09. June 2021 | 08:56 CET
Plug Power, NewPeak Metals, Xpeng - Turbo stocks for your portfolio
Stock market stars of 2020, the shares of companies in the hydrogen, electromobility and fuel cell technology sectors, recovered after heavy losses in the first quarter and are currently on the verge of further price gains. Future prospects for these sectors remain intact. Due to the demand resulting from the energy transition, investors are also focusing on the necessary raw materials. In this context, the shift to a low-carbon economy is only at the beginning of a major upheaval.
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ISIN: US72919P2020 , AU0000104374 , US98422D1054
"[...] China's dominance is one of the reasons why we are so heavily involved in the tungsten market. Here, around 85% of production is in Chinese hands. [...]" Dr. Thomas Gutschlag, CEO, Deutsche Rohstoff AG
NewPeak Metals - Flexible in all areas
By investing in the Australian mining Company NewPeak Metals, investors can benefit in many ways through broad diversification. The experienced management team around CEO David Mason, former SolGold CEO Nick Mather and Neil Stuart, formerly with Cerro Negro and Orocobre, is focused on exploring promising gold deposits. In addition, the Company is developing projects suspected of containing strategic industrial metals. The country allocation of mining regions is global. With projects in Argentina, Finland, Sweden and New Zealand, management has access to a well-diversified portfolio of properties. Flexibility through year-round work in various properties around the globe and a continuous news flow is NewPeak Resources' strategy.
Drilling planned for this year at the Cap Burn Gold Project located in New Zealand has already been completed. Results are expected to be released in July at the latest. Drilling at Argentina's Las Openas Gold Project is scheduled to start at the end of the second quarter. At Cachi, the second Argentine property, drilling to date has discovered a mineralized precious metal system approximately 10 km in length, which will lead to further follow-up drilling.
In the summer of 2021, the next drilling is scheduled at the two Finnish gold projects Hopeavuori and Satulinmäki. At the 11,012-hectare Bergslagen tungsten project in Sweden, the strategic metals tin, molybdenum, copper, tungsten and silver were discovered in addition to promising gold deposits. Historical data around the project is currently being compiled here, and an exploration approach is being developed. An exploration program is planned here for the fall.
The Australians have a more than valuable hidden reserve in their portfolio in the oil and gas sector. Through the sale of a property to Lakes Blue Energy, they received a 30% stake in the ASX-listed company. The share is currently suspended from trading and had a market value of AUD 45 million before the suspension. On June 30, a moratorium imposed by the government of the Australian state of Victoria on onshore exploration for oil and gas will end. With assets according to the preliminary fiscal year balance sheet of AUD 15.6 million, NewPeak Metals' market capitalization would be covered by this business alone.
Based on the management experience and the promising approach, the shares of NewPeak Metals offer great potential. However, the projects are at the beginning of their development. Therefore, the stock is suitable purely for speculative investors. Limiting should not be forgotten due to the tightness of the market.
After turbulent weeks, the situation of the hydrogen company Plug Power continues to ease. The Americans had come into the firing line of the authorities because of balance irregularities. In the meantime, the adjustment of the financial statements has been completed. The positive effect was that the corrections did not influence the enterprise's liquidity situation and profitability. The easing rally pushed the share price, which was quoted at a low of EUR 14.27, into the area at EUR 28. The next resistance area is at EUR 30.
Fundamentally, things are also going well for the US Company. The world market leader for turnkey hydrogen solutions is founding a joint venture with none other than the French carmaker Renault, which will operate under the name Hyvia. The 50:50 partnership is intended to break new ground in the direction of low-carbon mobility. According to Renault's press office, Hyvia will be responsible for "the development and deployment of turnkey hydrogen mobility solutions in terms of a complete ecosystem." The main focus will be on light commercial vehicles powered by fuel cells, charging stations and the supply of renewably produced hydrogen. In addition, the maintenance and management of vehicle fleets will be made possible.
BYD and XPeng strong
Investors are following the monthly sales figures of the Chinese electric car manufacturers with great excitement. Here, the Company BYD, which Warren Buffett backs, was able to shine once again. A total of 46,295 units were sold, which is even more than the 45,234 vehicles sold in the previous month. In May 2020, the figure was just 31,821 vehicles. In the NEV segment, which includes hybrid and pure electric cars, a total of 32,800 vehicles were sold in May 2021, a significant increase compared to April with 25,662 units. Compared to the previous year, this means an increase in sales of almost 145%.
While industry competitor NIO, which experienced delays in its production and delivery schedule due to the chip shortage, recorded a 6% decline compared to the previous month, XPeng Motors continued to show an increase in deliveries in May. A total of 5,686 smart e-cars were sold. Compared to the previous year, this corresponds to an increase of 483%, compared to the previous month, an increase of 10%. The sound barrier of a total of 50,000 smart EVs delivered was reached as early as March 2021, launching sales of the P7 Wing Edition unveiled in November last year.
XPeng has also launched the lithium iron phosphate-powered G3 SUV and the P7 sedan in China. XPeng's stock is on the verge of generating a buy signal after a correction that was completed by forming a double bottom in mid-May. A breach of the USD 39.40 mark could lift the value to the USD 50 range.