Close menu




June 24th, 2024 | 11:15 CEST

Plug Power, Carbon Done Right, Evotec - Turnaround after the price slump

  • Sustainability
  • CarbonCredits
  • renewableenergies
  • Biotechnology
Photo credits: pixabay.com

After the price surges in recent weeks, there were initial signs of a temporary top formation in the major US indices, including the Dow Jones, S&P 500, and the tech-heavy Nasdaq. It is hardly surprising, given that these indices have been in overbought territory since the upward trend that began in November. Once again, it is crucial for investors to pick the winners of the coming weeks despite a possible correction.

time to read: 3 minutes | Author: Stefan Feulner
ISIN: PLUG POWER INC. DL-_01 | US72919P2020 , CARBON DONE RIGHT DEVELOPMENTS INC | CA14109M1023 , EVOTEC SE INH O.N. | DE0005664809

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

     

    Evotec - Parallels to Morphosys

    Will the pharmaceutical drug discovery company Evotec also have a happy ending? After the Evotec share has been on a downward spiral since the beginning of the year and lost over 65% to EUR 7.21, there was a glimmer of hope last week. The reasons for a weekly increase of almost 20% were speculation about a takeover of the Hamburg-based company.

    The news magazine Bloomberg reported that Evotec had hired advisors to defend itself against a possible takeover attempt. According to insiders who wish to remain anonymous, several interested parties are showing takeover intentions and have brought in advisors to evaluate Evotec's company and its drug pipeline.

    However, no concrete offers or negotiations have been initiated to date. Sources familiar with the matter told Bloomberg that it could be months before a concrete takeover offer is made. This is also influenced by the fact that the new CEO, Christian Wojczweski, first wants to gain his own overview of the situation of the ailing drug researcher.

    Curiously, at the beginning of the week, a study by the relatively unknown analyst firm Intron Health recommended selling Evotec shares with a target price of EUR 7.

    Carbon Done Right Developments - Heading to London

    Carbon Done Right Developments is a hot turnaround candidate. According to the Boston Consulting Group, the market in which the Canadian company operates, namely trading in emissions certificates, is set to grow more than eightfold by 2030. The Canadians use venture capital under various agreements with large landowners and governments to restore land and marine systems that are to be protected or restored to fully productive ecosystems.

    The innovative pure player uses artificial intelligence and data analysis to verify the accuracy of carbon sequestration from the tree level to the continental level.

    The experienced team led by CEO James Tansey, who has access to important target areas thanks to his long-standing relationships in the mining and raw materials sector, operates projects in Ghana, Suriname, Mexico, and Sierra Leone. At the latter, Carbon Rights has received its fourth payout under a pre-purchase agreement with a Fortune 500 company. This project, in particular, could mutate into a real cash cow and has an initial area of 5,000 ha, on which up to 1.9 million tons of validated and verified Verra emission credits can be generated over a period of 30 years. In addition, this is to be successively expanded to 20,000 ha.

    The Company, valued at just CAD 5 million, could receive a boost in valuation. It aims to list on the Alternative Investment Market of the London Stock Exchange (AIM) at the end of June, which could generate significantly more investor interest.

    Plug Power - Little reaction

    In recent years, the community had high hopes for fuel cell pioneer Plug Power. However, these hopes were abruptly dashed with project postponements and full-bodied forecasts that were subsequently missed. Plug Power, led by its dynamic CEO Andy Marsh, is in financial difficulties and is dependent on billions in loans from the US Department of Energy.

    For this reason, the share price has been pointing in the same direction for months and, at USD 2.41, is once again at its low for the year of USD 2.26. Another unsuccessful test will likely result in another sell-off for investors, which would result in a move to the support levels from 2018 at USD 2.

    The thesis that Plug Power has lost confidence is demonstrated by the fact that the downward trend continued after the announcement of a significant order last week. Plug Power announced an order from a European customer to deliver PEM electrolysis systems with a capacity of 25 megawatts. A total of 5 electrolysers with an output of 5 megawatts each are to be used in one container.

    "The selection of Plug's technology for this project is a clear example of our established industry expertise and proven technology", says CEO Andy Marsh. However, whether he can encourage investors to buy again is becoming increasingly unlikely.


    After the fall in the share price, the biotech company Evotec was able to make strong gains on the back of takeover rumours. In contrast, Plug Power's announcement of a major order made no impact. Carbon Done Right is making the leap to AIM, which will likely generate increased investor interest.


    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 July 19th, 2024 | 07:15 CEST

    Top energy transition shares: 100% returns through CO2 reduction! Nel ASA, Plug Power, Carbon Done Right, and dynaCERT

    • Hydrogen
    • CarbonCredits
    • Sustainability
    • renewableenergies

    Heat records, floods, and energy shortages! This summer, all climate change issues are on the table. Since the nuclear power plants were shut down, Germany has lacked a reliable base load power supply. Pronounced grid weaknesses are increasing, with no improvement in sight. Economics Minister Habeck wants to build gas-fired power plants as quickly as possible, which can later be operated with hydrogen. Nice idea! Meanwhile, Berlin's economic experts are buying French nuclear power to fill existing gaps. Nobody can scientifically prove the difference in climate technology between here and there, but German consumers are happy to pay for this nonsense through their electricity bills. This is how EU energy policy works. Since expenses are continuously rising, we focus on increasing revenue streams. Here are some ideas for your energy portfolio.

    Read

    Commented by André Will-Laudien on July 17th, 2024 | 09:00 CEST

    Elon Musk finances Donald Trump - Now a strategic move with Rheinmetall, Aixtron, Almonty Industries, and Varta

    • Mining
    • Tungsten
    • renewableenergies
    • Defense
    • hightech

    An assassination attempt with consequences. Tech billionaire Elon Musk has expressed his deepest solidarity with presidential candidate Trump following the assassination attempt. The Tesla CEO will henceforth financially support the Republican presidential candidate's campaign massively. Musk intends to provide around USD 45 million per month, as reported by the Wall Street Journal. The latest election polls now put the Republican clearly ahead of Biden. This could lead to a strongly US-oriented policy in the spirit of "America First". Above all, Trump aims to halt immigration, invest in the ailing infrastructure, massively arm the national security, and revitalize "Old America". Everything suggests that the blockbuster sectors of high-tech and armaments will continue thriving for now. The focus is clearly on strategic raw materials due to the efforts to reduce foreign dependencies. Where are the opportunities for shareholders?

    Read

    Commented by Armin Schulz on July 17th, 2024 | 07:45 CEST

    Nel ASA, dynaCERT, Plug Power - Hydrogen: Multiplier or downfall?

    • Hydrogen
    • greenhydrogen
    • renewableenergies
    • Electromobility

    Hydrogen technology could not only revolutionize the future of energy but also offer significant opportunities for investors. Hydrogen stocks are currently in the spotlight and promise potentially high returns. Companies specializing in the production, storage, and distribution of hydrogen could be among the big winners of the energy transition. Many of these companies are still in the early stages of development, which means high growth opportunities but also entails corresponding risks. The question is: Can you get multipliers in your portfolio with hydrogen companies, or is there a risk of total loss? We look at three companies aiming to make money with hydrogen.

    Read