Close menu

July 28th, 2021 | 13:42 CEST

Commerzbank, Aztec Minerals, MorphoSys - Save yourself!

  • Commodities
Photo credits:

The fear of rapidly rising interest rates was taken away from investors at the past meetings of the central banks. In addition to the ECB's change in monetary policy strategy, where the inflation target of "below or close to 2%" was set aside, the Federal Reserve is blithely continuing its money printing. Despite a 5.4% increase in prices in June, US monetary watchdogs continue to focus on a growing economy and a robust labor market and continue to hold off on a monetary policy response. These hesitant measures put financial stability at risk - the best conditions for investment in precious metals.

time to read: 3 minutes | Author: Stefan Feulner

Table of contents:

    Gold mines with leverage

    The bottom line is that central banks have no choice. For years, the ultra-loose monetary policy has created giant speculative bubbles in the stock and bond markets and real estate. In addition, the countries are historically highly indebted, once again fueled by the stimulus packages. In the event of major interest rate hikes, a crisis with corporate bankruptcies and sovereign defaults would be pre-programmed. The best way to hedge against this looming scenario is to invest in gold. The precious metal has always been considered a protection against inflation and a crisis currency. Invest at least part of your assets; the old banker's rule is 10% in gold or gold mining shares. Securities of mining companies have the advantage of performing better in the event of a permanently rising base price, and investors can thus profit disproportionately.

    Best conditions

    The exploration Company Aztec Minerals, led by experienced management with a proven track record, has made a promising start. The geologist Allen David v. Heyl, responsible for discovering and evaluating more than 30 million ounces of gold and 25 million tons of copper at companies such as Barrick Gold and Zijin Mining, deserves special mention.

    Aztec Minerals' focus is on properties in North, Central and South America. In the main asset, which is bundled in a joint venture, the junior explorer holds 65%. It is the prospective Cervantes porphyry gold-copper deposit in Sonora, Mexico. In addition, there is a 75% interest in the historic Tombstone properties in Cochise County in Arizona, where high-grade mineralization with silver, lead, zinc and gold is suspected.

    Initial results from the two-phase drill program, with 20 holes and 2,900m planned for the full year 2021 at the Tombstone project, were released back in early July and far exceeded expectations. Additional results crossed the tickers yesterday afternoon, confirming and extending the high-grade oxidized gold-silver mineralization near surface.

    The five holes were completed on two drill grids as infill drilling between the earlier two holes and as a step-out to the holes reported on July 7, 2021, in the north-central portion of the Contention open pit. Each of the five holes intersected near-surface oxidized gold-silver mineralization, and all five holes ended in mineralization at depth. The next steps include step-out and twin drilling of three historical holes to verify the old data for use in a future resource estimate.

    Aztec Minerals is well ahead of schedule on this year's drill program. The attractiveness of the projects should quickly put the Canadians in the focus of a takeover by major players. Currently, the stock market value is only EUR 15 million. This investment is promising in the long term and serves as a speculative portfolio addition.

    Thumbs down for Coba

    A hail of bad analyst opinions weighed on the Commerzbank share price. With a minus of over 2%, the financial institution is approaching the critical support at EUR 5.0. In the run-up to the figures for the second quarter, analyst houses are losing faith in the profitability of the Frankfurt-based company. The Swiss bank UBS left the rating at "sell" with a price target of EUR 4.80. According to the experts, special charges are likely to have determined the second quarter.

    British Barclays also left its rating for Commerzbank at "underweight" with a price target of EUR 5.0 before figures. Commerzbank's fee income should have normalized in the second quarter, along with trading profit, and net interest income should also have been stable. Likewise, analyst Jun Yang reckons that loan provisions were lower than in the first quarter. Currently, there is no reason to invest in Commerzbank; instead, we are eagerly awaiting the figures that will be presented.

    MorphoSys in free fall

    The analysts of Commerzbank are also skeptical, however not for their shares, but for the biotechnology Company MorphoSys. Commerzbank analyst Daniel Wendorff calls the more cautious sales target a "negative surprise". However, even more serious is the reduction of the balance sheet item "Financial liabilities from collaborations, excluding current portion" by around EUR 102 million. This figure includes the expectations for the drug Monjuvi. As a result, according to the analyst, skepticism is likely to increase concerning the profitability of the drug. As a result, the buy recommendation has been removed, and the rating is now "hold".

    Fears of inflation are not diminishing and are being fueled by central banks' continued loose monetary policy. The growth and labor market preferences and the underestimation of inflation are optimal conditions to invest in gold mining stocks such as Aztec Minerals. In contrast, we currently refrain from entering MorphoSys and Commerzbank.

    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

    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 Armin Schulz on June 5th, 2023 | 07:00 CEST

    ThyssenKrupp, Power Nickel, Varta - Is nickel becoming scarce?

    • Mining
    • Nickel
    • Commodities
    • Electromobility
    • renewableenergies

    Nickel is a versatile metal that plays an important role in various industries. One of the largest applications of nickel is in stainless steel production, where it provides hardness, corrosion resistance and heat resistance. Nickel has also always been a crucial factor for batteries. Since the rise of electromobility, the metal has gained even more significance. Due to its ability to store high energy densities, it contributes to improving performance. Using it in the cathode achieves higher capacities and longer lifetimes, which is essential for electric cars. Given the growing trend towards electromobility, nickel is becoming an important raw material for the energy transition.


    Commented by André Will-Laudien on May 24th, 2023 | 07:30 CEST

    100% and more with these turnaround stocks! Plug Power, Globex Mining, Palantir. Take a close look now!

    • Mining
    • Commodities
    • AI
    • climatechange

    When investing in stocks, the goal is always to find low entry prices to optimize long-term performance. Unfortunately, buying downward-trending stocks promises less success than investing in stocks that constantly reach new highs. This principle embodies the wisdom of "The Trend is Your Friend." In applying this advice, one should let profits run and limit losses. A sensible risk diversification also requires a portfolio approach that spans countries, industries, and currencies. We look at three stocks from different sectors with promising return potential.


    Commented by Nico Popp on May 17th, 2023 | 08:10 CEST

    Heat pump madness and grid expansion: Vonovia, JinkoSolar, Grid Metals

    • Mining
    • Commodities
    • Lithium
    • Copper
    • Nickel
    • renewableenergies
    • Energy

    A few weeks ago, Federal Economy Minister Habeck and Saxony-Anhalt Prime Minister Haseloff broke ground for the "SuedOstLink" converter. From 2027, wind energy will flow over the route to Bavaria for the first time. But the north-south connection is only part of the solution. Experts are sounding the alarm and consider massive investments in "the last mile" to be necessary. We take a look at what lies ahead and which companies could benefit.