Close menu




September 1st, 2022 | 14:05 CEST

New trending stock in the wings? Plug Power, Cardiol Therapeutics, BioNTech

  • Biotechnology
  • Cannabis
  • Hydrogen
Photo credits: pixabay.com

The markets want to go up! Last Friday, the Fed shock worried the markets, but today, even speculative stocks are picking up again. Especially stocks that were long considered deregistered can quickly develop potential. One example is Plug Power. Here, new demand in the wake of high energy prices meets good products. We explain the secret to the success of comeback stocks, using Plug Power as an example, and highlight new opportunities.

time to read: 4 minutes | Author: Nico Popp
ISIN: PLUG POWER INC. DL-_01 | US72919P2020 , CARDIOL THERAPEUTICS | CA14161Y2006 , BIONTECH SE SPON. ADRS 1 | US09075V1026

Table of contents:


    David Elsley, CEO, Cardiol Therapeutics Inc.
    "[...] As a company dedicated to developing treatments for rare heart diseases, we see this as an opportune moment to contribute to the fight against heart disease and make meaningful strides in improving heart health worldwide. [...]" David Elsley, CEO, Cardiol Therapeutics Inc.

    Full interview

     

    Plug Power and Hydrogen Shares: The deeper the fall, the better the comeback

    From EUR 12 to around EUR 30 within a few weeks? For shareholders of Plug Power, that has come true. The energy crisis has shown that alternative energy sources are urgently needed. Thanks to hydrogen, energy from renewable sources can be stored and used later. In addition, a large part of the infrastructure can remain in place in this way. For example, many utilities in Germany use gas-fired combined heat and power plants. These can be converted to hydrogen and thus become green. Existing vehicle fleets can also be converted thanks to innovative hydrogen technology - the shares of companies in this sector, such as dynaCERT and Clean Logistics, have recently risen sharply. Within one month by around 160% and 59% respectively.

    As a result, the two hydrogen stocks outperform Plug Power, which has "only" risen by around 38% in the same period. But what is the source of such short-term opportunities on the stock market? And where could the next rocket ignite? All the shares mentioned have hydrogen as a common theme - alternative energy sources are booming in the current situation. In addition, all three stocks were relatively unpopular just months ago. Especially with dynaCERT, investors had already lost all hope. The business model of Clean Logistics, the truck retrofitter from northern Germany, was also considered too daring by many investors at first glance. After all, there is competition in Germany from Daimler Trucks, among others. Yet the relative unpopularity and unfamiliarity of the latter two stocks a few months ago has only made their comeback more dramatic. When starting from a low level, stocks can continue to rise. Those who choose a stock early will benefit disproportionately once the mass of investors have rediscovered a value.

    Cardiol Therapeutics: Clinical trials of heart drug in a decisive phase

    One stock that has the potential to make a comeback is the biotech company Cardiol Therapeutics. The Company is currently in the midst of a Phase II clinical trial of its compound CardiolRx for acute myocarditis, or heart muscle inflammation. A few weeks ago, the Company announced that the first patient had been enrolled in the trial. Cardiol Therapeutics uses its cannabidiol-based compound to combat inflammatory processes that cause damage to the tissues of the heart. A 2016 study by WS Lee and others published in the journal of Molecular Medicine shows that this approach is scientifically sound. It is probably one of the reasons why Cardiol Therapeutics was able to attract the attention of many investors in the past. The share climbed to a peak of EUR 4.20 in Germany, successfully made the leap to the (bio-)tech mecca Nasdaq and collected a mid-double-digit million amount as part of a capital increase.

    But what secures the Company's progress in the long term disappointed above all short-term thinking shareholders - many investors gave up in exasperation in the past ten months. The performance of the Cardiol Therapeutics share is correspondingly "bombed out". Now that the Company has successfully concluded its Annual General Meeting in the summer and the clinical studies around CardiolRx are progressing, the coming weeks and months should also provide news flow again. Biotech stocks are known for high volatility. Examples from the past show that biotech companies quickly become the focus of pharmaceutical companies after their move to the Nasdaq, as soon as it becomes apparent that an active ingredient can become a blockbuster. Years ago, for example, the shares of GW Pharma rose tenfold within a very short time. Cardiol Therapeutics has been hovering just above EUR 1 for the past few months but has recently built up strength. Speculative investors should keep this stock in mind. On September 27, Cardiol CEO David Elsley will also present online at the International Investment Forum (IIF). Participation is free of charge.

    Fully financed and oversold - therefore better than BioNTech?

    Cardiol Therapeutics, which is still relatively unknown, is also suitable for investors who want to cover the Corona pandemic with their investment. Clinical trials are also taking place around the active ingredient CardiolRx to treat the consequences of Corona disease, which often affect the cardiovascular system. While Corona shares, like BioNTech, have consolidated in recent months but are still comparatively high in the markets' favor, the Nasdaq-listed Canadian biotech company has fallen out of focus with regard to Corona.


    In order to be able to take advantage of comeback opportunities on the market, investors should first focus on shares that currently attract little attention and are "out". Then, in addition to a good business model, all that is needed are potential catalysts for the share price. In the case of hydrogen stocks, the energy crisis is providing a tailwind. In the case of biotech stocks, it is typically positive study results or new areas of application for active ingredients. Disease outbreaks can also be grist to the mill for healthcare stocks. In the case of Cardiol Therapeutics, some conditions have already been met: The share is comparatively "out", and the product has potential. In addition, the Company has sufficient capital in its coffers and, with its Nasdaq listing, should already be in the focus of the industry. The ongoing clinical studies around CardiolRx, as well as the development of the pandemic, will ultimately have to show where the share is headed.


    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

    Nico Popp

    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.

    About the author



    Related comments:

    Commented by Fabian Lorenz on April 23rd, 2024 | 07:00 CEST

    TAKEOVER FEVER for biotech shares! Evotec, Bayer, Vidac Pharma - Who will follow Morphosys?

    • Biotechnology
    • Pharma
    • Innovations
    • Cancer

    There is takeover fever in the biotech sector. Genmab recently announced the acquisition of ProfoundBio, the US biotech company developing ovarian and endometrial cancer drugs, for USD 1.8 billion. With Morphosys, the takeover carousel is also turning in Germany. Who is the next candidate? Evotec is often mentioned. Due to unauthorized insider trading, the biotech company's shares have come under fire this year and offer an interesting entry opportunity. Vidac Pharma also impresses operationally. The Company's new approach has the potential to revolutionize cancer treatment. The study results of the past few months are very promising. Bayer shares surprised investors yesterday as one of the day's winners in the DAX. Is the Leverkusen-based company's stock about to take off?

    Read

    Commented by Juliane Zielonka on April 22nd, 2024 | 07:00 CEST

    Cardiol Therapeutics, Bayer AG, Fresenius - Who will be the trendsetter in tomorrow's healthcare market?

    • Biotechnology
    • Pharma
    • Healthcare

    The healthcare sector is a lucrative segment for risk-conscious investors. The global healthcare services market size is expected to achieve a compound annual growth rate (CAGR) of 8.96% linkedin.com/pulse/healthcare-services-market-size-share-2023-cmxbc by 2028. Understanding local healthcare needs is the basis for the growth of companies such as Cardiol Therapeutics, Bayer and Fresenius. Cardiol Therapeutics is a promising life sciences company researching several heart diseases with a focus on heart health and developing suitable medication. A disease such as heart failure (HF), for example, affects 26 million people worldwide and offers high scaling potential for the Canadian researchers and developers at Cardiol. Bayer also recognizes the market potential and would like to supply this target group with a gene therapy via Fast Track. Fresenius is familiar with market conditions due to expiring patent protection and is launching a lucrative biosimilar in the US. Which of these three companies will set the trend in the healthcare market of the future?

    Read

    Commented by Fabian Lorenz on April 16th, 2024 | 07:55 CEST

    Drumbeat at TUI! Caution with Renk and Nel! dynaCERT Stock with Potential!

    • Hydrogen
    • Travel
    • Defense
    • armaments

    A drumbeat is sounding at TUI! In an interview, the tourism group's CFO hints that shareholders can soon look forward to a dividend again. On the other hand, tensions in the Middle East are causing short-term uncertainty in tourism shares. Conversely, defense stocks are once again benefiting from the possibility of an escalation. However, analysts currently see little further potential for Renk. The retrofit kits from dynaCERT offer great potential for reducing emissions from diesel vehicles. If VERRA clears the way for CO2 certificates, the share could go through the roof. Is the Company preparing for this with a personnel change? In contrast, the Nel share seeks support, and tomorrow promises to be exciting.

    Read