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November 26th, 2020 | 12:40 CET

Plug Power, Saturn Oil & Gas, JinkoSolar - Leverage your depot!

  • Energy
Photo credits: pixabay.com

Successful tests and the imminent prospect of a vaccine against the coronavirus are causing the price of oil to explode. After the low in Brent oil in March at just under USD 18.00, the black gold more than doubled and is currently trading at USD 48.50. Even former pessimists such as the Bank of America see the price continuing to rise and forecast USD 60.00 per barrel by next summer. The easing of restrictions will lead to an increase in oil demand, according to the experts. Anyone who trades with leverage and wants to achieve disproportionate price gains should now look for promising oil producers.

time to read: 2 minutes | Author: Stefan Feulner
ISIN: CA80412L1076 , US72919P2020 , US47759T1007

Table of contents:


    It does not get cheaper

    Of course, the giants among the oil producers such as Exxon Mobil, Shell or BP immediately come to mind. It is not well known that these producers have production and production costs averaging more than USD 30.00 per barrel on the clock. The less well-known competitor Saturn Oil & Gas produces a barrel for no less than USD 12.00. This low production cost made the Company the cheapest oil producer in Canada in 2019. With a price target of USD 60.00 per barrel predicted by the Bank of America, the leverage mentioned above would come into play.

    Targets set

    A clear objective of the CEO of Saturn Oil & Gas, John Jeffrey, is healthy growth, especially inorganic growth. Following the oil crash in the spring of this year, the Canadians have unique opportunities to buy up weakening competitors. According to the management, this is significantly cheaper and more efficient than conducting their own drilling programs. In recent months, takeover candidates have been identified which have a good risk/reward profile. The latest personnel figures suggest that the team is working flat out on an acquisition. A positive surprise at the end of the year may be imminent.

    First-class conditions

    Jean Pierre Colin, one of the best-known minds in the Canadian natural resources industry, was hired as a senior strategy consultant. According to the top manager, "Saturn Oil & Gas represents a unique opportunity to build an oil and gas acquisition vehicle that can provide accretive growth and returns for its shareholders and other key stakeholders. (...)" Colin himself advised several senior politicians in the Canadian federal government during his career on five acquisitions by Petro-Canada of the country's largest oil and gas companies in the 1980s.

    Colin has also served on the boards of many successful natural resource companies, some of which have sold their projects to significant players for more than CAD 1 billion. Saturn Oil & Gas has thus done its homework. In the last few weeks, the share price has been boosted by increased volume and rising prices. The share is currently quoted at CAD 0.12. If a sustained breakout above the CAD 0.15 mark were to be achieved, the way towards a two-year high at CAD 0.30 would be clear.

    One billion for the Greens

    The incredible sum of one billion USD was collected by hydrogen specialist Plug Power in a capital increase. With the cash already available, the US-Americans' cash reserves now amount to USD 1.7 billion. Management intends to use the money to expand and accelerate its "green hydrogen strategy".

    Hydrogen plants under construction

    Plug Power recently announced its plans to build five local, environmentally friendly hydrogen plants in the United States. The Company will continue to work with strategic partners, including Apex Clean Energy and Brookfield Renewable, to source cost-effective renewable energy. The combination of low-cost renewable energy, a strong capital position and proprietary electrolyzer and liquefaction technology puts Plug Power in a unique position to build this green hydrogen network.

    Figures euphorically expected

    Towards the end of the month, JinkoSolar will release its third-quarter figures to the general public. In the run-up to the event, various analyst firms were already hammering out increasingly optimistic forecasts. While the forecasts for earnings per share were still at USD 0.42 a good three months ago, the average of the experts now expects a profit of USD 0.86. The analysts are optimistic about 2021 and 2022. With the Q2 figures, analysts predicted a net profit of USD 0.65 per share but a profit of USD 1.20 per share was ultimately generated, almost 100% above the forecasts.


    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 in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

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    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



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