08. June 2021 | 11:13 CET
TUI, TeamViewer, White Metal Resources - Is the breakout to the upside coming?
Calm is different! Actually, with volatility well below 20, there should be a noticeable calm in the market. However, this is not the case. There is high turnover in individual stocks and sectoral movements as not seen for 20 years. The reason for this is the number of active shareholders and market participants willing to trade since the many lockdowns. No longer under the supervision of the bosses, one or two trading platforms are simply running along at home. This increases the depth of trading and turnover on the stock exchanges - and 95% of all speculators are trading long. The percentage of shareholders is also growing steadily; in 2021, it could approach 10% in Germany. We look at stocks with breakout potential.
time to read: 4 minutes by André Will-Laudien
Born in Munich, he first studied economics and graduated in business administration at the Ludwig-Maximilians-University in 1995. As he was involved with the stock market at a very early stage, he now has more than 30 years of experience in the capital markets.
TUI - The digitization of offers
The TUI share is struggling to sustainably overcome the EUR 5 mark. Time and again, it bounces off and falls back. TUI is now positioning itself much more digitally in its offers in the wake of the booming travel business for the approaching summer. The tour operator recently signed an agreement for a new digital platform for multi-day travel. The new tool for "TUI Musement" comes from the Tours & Activities business unit and is being developed in partnership with Swiss Company Nezasa. Nezasa is setting out to take the travel industry into the next age technologically, and traditional group TUI should be a good customer in the process.
The growing global market for round-trip travel has annual sales of EUR 96 billion and has mainly been offline and highly fragmented. With the digital platform, TUI will drive the consolidation of the market. Both customers and partners will access TUI's travel modules for the digital production of personalized multi-day tours. The new feature is currently under development, with the first module scheduled for launch in the fourth quarter of 2021 and additional building blocks to follow in the first half of 2022. Although TUI's balance sheet is still weak, it is investing, which is good!
We are curious to see where the TUI share's journey will take it short term, as the upward momentum seems to be limping. A fall below the support at EUR 4.30 would be fatal. Stay invested, but set a tight stop.
TeamViewer - Price pause after the acquisition frenzy
The software provider TeamViewer profited from its digital job execution services in the last 15 months. The Goeppingen-based Company is best known for its remote maintenance software and video conferencing apps and struck a chord with customers in the first major lockdown. But now growth is faltering and costs are rising. CEO Oliver Steil had already made it clear with the forecast for the current year that the first half of the year would not look so rosy in a direct comparison of figures. The bookings of online meetings should have a growth of 20%, over the whole year one expects even 29-33%. That represents more of a normalization of the recent stormy times.
Then, of course, the current acquisitions have to be digested first. In 2020, the Company acquired the Bremen-based software specialists from Ubimax to strengthen its position in augmented reality software. For this area, the Goeppingen-based Company also bought the US company Upskill, the 3D visualizer Viscopic and the Austrian Xaleon, a specialist for software for online customer care.
The marketing budget for this year was increased to such an extent that TeamViewer had to lower its earnings forecast by around EUR 35 million in purely mathematical terms. And whether the lavish sponsorship deal with Manchester United will pay off, investors will probably not see for years. By 2023, TeamViewer has targeted growth in billings to around EUR 1 billion - more than double the figure for 2020. Above all, however, sports sponsorships should start to make themselves felt in new orders from 2025 onwards. Some director dealings are currently to be seen as buys but remain on hold until the price goes above EUR 32!
White Metal Resources - A promising mix of properties
Since the ECB's latest inflation announcement, undervalued gold and silver projects are coming back into closer focus. One of them is White Metal Resources Corp, a Canadian explorer with an exploration area untouched for 8 years. It is located approximately 40 km northwest of the port city of Thunder Bay, Ontario, and covers an area of roughly 1,968 hectares.
Initial vision 3D surveys have now been completed on the Tower Stock gold project. This area can be taken over and integrated by White Metal from the owner at a low cost. According to the Company, the property's geology is similar to Alamos Gold's Young Davidson Mine, which is one of Canada's largest underground mines. The surveys revealed several interesting anomalies, the most notable of which was traced in the newly discovered Ellen Zone area.
This anomaly has a broad, curved shape, extends for approximately 750 x 300 meters and appears to flank the western edge of the Tower Mountain intrusive complex. It can be traced north to the southwest end of the U-V Zone and includes the A Zone and Bench Zone to the south and east, respectively. The Ellen Zone appears to flank the western edge of the IP anomaly. Results from drill hole TM-21-94 and several gold-bearing surface samples suggest a direct correlation with gold mineralization.
In the other properties such as Vanguard East & West, 1.15% copper, 0.43 g/t gold and 5.03 g/t silver were detected over a distance of 12.2m. Another hole over 6m even came up with copper grades of 3%, 1.78 g/t gold and 17.95 g/t silver. With the Okohongo project in Namibia, silver and copper can also be hoped for, as proven in the past. Ongoing surveys have uncovered historic percussion drill holes, which have already reported 1.47% copper and 11.7 g/t silver over 27.0 meters. They are from the Epunguwe target area, located approximately 5 kilometers northwest of the northern end of the Okohongo copper-silver deposit in northwestern Namibia.
White Metal Resources will refinance itself extensively in the current year to flank the rising prices on the raw materials market with drilling results. The share still seems to be extremely undiscovered and, despite the many concessions, is only quoted at a market capitalization of around CAD 13 million. One should urgently build up an initial position.