Close menu




March 8th, 2023 | 16:18 CET

Please turn on the power! Myriad Uranium, RWE, E.ON, Uniper, ThyssenKrupp - Renewable energy plus nuclear power is the green future!

  • Mining
  • Uranium
  • renewableenergies
  • nuclear
Photo credits: pixabay.com

Unfortunately, the green policy from Berlin and Brussels has not been thought through to the end. Because if mobility is to be converted entirely to electricity, it will require significantly more energy than is available today. Land consumption in Germany has increased dramatically as a result of alternative energy generation from wind and solar power. In the medium term, therefore, a further push for these energy sources will lead to a declining standard of living and less nature. Nuclear energy is a discontinued model - apparently only in Germany. It is a good thing that our neighbours France and the Czech Republic are happy to let us connect to their grids. However, this has its price and means the same risk profile for Germany as if the reactors were located here. Which stocks fit into the European energy landscape?

time to read: 4 minutes | Author: André Will-Laudien
ISIN: MYRIAD URANIUM CORP | CA62857Y1097 , RWE AG INH O.N. | DE0007037129 , E.ON SE NA O.N. | DE000ENAG999 , UNIPER SE NA O.N. | DE000UNSE018 , THYSSENKRUPP AG O.N. | DE0007500001

Table of contents:


    Myriad Uranium - Global boom in nuclear power

    Currently, 47 nuclear reactors in the Chinese pipeline are expected to come online within the next eight to ten years. In a global comparison, this puts Beijing at the top of the international planning list, followed by Russia and India. At last count, 4 nuclear power plants were under construction worldwide in 2020. In this country, electricity generation from renewables continues to increase yearly, while the electricity yield generated with the help of nuclear energy is approaching zero.

    The uranium market has been on the move again in recent months. Many shares made rapid price gains. Global Atomic has secured a giant project in Niger in Africa. The country is the world's sixth-largest uranium producer, with a 5-7% market share. Surrounded by politically unstable countries, Niger has a good jurisdiction. The French state-owned Areva has also been mining its required uranium there for years. Together with Global Uranium and GoviEx, it is located right next to the properties of a new explorer called Myriad Uranium. After lengthy political processes, the Company has secured a land package of more than 1,800 sq km and has already drilled 24,000 meters.

    Myriad is cooperating with Loxcroft Resources in the exploitation of the licenses in the Tim Mersoi Basin. The Company secured its concessions before Russia invaded Ukraine and is now a winner in the region. If exploration delivers the desired results in 2023, CEO Thomas Lamb will surely attract a major buyer because the uranium market has run dry. With a fully diluted 37.36 million shares, the Company is valued at only CAD 13.4 million. The stock is listed in Canada and Germany. Promising!

    At this year's INDABA Mining Conference in Cape Town, CEO Thomas Lamb presented his strategy in the uranium market to the International Investment Forum (IIF) (www.ii-forum.com):

    RWE - One of the largest suppliers of green energy

    Away from nuclear energy, the global expansion of alternative energy sources such as wind, solar and hydrogen is expected to grow exorbitantly in the coming years. With 120 years of successful history behind it, RWE has recently undergone a complete fundamental transformation and is now a leading provider of renewable energy worldwide. With wind farms, solar power and battery storage in many countries, the largest part of RWE's core business is now green power.

    The plan is to invest more than EUR 50 billion in renewables by the end of the decade, and the promising hydrogen technology will feature strongly in this. RWE has committed itself to climate neutrality by 2040 and wants to subject the principles of its business operations to strict sustainability. The Group recently announced the acquisition of JBM Solar, one of the UK's largest project developers in the field of solar and battery storage. The acquisition gives the Düsseldorf-based company access to a development pipeline with a total capacity of just over 6 gigawatts. The first solar and battery storage projects could come on stream as early as the end of 2024, and the Company also expects to commission around 450 megawatts per year. The stock trades at a 2023 P/E of 11.5 and pays out 2.5%. Refinitiv Eikon notes 21 analyst recommendations with a median 12-month price target of EUR 51.13.

    E.ON Manager becomes Uniper CEO

    E.ON's spin-off Uniper was nationalized at 98.9% in 2022. It is likely that the remaining free shareholders will soon be subject to a squeeze-out, and the stock will then be delisted entirely. Meanwhile, a successor has been found for outgoing CEO Klaus-Dieter Maubach. E.ON manager Michael Lewis will take over as CEO of the nationalized gas importer; the Supervisory Board decided on the appointment at an extraordinary meeting. The exact date he will take up his duties has yet to be determined.

    Following the near bankruptcy of Uniper, the gas supply situation in Germany has eased. Sharply increased gas imports from Norway, the Netherlands, and Belgium have almost compensated for the loss of Russian gas supplies since the end of August 2022. This is shown in an internal paper from the German Federal Network Agency. While E.ON's stock has still managed a 2% gain in 12 months, Uniper has gambled away its confidence among investors with an 83% loss. E.ON trades at a 2023 P/E of 11.7 and distributes a good 5% to its shareholders. The average price expectation of the 24 analysts at Refinitv Eikon is EUR 10.97, just above the currently traded price.

    ThyssenKrupp - Strategic wrangling

    The TKA share is currently performing very well on the stock market and has already gained 28% since the beginning of the year. Internally, sparks are flying as other strategic options are being examined alongside the planned IPO of the hydrogen subsidiary Nucera. The steel division is also reportedly being discussed, as concrete takeover bids have been received from abroad. CEO Merz wants a green ThyssenKrupp AG and is pushing for a spin-off of the problem area. We have already referred to the TKA share on several occasions. With a book value of currently just under EUR 23, the value of the stock market price should increase rapidly in the event of a spin-off. Highly interesting from a speculative point of view.


    Climate protection through CO2 avoidance depends on many components. Electricity demand will increase by a factor of 1.5 over the next 5 years due to the increase in prosperity in the emerging markets alone. RWE, E.ON and ThyssenKrupp are standard stocks with solution competence concerning energy generation. Myriad Uranium has the best chance of discovering a large deposit.


    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") currently hold or hold shares or other financial instruments of the aforementioned companies and speculate on their price developments. In this respect, they intend to sell or acquire shares or other financial instruments of the companies (hereinafter each referred to as a "Transaction"). Transactions may thereby influence the respective price of the shares or other financial instruments of the Company.
    In this respect, there is a concrete conflict of interest in the reporting on the companies.

    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 also 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

    André Will-Laudien

    Born in Munich, he first studied economics and graduated in business administration at the Ludwig-Maximilians-University in 1995. As he was involved with the stock market at a very early stage, he now has more than 30 years of experience in the capital markets.

    About the author



    Related comments:

    Commented by André Will-Laudien on March 28th, 2024 | 09:00 CET

    Attention: Uranium despite the energy transition! Does this fit together? Plug Power, Nel ASA, Kraken Energy and Renk Group in focus

    • Mining
    • Uranium
    • Energy
    • renewableenergies
    • nuclear

    It feels like a paradox. The EU aims to be largely climate-neutral by 2050. The main focus is on mobility, heat and energy generation. As a core country of the EU, Germany is taking the political lead in the necessary measures. While France, Poland, Finland and the Czech Republic are actively expanding nuclear energy, this form of energy is virtually taboo in many other countries. Germany has been able to increase its renewable energy sources to over 50% with billions in subsidies at the expense of the taxpayer and the price of energy. Yet, Berlin still has to buy cheap electricity from abroad and also use coal and gas to stabilize the grid. It all sounds kind of crazy, but it gets really interesting when the wind isn't blowing and the sun is only to be found behind the clouds. Which shares should be considered in this mixed situation?

    Read

    Commented by Juliane Zielonka on March 28th, 2024 | 08:50 CET

    Rheinmetall, Almonty Industries, Bayer AG - Arming up for defense with these stocks

    • Mining
    • Tungsten
    • armaments
    • Pharma

    The European Union is providing the defense group Rheinmetall with a total of EUR 130 million for ammunition production. The German company is one of six EU projects that are being funded in a special program to stockpile enough artillery pieces and secure supply chains. Here, Almonty Industries comes into play. Almonty specializes in the exploration, extraction and production of tungsten in two European countries, including Spain and Portugal. Tungsten is used in particular for ammunition. Almonty Industries also operates five mining projects, one of which is the largest tungsten project in South Korea. The increasing demand for the critical metal will soon cause the price of tungsten to skyrocket, as defense is becoming increasingly important for the countries and continents involved in the face of geopolitical tensions worldwide. Defense is also a topic at Bayer. The cancer drug Nubeqa supports the body's immune system in the fight against prostate cancer. Following the recent pipeline flop with Asundexian, the drug has great blockbuster potential and could bring billions of euros into the Company's coffers. Read more about why this is so important for Bayer at the moment.

    Read

    Commented by Fabian Lorenz on March 27th, 2024 | 08:45 CET

    Shares in Focus: TUI, Rheinmetall, and Defense Metals with good reasons for price increases

    • Mining
    • RareEarths
    • armaments
    • travel

    The TUI share was one of the top performers on the German stock market yesterday. The EUR 7 mark was exceeded, making things exciting on the chart. Analysts expect significantly higher prices for the tourism group. Rheinmetall shares are among the top performers of the year. An end to the price increase is not in sight. The armaments group has announced a new order worth billions. The manufacture of armaments, aircraft, cruise ships and numerous other high-tech products would not be possible without rare earths. However, most of these come from China and Russia. This makes the Defense Metals share interesting. The Company is making great strides with its rare earths project in Canada. The share should also benefit from this progress.

    Read