December 19th, 2022 | 13:55 CET
Gold price at USD 3,600? flatexDegiro, Globex Mining, Uniper
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"[...] Our SMSZ project is the largest contiguous land package of any exploration company in the region at 400km2 and overlays a 38km portion of the prolific Senegal Mali Shear Zone. [...]" Jared Scharf, CEO, Desert Gold Ventures Inc.
At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.
flatexDegiro: Trading land has burned down
If the mood on the market is positive and prices are rising, then the world is structured simply for growth companies: Every plan, no matter how optimistic, is well received and priced in by the market. During the past weeks, the flatexDegiro share showed that regulatory fine-tuning can sometimes become highly complex, especially in the financial sector. The share came under significant pressure. In the meantime, the analysts at Morgan Stanley see the value of EUR 7.10 as a fair valuation. According to the analysts, a lot of negative news is already priced in at the current level.
But as is often the case, the results of formulas in Excel spreadsheets only roughly give the market direction. Especially in a weak market environment, even bargain hunters like to hold back once in a while. The current level of EUR 5.80 must be defended; otherwise, the share is threatened with another price slide. flatexDegiro, in particular, depends heavily on the trading activities of its customers. However, many private investors have just lost the desire to trade. It will be exciting to see whether flatexDegiro can defend the current price level.
Globex Mining: The share to let lie
While the share of flatexDegiro has oscillated back and forth between sky-high and deathly sad in recent years, Globex Mining knows only one state of mind: With the equanimity of a Frisian crab fisherman, the share simply accepts all events in the economy and politics. Yet Globex Mining offers a business model that fits well into the current times. The Company collects raw material projects, develops them further, forms joint ventures or grants properties to other companies in return for profit shares. Globex Mining focuses on safe North America. The Company has more than 200 projects around trend commodities such as copper, nickel, lead, gold, silver, platinum, palladium, manganese, titanium, iron, molybdenum, lithium, cobalt and rare earths in its portfolio. For these reasons, investors should at least keep the value in mind.
Large parts of the economy and, above all, investors still do not seem to have grasped the extent of the transformation that will be necessary in the wake of climate change and the energy transition. Geopolitical tensions could also tend to increase further. Raw materials from reliable sources, in contrast to deposits from China, Russia or African states under the appropriate influence, are likely to gain importance. A few days ago, a consideration made the rounds, according to which Russia could accept gold as payment for oil. Currently, the price for a barrel of oil is almost equivalent to a gram of gold. If Russia were to shift this equation, the price of gold could rise significantly. That is partly because the gold market is smaller and less flexible than the oil market. Regardless of Russia's actions, Globex Mining's stock remains interesting. Anyone with so many commodities in the ground today valued at only CAD 36.2 million is definitely worth a look.
Uniper: Here, the state rules
Investors who like to take short-term positions should keep the Uniper share in mind. At the start of the week, the shareholders of the energy trader will decide on the state's entry. Ultimately, the government is to hold a whopping 98.5% of the crisis-ridden company. A capital increase of EUR 8 billion at EUR 1.70 per share is planned. The EU Commission only recently approved the acquisition. Even if the federal government will soon be calling the shots at Uniper, which still supplies around 100 municipal utilities, the stock could still be attractive for short-term speculation - but probably more on the short side. Especially if new capital injections are imminent, the share could go down further.
In the current market phase, it is still essential for investors, firstly, not to put all their eggs in one basket and, secondly, to consider unforeseen events. Securities such as flatexDegiro or Uniper are not particularly suitable for this purpose: They have already experienced strong price movements, and the associated companies are under operational pressure. The situation is different with Globex Mining. The investment company for raw material projects in North America offers a lot of deep value but is unfortunately also not very transparent, as is the case with many comparable companies. However, given the low double-digit valuation, the stock is worth considering. Just one exit from more than 200 projects could be a liberating blow for the stock.
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.
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