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Dirk Graszt, CEO, Clean Logistics SE

Dirk Graszt
CEO | Clean Logistics SE
Trettaustr.32, 21107 Hamburg (DE)

info@cleanlogistics.de

+49-4171-6791300

Interview Clean Logistics: Hydrogen challenge to Daimler + Co.


Matthew Salthouse, CEO, Kainantu Resources

Matthew Salthouse
CEO | Kainantu Resources
3 Phillip Street #19-01 Royal Group Building, 048693 Singapore (SGP)

info@krl.com.sg

+65 6920 2020

Interview Kainantu Resources: "We hold the key to growth in the Asia-Pacific region".


Justin Reid, President and CEO, Troilus Gold Corp.

Justin Reid
President and CEO | Troilus Gold Corp.
36 Lombard Street, Floor 4, M5C 2X3 Toronto, Ontario (CAN)

info@troilusgold.com

+1 (647) 276-0050

Interview Troilus Gold: "We are convinced that Troilus is more than just a mine".


27. September 2021 | 12:20 CET

Diamcor Mining, TUI, Xiaomi - Consumer stocks are among the winners!

  • Diamonds
Photo credits: pixabay.com

To consume or to save? Everyone is faced with this fundamental decision. The individual rate depends on the level of income and the prospects regarding the labor market and economic growth. In the course of the Corona pandemic, private consumption declined significantly. With economic recovery and the removal of lock-downs, personal consumption is picking up again considerably. The companies mentioned above are benefiting from this.

time to read: 4 minutes by Carsten Mainitz
ISIN: Diamcor Mining Inc. | CA2525312070 , TUI AG NA O.N. | DE000TUAG000 , XIAOMI CORP. CL.B | KYG9830T1067


 

Author

Carsten Mainitz

The native Rhineland-Palatinate has been a passionate market participant for more than 25 years. After studying business administration in Mannheim, he worked as a journalist, in equity sales and many years in equity research.

About the author


DIAMCOR MINING INC - Measures implemented for higher profitability

Diamcor Mining is focused on identifying, acquiring and operating diamond projects that are in production in the near term and have the potential to generate continuous diamond production and cash flow. The Company follows a distinctly low-risk strategy by not taking exposure to exploration projects. Diamcor uses advanced technologies to process overburdened reserves and is interested in high-quality alluvial and eluvial projects that allow the recovery of documented diamondiferous gravels using simple, low-cost strip mining techniques. Geographic focus regions include Canada and South Africa.

Of strategic importance is the long-term strategic alliance formed this summer with Tiffany & Co. Canada, a subsidiary of the world-famous New York-based Tiffany & Co. Under the terms of the agreement, Tiffany & Co. Canada has a right of first refusal on up to 100% of the future rough diamond production of the Krone-Endora at Venetia project at current prices. Equally significant, the agreement provides for substantial financing to advance the project as quickly as possible. However, diamonds are not only of interest to the jewelry industry, but because of their unique properties, they are also sought after in laser technology, in the manufacture of semiconductors, and for a variety of electronic components.

The Canadians are currently focused on developing and advancing the Krone-Endora at Venetia project in South Africa. The project covers approximately 5,900 hectares and is adjacent to De Beers' flagship Venetia diamond mine. Diamcor has a long history of operations and production in South Africa and has extensive experience supplying rough diamonds to the world market.

Recently, the Company reported the completed implementation of several measures at the Krone Endora at Venetia project. The goal is to increase the project's processing volume by up to 100%. Specifically, this will be ensured by improving and expanding the diamond concentration system and installing a new electronic X-ray unit for diamond recovery. In addition, cost-cutting measures that reduce water and electricity consumption per ton will be implemented. With the final commissioning, the first results on the effectiveness of the bundle of measures will be available in the coming weeks. Good news will undoubtedly provide positive impetus for the Company's share certificates, currently valued at CAD 24 million.

TUI - Tailwind from relaxation

Germans are traveling significantly more again. This is evident from the recently published data of the airport association ADV. According to the data, the number of passengers using a German airport as their point of departure or destination during the summer vacations doubled year-on-year to 28.6 million. However, this figure is still far from the pre-crisis Corona level. The ongoing dismantling of international entry restrictions, particularly in the USA and the UK, is expected to provide further tailwind for the industry.

It is also urgently necessary, as TUI's 9M figures published in mid-August show. Sales in the first nine months fell by 80%, yet appropriate measures enabled the Group loss to be kept almost at the previous year's level of around 2.4 billion. Due to a higher number of shares in 2021, the loss per share decreased to EUR -2.66 after EUR -3.98. Net debt amounted to EUR 6.34 billion at the reporting date. Looking at the Q3 figures in isolation, significant progress can be seen. Sales multiplied from around EUR 72 million to EUR 650 million due to base factors. The loss per share decreased significantly to EUR -0.85 after EUR -2.51 in the previous year. The Group recently took advantage of the depressed share price level to acquire 317,171 treasury shares for an employee participation program. The volume-weighted average price of all purchases made, excluding incidental acquisition costs, was around EUR 3.85.

XIAOMI CORPORATION - Apple overtaken!

Xiaomi has this summer displaced Apple as the world's second-largest cell phone manufacturer. Samsung remains the undisputed top dog. The Chinese were able to grab a 16.7% market share in Q2 2021 to take second place globally. The Group also grew strongly and much more dynamically than the competition in mainland China. The market share here increased from 10.3% to 16.8% in Q2.

Xiaomi offers smartphones and a wide range of smart devices connected via an AI-IOT platform, which the Company claims is the world's largest. In addition, Xiaomi was included in the BrandZTM Top 100 Most Valuable Global Brands for the third consecutive year in June 2021, with the Company now ranked 70th. The Group is valued at USD 71 billion and has a moderate valuation with a 2022 P/E ratio of 19. Analysts are overwhelmingly convinced of the stock's potential, and on average, formulate an upside potential of just under 50% over the next 12 months.


Private consumption is picking up again significantly, and the trend should continue on a sustained basis. The three featured stocks benefit from rising consumption in the fields of travel (TUI), technology (Xiaomi) and jewelry/diamonds (Diamcor Mining). TUI should be treated with caution due to high debt and red numbers. Xiaomi is interesting for technology-savvy investors. We find Diamcor very exciting with its low-risk strategy and moderate company valuation.


Author

Carsten Mainitz

The native Rhineland-Palatinate has been a passionate market participant for more than 25 years. After studying business administration in Mannheim, he worked as a journalist, in equity sales and many years in equity research.

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.


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  • Diamonds

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