopolitically driven commodity hype. Speaking to the Frankfurter Allgemeine Zeitung (FAZ) newspaper on April 25, 2025, p. 24, CEO Lewis Black stated: "I realize that I will have to tell many interested parties that I cannot supply them immediately." Will this announcement calm market participants in panic mode? That remains to be seen. What will a global corporation do when it urgently needs tungsten to complete its products? Investors can now position themselves – with good reason. More on this in the report.

    Read