Close menu

September 1st, 2020 | 05:55 CEST

TUI, SolGold and Klöckner & Co - Rediscovery with early warning

  • Turnaround
Photo credits:

News makes share prices. All the more so when, after a long dry period, positive news heralds the turnaround of a company, share prices often shoot up within a very short time. Sometimes phases are also exciting when the market rediscovers companies that have been ignored for a long time or simply wrongly valued. And as the Berlin banker Carl Fürstenberg once said: "Unlike the streetcar, the stock market does not ring the bell to get in and out." We ring three times for you.

time to read: 2 minutes | Author: Mario Hose
ISIN: DE000TUAG000 , DE000KC01000 , GB00B0WD0R35

Table of contents:

    TUI AG - The start signal for share price recovery

    The Corona crisis has hit the travel group TUI hard. It is hardly surprising that the share has lost around 60% compared with the same period last year. There are now signs of a recovery. Within a week the share price increased by 10%, within a month it was 5%.

    The recovery is clearly linked to securing a sufficient financial cushion to survive the crisis. In mid-August, the company agreed with the German government on an additional stabilization package of EUR 1.2 billion. This package is linked to a number of conditions that must be met by September 30. KfW had already provided TUI with EUR 1.8 billion in April.

    Last week, the company published the announcement that it intended to increase its capital. The TUI boss confirmed this yesterday: "We have to do something about the balance sheet, let's take a look at it". With the corresponding news flow, the TUI share should now have found its bottom. The starting signal for a continuing recovery has been given.

    Klöckner & Co SE - The magic word is digitalization

    As expected, Klöckner & Co posted losses in the first half of the year. The share price has roughly doubled since the Corona lows and yesterday closed Xetra trading at EUR 5.15. The SDAX Group is one of the world's largest producer-independent steel and metal distributors and one of the leading steel service center companies.

    However, too many investors are still putting the stock in the wrong pigeonhole. Because as a pioneer of the digital transformation in the steel industry, the company is well on the way to digitalize the supply and service chains throughout and to develop the independent industry platform XOM Materials into the dominant vertical platform not only for the steel and metal industry but also for neighboring industries. The analysts of the Deutsche Bank formulate a price target of 6.70 EUR.

    SolGold - It is not only gold that shines

    SolGold is focused on the discovery and development of world class copper-gold projects in Ecuador. The company has been active in the country since 2012 and focuses on the Ecuadorian portion of the world's richest copper-gold belt, the Andean Copper Belt.

    SolGold's flagship project is Alpala in the north of the country (SolGold ownership 85%). Alpala has a resource of 21.7 million ounces of gold, 9.9 million tonnes of copper and 92.2 million ounces of silver. According to a recent study (PEA), the project (NPV) is valued at USD 4.4 billion, after capital development costs of USD 2.7 billion, an IRR of 25.9% and a payback period of 4 years. The mine life is projected to be 55 years. These already impressive figures are calculated on the basis of a gold price of USD 1,300.00 per ounce. However, the precious metal is currently trading 50% higher. Copper has also risen sharply in value in recent months. The industrial metal is predicted to have a rosy future in view of the strong demand from the electric mobility sector.

    SolGold is currently valued at around USD 650 million - in addition to Alpala, the company's assets include a further 13 projects. It is only a question of time when this valuation discrepancy will be resolved.

    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 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

    Mario Hose

    Born and raised in Hannover, Lower Saxony follows social and economic developments around the globe. As a passionate entrepreneur and columnist he explains and compares the most diverse business models as well as markets for interested stock traders.

    About the author

    Related comments:

    Commented by André Will-Laudien on December 15th, 2022 | 12:09 CET

    100% turnaround opportunities for 2023: TUI, Uniper, Desert Gold, FlatexDEGIRO - The New Year's Eve bangers!

    • Mining
    • Gold
    • Investments
    • Turnaround

    Despite all the gloom, the capital market offers plenty of new opportunities every day. Although the DAX is holding up well at the end of the year, many shares have crashed and remain at the bottom of the charts for the time being. But there are some glimmers of hope. Many investors sell poorly performing shares at the end of the year in order to benefit from the tax write-off of losses. The lucky investors even have a few profits to offset and like to smooth out the underperformers at year-end. Shares in Uniper, TUI and FlatexDEGIRO have slumped between 40% and 90% this year, but there are bright spots for 2023.


    Commented by Nico Popp on October 17th, 2022 | 12:21 CEST

    Defence Therapeutics, Commerzbank - Like BioNTech in March 2020?

    • Biotechnology
    • Turnaround

    After price shocks and recession fears, the pandemic has also been back in the public eye since last week. German Health Minister Karl Lauterbach presented the vaccination strategy for the fall - and warned of an autumn wave. On the markets, the pandemic should be over, with a few exceptions. But Corona and BioNTech are suitable blueprints for other companies. We explain where else a special boom could occur and where investors are better off being cautious.


    Commented by Fabian Lorenz on September 15th, 2022 | 11:23 CEST

    Nordex, Rheinmetall, Barsele Minerals: Turnaround potential!

    • Mining
    • Gold
    • Turnaround
    • Defense

    These three stocks have turnaround potential. Admittedly, investing is not easy in the current environment with inflation, rising interest rates and war in Ukraine. But challenging times offer great opportunities. Take Rheinmetall, for example: The stock has corrected by over 30%, yet the prospects are good and analysts also see a price potential of over 70%. Nordex has many problems of its own making, but here too, the industry environment is right, thanks to global investment packages for renewable energy. At Barsele Minerals, the gold price is a burden, but in the meantime, the market capitalization is well below the asset's value, and the recent capital increase was significantly oversubscribed.