February 2nd, 2022 | 10:21 CET
Meta, Prospect Ridge, eBay: Opportunities beyond quarterly figures
Table of contents:
"[...] Troilus has the potential to be an entire gold belt. All of our work to date points to this, and each drill hole makes the picture we have of the Troilus project much clearer. [...]" Justin Reid, President and CEO, Troilus Gold Corp.
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.
Meta: The "Metaverse" as a non-starter?
When Meta announces its quarterly figures today, the market expects earnings to be in line with or slightly above guidance. The outlook for the rest of the year is likely to be decisive for Meta. The all-important question is expected to be when Meta can make money in the new digital parallel universe. Meta's goal is to merge all services in the so-called Metaverse and make this ecosystem accessible to others. The cryptocurrency Ether and many NFTs are already closely associated with the Metaverse. NFTs are digital securitizations and represent either rights or interests in virtual or real objects. There are now numerous examples ranging from digital art to accessories. They range from sensible to dubious.
Meanwhile, there are already websites dedicated to nothing but rip-offs and hacking attacks around the Metaverse. It looks like criminals are making money in the Metaverse faster than Meta itself. That is a risk. If the promising virtual space continues to attract negative attention, Meta's plans could go bust before they are even really lived. While Meta's strategy to break away from Facebook is the right one, it is still a bit too early for euphoria. Even with the stock trading strong in the wake of the general tech comeback after the numbers, some skepticism remains warranted.
Prospect Ridge Resources: Many opportunities despite sell-off
While the share of the Facebook parent company Meta is already ambitiously valued, the market at Prospect Ridge Resources includes a significant risk buffer. The reason: Prospect Ridge Resources operates the promising Holy Grail project in the Canadian district of British Columbia and the Galinee project in Quebec. The former project, in particular, has already caused a sensation in Canada's mining scene due to the visible gold deposits near surface. In an interview, Nick Luksha, President of Prospect Ridge, expressed his optimism: "Almost 110 years ago, a company already managed to mine gold at Holy Grail with the simplest of means. We have a chest full of old documents that we have evaluated and which - quite independently of today's standards - are very valuable to us," says the mining expert.
With 12 historic mines within just 15 km, critics might think the opportunities at the Holy Grail property could overwhelm the powerful team or cause the Company to get bogged down in exploration. However, Luksha refutes this: "The current status of our Galinee project shows that we can set priorities. This property is also very promising, but we have put work there on hold because Holy Grail requires our full attention. Rest assured that our focus is on demonstrating the property's potential as quickly as we can. We are not mine developers. We move projects forward until they are of interest to the big players in the industry. The track record of our staff shows that we can do this. Most notably, our CEO Michael Iverson has generated over a billion dollars in market capitalization and raised more than CAD 100 million of capital in the marketplace in his thirty-plus year career. We know what we are doing."
The share could be attractive again, especially after the sell-off of the past weeks, which took the share from quotes above EUR 1.30 to around EUR 0.26. More lab results are expected to be announced in the coming weeks and months, and a drilling program is scheduled to start in the spring.
eBay: Auctions as a future opportunity?
While at Meta and Prospect Ridge the market's expectations are directed toward the future, it appears at first glance that eBay is still living in the past. But the Company has long been investing in new business areas and now also has its sights set on professional customers. The business with auctions of industrial machinery or trucks, in particular, could be promising and become an attractive niche. eBay may not have any lofty plans, but it does have a rock-solid business.
While Meta is the talk of the town with its "Metaverse," eBay is somewhat overshadowed by the new tech groups. But the auction house is also reporting figures today. If these turn out well, a promising investment perspective could emerge here. The same applies to Prospect Ridge Resources. The Company can come up with many figures in the coming months and has become significantly cheaper on the stock market. Those who want to bet anticyclically on precious metals can take a closer look at the value.
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.
Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and the like on news.financial. 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.