Close menu




December 13th, 2023 | 08:00 CET

Morphosys, Power Nickel, Nvidia - A pre-Christmas gift

  • Mining
  • Lithium
  • Biotechnology
  • chips
Photo credits: pixabay.com

The stock market year 2023 brought with it a lot of volatility and no let-up in both geopolitical and fiscal policy upheavals. Nevertheless, Germany's leading index, the DAX, broke through to a new all-time high, while the precious metal gold also shot up to its highest level ever. On Monday, shareholders of the biotech company Morphosys also experienced a pre-Christmas gift, with an impressive gain of 30% at the end of the trading day.

time to read: 3 minutes | Author: Stefan Feulner
ISIN: MORPHOSYS AG O.N. | DE0006632003 , Power Nickel Inc. | CA7393011092 , NVIDIA CORP. DL-_001 | US67066G1040

Table of contents:


    Morphosys AG - Surpasses annual high

    The ups and downs of the biotech company continue, but it seems that 2023 will be a profitable year for shareholders. Since the beginning of the year, the Morphosys share price has risen by over 150%. A new buy signal was generated on Monday when a high for the year was reached. Once this marked resistance at EUR 32.39 has been overcome, the next short-term target is close to the EUR 40 mark.

    The share price of the Martinsried-based company benefited from new results from the Phase III study with its key hopeful, pelabresib. These were presented at the annual conference of US hematologists. A combination of pelabresib and ruxolitinib, the current standard therapy for the rare, malignant bone marrow disease myelofibrosis, showed an improvement in all disease characteristics compared to a placebo combined with ruxolitinib, Morphosys announced on Monday.

    The announcement of the initial disappointing results of the cancer drug from the myelofibrosis study sent the share price tumbling to around EUR 14.50 in November. Following the presentation of the pelabresib study data, the US bank JP Morgan has maintained its "Overweight" rating on the share. The target price was also reiterated at EUR 31.

    Power Nickel - Step by step to the target

    Despite the continued weakness of the underlying commodity - the metal nickel has lost around 45% of its value since the beginning of the year alone - the performance of the Power Nickel share is clearly in the green at 25%. The reasons for this outperformance are complex. Firstly, the Canadians own 50% of the Nisk project in Quebec with an option to earn a further 30% upon submission of a NI 43-101 technical report. Power Nickel is focusing on expanding the historic high-grade nickel-copper platinum group metal mineralization with a series of drill programs aimed at testing the original Nisk discovery zone and extending the property to adjacent potential nickel deposits. The feasibility study is scheduled for the second quarter of next year.

    The Canadians have now published the NI 43-101 Mineral Resource Estimate, which includes a total of 5.43 million tons of Indicated Resources at a weighted average grade of 1.05% nickel equivalent and 1.79 million tons of Inferred Resources at a grade of 1.35% nickel equivalent, using a cut-off grade of 0.20% nickel equivalent within the open pit and 0.55% nickel equivalent for the underground workings.

    In addition to Nisk, Power Nickel owns further hard assets with larger properties in the Canadian province of British Colombia and in Chile. These are intended to be contributed to the Company Consolidated Gold and Copper Inc., and management plans to issue 25% of Consolidated shares to Power Nickel shareholders.

    Nividia - Was that it?

    Have the shares of the world's leading provider of AI computing seen their highs for an extended period? From a bearish perspective, a double high could have formed in the USD 502.66 area. In addition, the MACD and RSI indicators have already given sell signals. A gap the size of a barn door awaits on the downside, which would only be closed at USD 316.78. On the upside, this scenario would, of course, neutralize itself with the formation of new highs.

    One of the largest developers of graphics processors and chipsets for personal computers, servers and game consoles has cause for concern, and this arises from China. The dominance of US companies in AI-specialized chips is eroding in the Middle Kingdom due to the tightened US regulations on technology exports.

    As "Reuters" reports, companies like Huawei and Tencent are increasingly marketing their Chinese-made processors. Huawei, primarily known as a provider of telecommunications technology and smartphones and the subject of controversy in some Western countries, is a major competitor to NVIDIA's "A100" chip with its "Ascend AI 910B".

    This Company has already sold a large number of these chips to AI developers such as Baidu. With "Ernie", Baidu aims to develop a Chinese alternative to ChatGPT from OpenAI in the US. In contrast, Tencent presented its own chips "Zixiao v1" and "Zixiao v2Pro" as cheaper options to other NVIDIA products, mainly in the use of speech and image recognition and in the training of AI systems. However, Tencent emphasized that these chips are not for sale but are used exclusively in its own cloud service.


    Morphosys reached a new high for the year with the publication of new study results. Power Nickel published strong data on the occasion of the NI 43-101 mineral resource estimate, while Nvidia is feeling pressure from competitors in China.


    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 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.

    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

    Stefan Feulner

    The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
    He is passionate about analyzing a wide variety of business models and investigating new trends.

    About the author



    Related comments:

    Commented by André Will-Laudien on June 21st, 2024 | 07:00 CEST

    Biotech: What counts is selection! Bayer, Vidac Pharma, Formycon, and Evotec in focus

    • Biotechnology
    • Pharma
    • Biotech

    The biotech sector has so far been unable to keep pace with the high-tech-heavy NASDAQ. However, there are now signals from the central banks that a turnaround in interest rates is imminent. This is because, on the one hand, the US economy is weakening, and on the other hand, inflationary pressure appears to be easing. With lower interest rates, life science companies can refinance themselves more cheaply. Due to the different dynamics, it is now important to fish out the pearls. We select attractive entry levels.

    Read

    Commented by Juliane Zielonka on June 20th, 2024 | 06:30 CEST

    Apple, Kraken Energy, Palantir - Network effect for market expansion, who is ahead?

    • Mining
    • Uranium
    • Software
    • Technology

    Network effects play a decisive role for companies in securing and expanding market share. Apple is strengthening its consumer credit business through its partnership with Affirm. This will allow the Company to further expand its mobile payment solution in the US while it struggles with regulatory challenges in the EU. Kraken Energy is a US-based uranium exploration company strategically positioned in the global energy industry. With a focus on high-value projects such as the Apex Uranium Mine in Nevada, Kraken Energy is capitalizing on the increasing global demand for nuclear energy resources. Palantir, on the other hand, is actively expanding its business towards B2B customers, particularly through AI-driven data analysis. Which of the three companies is ahead in terms of network effects?

    Read

    Commented by André Will-Laudien on June 19th, 2024 | 07:15 CEST

    Opportunities upon opportunities: sell AI now! Nel ASA, Royal Helium, Plug Power, and BYD

    • Mining
    • Helium
    • renewableenergies
    • Electromobility

    19,887 is the new record high of the NASDAQ 100 index. Dream returns from Nvidia, Apple, and Microsoft could accelerate the stock market's growth into the summer once again. This could also make the second quarter of 2024 a good month for equities, as the saying "Sell in May and go Away" does not seem to apply this year. However, there are plenty of lagging stocks with great potential. They are currently on one side, as the attraction of the "Magnificent Seven" is too strong. We take the euphoria as an opportunity to take a closer look at a few promising stocks.

    Read