Close menu

November 2nd, 2022 | 12:34 CET

Gas price collapses: BASF, Porsche, Meta Materials in an upward trend

  • metamaterials
  • Investments
  • Technology
Photo credits:

The sharp fall in gas prices is creating a good mood among investors. This week, the forward contract (TTF) for natural gas fell to below EUR 100 per MWh, its lowest level since June. This is fueling hopes that inflation will cool and the recession will be less severe. The direct beneficiary is, of course, BASF. In addition, a subsidiary is currently earning billions, and analysts see further price potential overall. According to them, the chemical group is currently "simply too cheap". This could also be the case with hot stock Meta Materials. Recently, new orders have given a boost to the share price. Should the Canadians continue the commercialization of the patent portfolio so successfully, significantly higher prices are possible. After the stuttering IPO, the Porsche share has stepped on the gas. But from the analysts' point of view, the air is slowly getting thinner.

time to read: 4 minutes | Author: Fabian Lorenz
ISIN: BASF SE NA O.N. | DE000BASF111 , PORSCHE AG | DE000PAG9113 , Meta Materials Inc. | US59134N1046

Table of contents:

    Jared Scharf, CEO, Desert Gold Ventures Inc.
    "[...] We have built one of the largest land packages of any non-producer in the belt at over 440 and have made more than 25 gold discoveries on the property to date with 5 of these discoveries totaling about 1.1 million ounces of gold resources. [...]" Jared Scharf, CEO, Desert Gold Ventures Inc.

    Full interview


    Meta Materials: Successful commercialization of a future technology

    The Meta Materials share has made an impressive comeback in recent weeks. Within a few days, the share price of the Canadian Company, which is listed in Germany and on the NASDAQ, has almost doubled to EUR 1.10. For a good reason: Meta Materials has received orders worth USD 4.3 million in its nano-optics security business. Meta says its KolourOptik technology delivers unique visual effects that create a new level of security and visual engagement while enhancing the overall banknote theme. According to the Company announcement, Meta Materials has signed a contract with a confidential G10 central bank customer for a maximum value of USD 41.5 million over a period of up to five years. The new orders are a base order for further work under the multi-year agreement. For context, Meta's second-quarter revenue increased 432% to USD 3.3 million.

    One of Meta's goals is to be a global leader in banknote security technology. The orders show that it is well on its way. And the potential for security printing is enormous, with the market for security printing estimated at USD 29.8 billion. Annual growth between 2021 and 2026 is expected to average over 4.5% (source: This is not the only billion-dollar market Meta Materials is tapping. The Company develops high-performance functional materials and nanocomposites and produces special coatings capable of redirecting light, sound, heat or radio waves using special nanotechnology.

    The potential is huge and spans all industries, such as 5G communications, health and wellness, aerospace, automotive, and renewable energies. The patent portfolio already includes over 200 patents, and more are in the approval phase. The share is still a long way from its high for the year of over EUR 4.40. However, if commercialization continues at this pace, a rising share price is anything but unlikely.

    BASF: Benefit from collapsing gas price

    Shareholders of BASF are also hoping for higher prices. In the wake of falling gas prices, the chart picture has brightened. After all, the chemical group is more dependent on the gas supply and the gas price than probably any other German company. Analysts are also predominantly positive. The most optimistic are Bernstein Research and DZ Bank, with a price target of EUR 61. Bernstein sees the proposed EU price cap for natural gas as an opportunity for BASF. Although the price is significantly above the level before the Ukraine war, it still creates predictability. The risk remains that the winter could be very cold, and gas could become scarce. Deutsche Bank is also in the camp of the optimists. Thus, the BASF share was upgraded from Hold to Buy. With all the risks of the chemical group in Europe, the security is simply too cheap. Their price target is EUR 60.

    On the other hand, UBS continues to recommend BASF shares as a "sell". Although BASF's majority shareholding Wintershall Dea continues to earn very well and is also reducing its investment program, the sale sought by BASF has hardly been possible in the current political environment. Therefore, UBS leaves the price target at EUR 37. Currently, BASF shares are trading at around EUR 45. In the third quarter, oil and gas group Wintershall Dea had strongly increased earnings before interest, taxes, depreciation and exploration costs (EBITDAX) from EUR 983 million to EUR 2.6 billion.

    Porsche share fairly valued at EUR 88 or EUR 105?

    After a rather stuttering stock market debut, the Porsche share has shifted up a gear. The share is now trading above EUR 105. However, this means that the air is slowly becoming thin. At least, that is the opinion of many analysts. At present, only the analysts at UBS still see price potential. In particular, the strategy in the field of electromobility is highlighted positively. This promises long-term, structural growth. Therefore, the UBS price target for the Porsche share is EUR 105. In contrast, Stifel considers the Zuffenhausen company's stock sufficiently valued. It is true that a valuation premium compared to Mercedes and BMW is appropriate. However, Porsche should not be valued as a true luxury manufacturer either. The analysts therefore recommend Porsche shares as a "hold" with a price target of EUR 98. RBC is even a bit more cautious. With a price target of EUR 88, the analysts even see downside potential. Porsche is well positioned in electric vehicles but also appropriately valued. The analysts therefore tend to recommend the parent company Volkswagen.

    Thus, RBC rates the Volkswagen preferred shares as "outperform" with a price target of EUR 281. Currently, the VW preferred shares are trading at around EUR 131.

    Falling gas prices provide relief for investors. The hope is that the winter will not be as severe as feared. This applies in particular to BASF. Regardless of the gas price, the Meta Materials share has enormous potential if commercialization continues in this way. At Porsche, many good things are already priced in, at least according to analysts.

    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 hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.

    In addition, Apaton Finance GmbH is active in the context of the preparation and publication of the reporting in paid contractual relationships.

    For this reason, there is a concrete conflict of interest.

    The above information on existing conflicts of interest applies to all types and forms of publication used by Apaton Finance GmbH for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and the like on These contents are exclusively for the information of the readers and do not represent any call to action or recommendations, neither explicitly nor implicitly they are to be understood as an assurance of possible price developments. The contents do not replace individual expert investment advice and do not constitute an offer to sell the discussed share(s) or other financial instruments, nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but a journalistic or advertising text. Readers or users who make investment decisions or carry out transactions on the basis of the information provided here do so entirely at their own risk. No contractual relationship is established between Apaton Finance GmbH and its readers or the users of its offers, as our information only refers to the company and not to the investment decision of the reader or user.

    The acquisition of financial instruments involves high risks, which can lead to the total loss of the invested capital. The information published by Apaton Finance GmbH and its authors is based on careful research. Nevertheless, no liability is assumed for financial losses or a content-related guarantee for the topicality, correctness, appropriateness and completeness of the content provided here. Please also note our Terms of use.

    Der Autor

    Fabian Lorenz

    For more than twenty years, the Cologne native has been intensively involved with the stock market, both professionally and privately. He is particularly passionate about national and international small and micro caps.

    About the author

    Related comments:

    Commented by André Will-Laudien on April 30th, 2024 | 07:30 CEST

    The 100% opportunity with Big Data and Artificial Intelligence: Nvidia, Softing, Microsoft and Super Micro Computer!

    • AI
    • bigdata
    • hightech
    • Technology

    Big Data, Web 3.0, IOTA and Artificial Intelligence are terms of the modern age. When the internet and high-tech stocks saw the light of day on the stock exchange during the dot-com bubble at the end of the 1990s, there were hundreds of companies with an idea but only a few customers, rarely any turnover, and certainly no profit. Now, 25 years later, computing power has increased a hundredfold, and the possibilities seem endless. Data for industry is finally usable, and consumers' usage behavior shows where manufacturers need to focus their products. We are in the age of complete transparency about movements, purchasing behavior and opinions. Large Internet companies such as Microsoft, Google and Apple have trillions of pieces of data at their disposal and the fastest mainframe computers to analyze them accordingly. With the deployment of machine learning, artificial intelligence knows no bounds. The stock market thrives on these advancements, with high-tech and AI stocks continuing to promise significant potential. However, it is worth taking a look at undiscovered followers.


    Commented by Juliane Zielonka on April 26th, 2024 | 07:00 CEST

    HelloFresh, First Hydrogen, Amazon: Growth in the Courier, Express, and Parcel industry

    • Hydrogen
    • Food
    • Technology

    The courier, express, and parcel industry (CEP) is a true growth engine. CEP companies currently employ almost 260,000 people, more than 50% more than ten years ago. Consumers worldwide are increasingly opting for direct deliveries to their homes, whether for food or retail orders. The food company HelloFresh is benefiting from this. The figures from the first quarter of 2024 impress analysts and investors alike. Increasing delivery traffic in cities needs new solutions. This is where First Hydrogen comes into play. The Company focuses on hydrogen-powered commercial vehicles for urban deliveries. The advantage of First Hydrogen's vans is their unbeatable range of over 600 km with just a single refueling. Amazon is also scaling up its food delivery services. In the US, they are enticing Prime subscribers to take advantage of delivery benefits for groceries. This is not at all popular in Europe and violates many consumer laws. We provide the details.


    Commented by André Will-Laudien on April 23rd, 2024 | 07:45 CEST

    Attention: DAX dividends! Car stocks pay out: Mercedes-Benz, MS Industrie, VW and BMW

    • Technology
    • hightech
    • Automotive
    • Electromobility

    The DAX 40 index has gone into reverse gear in recent weeks. In addition to the high-tech and artificial intelligence sectors, the multi-month bull market also included defense stocks in the interim phase. There is no real reason to celebrate among automotive stocks, as an expected decline in GDP also means reduced household budgets. This translates to fewer new vehicle sales, with many electric vehicles produced in bulk occupying important showroom space from dealers for months. The pain is increasing, and those looking to sell vehicles find themselves in ruinous discount battles with cheap Chinese imports. However, there appears to be a glimmer of hope on the horizon: interest rate cuts! They are expected in the second half of the year. We analyze the current situation.