Close menu




March 17th, 2021 | 07:30 CET

Royal Dutch Shell, Pollux Properties, Fresenius SE - Value stocks with some catching up to do!

  • RealEstate
Photo credits: pixabay.com

Last year's Corona shock initially sent almost all shares into a tailspin. While some were able to recover relatively quickly and in some cases started massive price rallies, so-called value stocks had a hard time. Now, the rotation towards value stocks has partially begun. In the following, we will show you 3 stocks where you can still make a bargain. Seize the opportunity!

time to read: 4 minutes | Author: Carsten Mainitz
ISIN: GB00B03MLX29 , SG1I77884290 , DE0005785604

Table of contents:


    ROYAL DUTCH SHELL PLC - Oil multinational in Joe Biden's Green New Deal jam

    There's no question about it: Corona has taken a heavy toll on the shares of oil multinational Royal Dutch Shell. For a long time, the Group's share price moved more or less in line with the Euro Stoxx 50. In February 2020, the stock quickly lost half its value and was hit much harder than the overall index. While the latter almost completely compensated for the loss, Royal Dutch Shell's price, currently around EUR 18, is still far from the pre-Corona value of just under EUR 27.

    There are certainly several reasons for this development. The abrupt suspension of the share buyback program and the first cut in the dividend by two-thirds since the end of the Second World War, which until then had been the unchallenged dividend king, probably upset many shareholders. Also, a change in political mood had already been emerging in the US since mid-2020. And then the likely winner of the presidential election, Joe Biden, made no secret of his plans: he promised his voters nothing less than a Green New Deal, climate neutrality by 2050. It seemed clear that the sums of the announced two-trillion-dollar aid package would not reach the oil producers. So instead, investors preferred to bet on green tech.

    But will this make oil companies obsolete overnight? There are still 30 years until 2050. In the meantime, oil demand will certainly not collapse immediately. And the companies will also be actively involved in e-fuels, i.e., synthetic, climate-neutral fuels. Reasons enough to use the current share price weakness for an analysis. The analysis shows that Royal Dutch Shell is currently very favorably valued with a price-to-sales ratio of 0.94. Like most analysts, we believe that Royal Dutch Shell is a good investment and we expect the share price to recover in the long term.

    POLLUX PROPERTIES LTD - The immortal twin defies the crisis

    Greek mythology is a treasure trove of the most incredible stories. The legend of Castor and Pollux, for example, is about an inseparable pair of twins with different fathers. One, Castor, mortal, the other, Pollux, immortal. After his cousin killed Castor in a quarrel, Pollux begged his father Zeus to share his immortality with Castor. Zeus was moved and granted the wish. But to achieve this, Pollux had to agree to spend one day each in Olympus and one day each in Hades with his brother, aging like a human and ultimately dying like a human. Let us hope that the real estate developer Pollux Properties from Singapore will be spared this fate for the foreseeable future.

    And despite the turmoil triggered by Corona in the Singaporean stock market, the Company has managed to hold its own. Since August 2020, the share price has been on an upward trend. Looking at the corporate structure and the key figures, it quickly becomes apparent that this is a solid company that is still valued far too low. The price-to-book ratio is only 0.48. Thanks to its three pillars of real estate development, management of its own real estate portfolio (around EUR 125 million in real estate value) and fund management (around EUR 6 million in assets under management), the Group has succeeded in increasing sales by around 6% year-on-year.

    To strengthen the financial power, the distribution of a dividend for 2020 was waived. The Company is currently sitting in a cash position to the equivalent of EUR 7.2 million. These are the best conditions to profit from the real estate boom in Singapore in post-Corona times (price increase approx. 13% p.a. over the last 5 years). Smart investors recognize that even a penny stock can be a valuable investment and buy accordingly at the current price level.

    FRESENIUS SE & CO KGAA - Is there light at the end of the tunnel?

    The global health care group comprises 4 business segments that operate independently in the market: Fresenius Medical Care, Fresenius Kabi, Fresenius Helios and Fresenius Vamed. The Group offers a wide range of products and services for dialysis, hospital and outpatient medical care. Other areas of activity include hospitals' operations and various services for hospitals and other health care facilities.

    Since the highs of around EUR 79 in the summer of 2017, the stock has fallen continuously to just around EUR 36 today. Before Corona, the share price had stabilized at around EUR 45. It seems that investors did not give the Company the necessary confidence to start an ad hoc share price recovery. The poor growth rates and the high level of debt have not necessarily helped to regain trust.

    However, the share price is so low that one should become alert from a value investor's perspective. The price-to-sales ratio is now only 0.55. The majority of analysts also believe that the current price is far too low and recommend buying. Insiders, by the way, seem to see it the same way: In any case, the number of insider dealings jumped after the Corona crash. Long-term investors should also jump on the bandwagon.


    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.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Carsten Mainitz

    The native Rhineland-Palatinate has been a passionate market participant for more than 25 years. After studying business administration in Mannheim, he worked as a journalist, in equity sales and many years in equity research.

    About the author



    Related comments:

    Commented by Armin Schulz on January 25th, 2023 | 13:48 CET

    Vonovia, Alpina Holdings, Commerzbank - Has the real estate market bottomed out?

    • Investments
    • RealEstate

    The past few years have been an El Dorado for the real estate sector. But since interest rates started rising, dark clouds have gathered over the real estate market. In addition, the sharp rise in construction costs and inflation are pulling money out of the pockets of interested real estate buyers and making them reluctant to make purchasing decisions. According to a study by EY Real Estate, the real estate investment market slumped by 40% in 2022. In 2023, transaction volumes could fall further. We take a look at three companies around the real estate sector and highlight the opportunities and risks.

    Read

    Commented by André Will-Laudien on December 29th, 2022 | 09:20 CET

    Top Asian Picks for 2023 in place of Tesla: Alibaba, Alpina Holdings, BYD, JinkoSolar: Invest in the best!

    • RealEstate
    • Investments
    • Asia
    • Electromobility

    The Asian tech giants have not yet been able to break away from their downward trend in 2022. After losing almost 50% in 2021, e-commerce giant Alibaba again lost more than 15% at the end of the year, while other stocks such as Baidu and Tencent also posted double-digit losses. In the US, the once so-popular stocks were quickly removed from the funds. Currently, only die-hard fans are likely still invested. Fortunately, the tense situation has calmed down somewhat in recent weeks, and even the Chinese regulator is gradually realizing that the heavy monitoring of the digital economy is slowing down the growth prospects of its own economy. Some analysts have already downgraded Chinese GDP growth by a full 1.5 percentage points from 2022 to 2025. However, Asia can still score points in an international comparison. Where are the opportunities?

    Read

    Commented by Armin Schulz on October 31st, 2022 | 12:25 CET

    Deutsche Bank, Globex Mining, Vonovia - Covering basic investments through shares with potential

    • Mining
    • Commodities
    • Investments
    • RealEstate

    The experts always advise diversification in one's portfolio. Add a few shares, some precious metals and real estate holdings, and the portfolio is well-positioned. Nowadays, owning real estate is not so easy with the high prices, and purchasing precious metals is subject to certain limits in Germany. It is therefore easier to map these basic investments via shares. To do this, investors need a securities account at a bank, and all options are open to them. Therefore, today we look at Deutsche Bank as an equity investment, Globex Mining for the precious metals or commodities sector and Vonovia as a real estate investment.

    Read