Value Creation Through Realignment: Why thyssenkrupp, Desert Gold, and Meta Are Now Fundamentally Attractive

thyssenkrupp: Spin-off of tk accelis

The Essen-based industrial conglomerate thyssenkrupp is currently undergoing its most profound transformation in decades. With the planned spin-off of the materials trading division tk accelis (formerly Materials Services) at the end of 2026, the group is taking its next radical step. Shareholders will vote on the transfer of 49% of the shares at an extraordinary general meeting on August 7. thyssenkrupp will retain 51%, similar to its approach with the marine division TKMS. For investors, this paints a picture of the former conglomerate transforming into a financial holding company with independent, capital-market-ready units.

The latest quarterly figures show both positives and negatives. Thanks to major orders at TKMS, order intake surged by 32% to EUR 10.6 billion. Adjusted EBIT improved to EUR 198 million, a significant jump from just EUR 19 million in the previous year. However, revenue fell slightly to EUR 8.4 billion, and the bottom line showed a net loss of EUR 11 million. The steel division and the automotive business, in particular, are holding the group back. The group lowered its revenue forecast for 2025/26 to a range of -3% to 0%. While the operational improvements driven by the APEX program are taking effect, free cash flow remained negative at minus EUR 327 million in the second quarter.

The holding company strategy is taking shape. Following Nucera and TKMS, tk accelis is now next in line with an estimated enterprise value of EUR 3.6 billion. The steel division remains the biggest source of uncertainty. Negotiations with Jindal have been put on hold, and the turnaround is proceeding under the company's own management. Yet this is precisely where the interesting opportunity for investors lies. With each spin-off, the remaining group becomes more transparent, and each segment can be valued independently. The record orders at TKMS totaling over EUR 20.6 billion and the upcoming decision on the Canadian submarine program, with a volume of up to EUR 37 billion, offer additional upside potential. The transformation is risky, but those who believe in the successful spin-off of the units could benefit from the gradual unlocking of value. The share is currently trading at around EUR 10.545.

Desert Gold: Production Lays the Groundwork for Further Growth

With approximately 1.22 million ounces of reported resources and drill results exceeding 16 g/t, Desert Gold has a first-class foundation in the Senegal-Mali Shear Zone. Its strategic location between the major mines of Barrick and Allied Gold reduces development costs and accelerates the path to production. A modular gravity processing plant with a daily capacity of 240 metric tonnes will begin operations in the coming weeks. The resulting cash flow will be systematically invested in further drilling campaigns with the goal of significantly increasing the existing resource. The company will then be able to finance the next phases of expansion with its own funds. This creates a self-sustaining cycle that makes the company independent of capital market fluctuations.

The preliminary feasibility study for the first mine phase supports this approach. With a capital investment of just over USD 20 million, the net present value amounts to USD 61 million at a gold price of USD 2,850, yielding an internal rate of return of 57%. The facility will initially mine oxides in an open-pit operation. In the second phase, an expansion to 1,200 metric tonnes per day is planned; later, a CIL circuit is expected to increase the recovery rate to over 80%. This gradual scaling minimizes technical risks, while ongoing production simultaneously funds exploration efforts. This is a pragmatic roadmap for sustainable growth.

As a second pillar, Desert Gold has the Tiegba Gold project in Côte d'Ivoire. Spanning 297 km², there is a 4.2 x 2.1 km ground anomaly identified by Newcrest Mining but never drilled. Initial exploratory drilling is planned for this year. A successful discovery would transform the company from a Mali-only player into a regional company with a significant diversification advantage. From an investor's perspective, Côte d'Ivoire is considered a more attractive jurisdiction. Success there could significantly raise the company's profile and substantially enhance its strategic value for potential acquisition scenarios. The share is currently trading at around CAD 0.125.

Meta: Radical U-Turn

Meta is undergoing a profound organizational realignment. The restructuring, initiated in May 2026, involves cutting 10% of the workforce—approximately 8,000 employees—and transferring 7,000 employees to newly created AI divisions, such as Applied AI Engineering (AAI) and the Agent Transformation Accelerator XFN (ATA). Hierarchies are being radically streamlined. The span of control now stands at up to 50 employees per manager, twice the industry standard. At the same time, billions are being poured into developing autonomous AI agents designed to replace human labour on a large scale.

First-quarter operating figures—with revenue of USD 56.3 billion and a 33% increase—demonstrate the strength of the advertising business. The forecast for the second quarter is more moderate, at USD 58–61 billion. At the same time, the massive increase in capital expenditure (Capex) targets—up to USD 145 billion—is weighing on the balance sheet. Reality Labs continues to post quarterly losses of USD 4 billion. To reduce its dependence on the advertising market, Meta is introducing subscription models for Facebook, WhatsApp, and Instagram. Added to this are regulatory hurdles in the EU and the surprising departure of AI executives, which are further complicating operations.

The long-term prospects for success depend crucially on monetizing the massive AI infrastructure. The AI model GEM, already rolled out, has been shown to improve targeting accuracy. Ad conversions on Instagram have risen by 5% since then. However, the announced Spark model, which is intended to amplify these effects in the future, has yet to materialize. According to industry analyses, Meta will overtake Google as the market leader in digital advertising for the first time this year. Furthermore, if the new subscription revenues and potential cloud services establish themselves as viable revenue streams, the current valuation of just under 18 times earnings would likely no longer be justified. Currently, one share costs around USD 577.22.

The stock market rewards companies that provide operational clarity. thyssenkrupp is driving forward its divestiture with the spin-off of tk accelis, thereby enabling a gradual, segment-specific unlocking of value. Desert Gold is taking the decisive step from explorer to gold producer and, with its modular facility, is creating a self-financing growth cycle. Meta is making a radical push toward efficiency and AI, but it has yet to turn its immense investments into sustainable profits. Investors who keep an eye on the respective milestones will find diverse yet fundamental opportunities in these three stocks.