Hensoldt and Power Metallic Mines unstoppable! Buy AIXTRON stock after the price crash?

Power Metallic Mines: Full speed ahead with a new name

New year, new name, continued strong performance. Power Metallic Mines continues to go full steam ahead. Under its old name Power Nickel, the Canadian company caused a stir on the capital market with excellent drilling results and a multiplication of its stock. In 2025, they will continue the success story. Even after the multiplication, investors seem to expect a further increase in the share price. The Company has thus succeeded in carrying out a capital increase with a volume of CAD 50 million within a few days. This will enable Power Metallic Mines to significantly increase the pace of exploration at the Nisk project in Quebec, Canada. Management announced that a third drill rig has already been purchased to test the western flank of the Lion Zone. The first two drill rigs will continue to explore the Lion Tiger zone. Shareholders can expect a strong news flow in the current year.

CEO Terry Lynch commented: "These are exciting times for our management team and our shareholders. We greatly appreciate the confidence of our recent investors and look forward to delivering even more impressive results in the coming weeks and months."

In 2024, spectacular drilling results turned the Nisk project into a world-class multi-metal project. Not only were large amounts of nickel and copper revealed, but also platinum, gold, and silver. Due to the presence of a nickel/copper/cobalt/platinum group element deposit (Nisk) and a copper/platinum group element/gold/silver deposit (Lion), there is confidence that other undiscovered metal deposits are on site. The capital increase means that new results can be achieved faster than many had anticipated. Chances are good that the stock will continue to cause a stir in 2025.

Hensoldt: Unstoppable

Hensoldt's stock is currently unstoppable. The security shot up more than 22% on Monday alone. Yesterday it was up more than 10%. Meanwhile, the stock is trading above EUR 70. Although the charts of Hensoldt, Rheinmetall, and Co. now resemble flagpoles, the momentum continues. Thanks to the strong performance of recent months, Hensoldt shares will be included in the STOXX Europe 600. The inclusion will take place on March 24, 2025.

Analysts are barely keeping up with the increase in their target prices. Last Friday, Deutsche Bank still recommended Hensoldt shares as a "Buy". However, the target price of EUR 41 is no longer in line with this. Warburg Research has already reacted and raised the target price from EUR 42 to EUR 69. The analysts speak of a "geopolitical tectonic shift" and "plenty of room for upside". Oddo BHF also speaks of a "new era". The recommendation has been raised from "Neutral" to "Outperform". The target price has been raised from EUR 39 to EUR 69.

AIXTRON: Target prices vary widely

There is currently a rather tense atmosphere among AIXTRON shareholders. Last week, the semiconductor equipment supplier sent its share price plummeting with disappointing figures. The stock is now trading below EUR 12, its lowest level since 2020. In December 2023, the price was still just under EUR 40.

Analyst price targets continue to vary widely even after the latest bad news. Warburg Research is among the optimists. The experts maintain their "Buy" recommendation and price target of EUR 20. They consider the recent price drop to be exaggerated. AIXTRON's medium-term prospects are positive, and the stock is cheap against this backdrop.

UBS, in particular, sees things differently. Following the latest figures, the analysts have reduced their earnings estimates for 2025 and 2026. In their view, the consensus estimates are too high. Overall, there are few positive short-term price drivers. Therefore, the price target was reduced from EUR 14.90 to EUR 12.70. The recommendation remains "Neutral".

At least the management has sent a positive signal. After the publication of the figures, management bought shares worth a total of around EUR 135,000.

In the case of AIXTRON shares, there is currently little to suggest a sustained trend reversal. The situation is different for Power Metallic Mines. The recent capital increase shows that investors believe in the project and are betting on a further increase in the share price. With the fresh capital, the Company can continue to explore at full speed. Hensoldt shares are slowly running out of steam. Scaling in the defense business is only partially possible. However, the stock currently has momentum.