Power Shift in the US! Why Bayer Is Booming, TeamViewer Is Plunging and Almonty Industries Could Be on the Verge of a Major Rally!

Bayer: Pharmaceuticals division fires up the turbo and leaves legacy burdens (partly) behind

The Leverkusen-based company spent years under heavy stock market fire over litigation tied to the weedkiller that came with the Monsanto takeover, but now the DAX group is making a comeback with a genuine breakthrough. The long-awaited operational turning point in the pharmaceuticals segment is finally here. CEO Bill Anderson is driving the internal transformation forward with palpable determination and proving to market participants that the long-established company has far more substance than its share price has shown in recent years.

In the third quarter just ended, group revenue climbed 4.1% to EUR 10.05 billion, while adjusted EBITDA rose 6.9% to EUR 1.62 billion, exceeding average analyst estimates. The pharmaceuticals division drove this performance, with adjusted EBITDA surging almost 24% thanks to strong growth in the modern blockbusters Nubeqa and Kerendia. Although impairments and ongoing legal costs continue to weigh on unadjusted group earnings, operating profitability in the core business recently delivered a positive surprise. This prompted management to raise its full-year forecast for adjusted EBITDA to EUR 9.8 to 10.3 billion.

With an improved EBITDA margin of 25 to 27% in the pharmaceuticals division and falling net debt, the balance sheet is in a significantly stronger position than a few months ago. Despite technical hurdles – the price would need to make a sustained breakout above EUR 54 - and the still-simmering glyphosate issue, the share offers an exciting risk-reward profile at a price of around EUR 52.20 and a moderate valuation. Investors looking to buy in here could be rewarded, provided a sustainable turnaround succeeds. This could gain further momentum in the coming quarters through pharmaceutical successes and gradual legal relief.

TeamViewer: Share price shock and slashed outlook

TeamViewer was once a celebrated pandemic winner. The Göppingen-based remote support specialist is now battling significant headwinds and, after this week's heavy blow, has likely left shareholders deeply disappointed. A dramatic share price plunge of over 25% in just one trading day has wiped out months of hard-fought recovery attempts in one fell swoop. When even solid operating margins and the expansion of new niche products can no longer reassure investors, confidence is pretty much shot.

In the third quarter, revenue fell 3.9% to EUR 184.5 million, equivalent to a 2.2% decline at constant currency. Delayed contract signings with large corporate customers in the Enterprise division, in particular, along with a noticeable reluctance to invest in Europe, forced management to lower its forecast. Instead of the slight growth previously targeted, the group now expects a full-year revenue decline at constant currency of 1% to 2% against the pro forma figure. Although the company is maintaining its adjusted EBITDA margin of around 43%, the loss of growth momentum is prompting shareholders to flee the stock, as is immediately apparent from the share price.

Following its sharp plunge to around EUR 5.20, the share is badly damaged from a technical perspective and now risks entering a new downward spiral. Without a swift and reliable return to solid growth rates in the Enterprise business, the share remains a high-risk bet for speculative market participants for now. For investors, this likely means staying on the sidelines until management provides concrete proof that the postponed major orders can be secured in the near term. Buying now could be the proverbial "catching a falling knife".

Almonty Industries: Historic mine launch and poised for the next rebound

Amid the shadow of wars and commodity crises, Almonty is currently making genuine industrial history on a global scale. After more than three decades of silence, high-grade tungsten is finally flowing again from Sangdong in South Korea, helping to meet the urgent needs of Western supply chains. Through his unwavering entrepreneurial discipline, CEO Lewis Black is demonstrating that building independent supply chains for high-tech industries and strengthening defence readiness are no longer distant aspirations, but a clear reality.

Almonty Industries shares are currently in a sharp, nerve-racking consolidation phase for existing shareholders, following a strong rally that took the stock from just under USD 11.00 to an interim high of around USD 19.50. Although the share price has continued to decline since the sharp pullback began in September, the correction could lose momentum in the coming days, as substantial horizontal support sits around USD 8.00. The operational foundation is relatively solid, supported by the successful start of commercial operations at Sangdong, long-term offtake agreements and robust project safeguards. The shares are currently trading around USD 8.70 and are awaiting a decisive catalyst to trigger a reversal.

A technical rebound could now give the share fresh momentum and take it straight to the open gap at around USD 12.90 as its first important target. If a sustained upward breakout succeeds there, the price could move fairly quickly towards USD 15.00 to 16.00, while the broader chart picture even points to potential upside to USD 19.00 or 20.00.

Almonty Industries has become a little more attractive in valuation terms even after the decline, or precisely because of it. The company is now, more than ever, an exciting, strategically well-positioned commodities play. Overall, it appears well placed and now also offers the attraction of a technical rebound.

Conclusion

Bayer impresses with raised targets following operational progress in its pharmaceutical segment and may be on the verge of a sustained turnaround. TeamViewer, meanwhile, first needs to find a floor after significant forecast cuts and disappointing major customer deals. Almonty Industries presents itself as a strategically important, or rather indispensable, tungsten specialist in a currently lucrative consolidation phase with rebound potential.