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October 6th, 2022 | 14:11 CEST

Where to bet on the comeback now? Amazon, Tocvan Ventures, BYD

  • Mining
  • Gold
  • Electromobility
Photo credits: pixabay.com

The major stock indices are currently in comeback mode. Commodities are also picking up again. There are many reasons for this: First, the markets have already anticipated much of the negative. At the same time, there are signs of hope. In Europe, for example, gas prices are falling, and meteorologists are predicting good conditions for a mild winter. Even if the forecasting power of meteorologists beyond the weekly horizon should not be overestimated, there is justified comeback potential on the market. We take a look at three stocks.

time to read: 3 minutes | Author: Nico Popp
ISIN: AMAZON.COM INC. DL-_01 | US0231351067 , TOCVAN VENTURES C | CA88900N1050 , BYD CO. LTD H YC 1 | CNE100000296

Table of contents:


    Justin Reid, President and CEO, Troilus Gold Corp.
    "[...] Troilus has the potential to be an entire gold belt. All of our work to date points to this, and each drill hole makes the picture we have of the Troilus project much clearer. [...]" Justin Reid, President and CEO, Troilus Gold Corp.

    Full interview

     

    Amazon: The world is not coming to an end

    Even Amazon buckled in 2022. The market assumed consumer spending restraint in the wake of inflation, recession and general uncertainty. Indeed, Amazon's numbers show a slowdown or two. But the skies around Amazon were not hanging full of violins before February 24, 2022, nor is there reason for resignation today. As so often, the truth lies in the middle. Even if people already prefer to spend the euro twice over, there are also low-priced products with which people can save. Strong brands can also create extra demand with the help of discounts. When brands are suddenly cheaper, people grab them anyway for psychological reasons. Since branded products shine with rich margins, there is definitely room for the odd discount battle on the consumer goods side. Although it is important that brands are not sold off, suppliers and retailers are likely to find ways and means of luring a euro or two out of people's pockets even in these times.

    The euro may be a little looser anyway in the wake of the gas price brake - after all, EUR 200 billion from the German government was supposed to alleviate the Germans' greatest need. It remains to be seen whether the measures taken by the German federal government will have an impact on Amazon or not. But the fact is that governments worldwide are thinking about interventions, and it is now common practice to support the economy in crises. Even without aid programs, Amazon is the global market leader with a unique market position. Investors can buy such stocks even after a quick look at the chart: Amazon's stock stabilized beyond the pandemic lows in the summer. The share remains an evergreen.

    Tocvan Ventures: Gold with a safety buffer?

    The team around Tocvan Ventures CEO Brodie Sutherland is still a long way from investors blindly buying the Tocvan Ventures share. On their way to success, the precious metal seekers are applying a principle that is also a recipe for success in the trade: Freely following the motto "In the purchase lies the profit", Tocvan Ventures is focusing on projects in Mexico. There, not only is it cheaper to go out to a restaurant or have a beer after work than in the United States, but also to explore for and extract raw materials. Both service providers around exploration and the heap leach process widely used in Mexico to extract precious metals are significantly cheaper than in the United States. "The bottom line is that our costs are about 25% lower than in other well-known mining regions. It has always been important for us to use our capital in a targeted manner and to exploit potential savings," Tocvan CEO Sutherland said in an interview a few weeks ago.

    Tocvan Ventures has the highly advanced Pilar project, on which around 20,000 meters have already been drilled, as well as El Picacho, which Sutherland considers to be about three to four years behind Pilar in terms of its development status, but which has already caused a stir on the market. The reason is the proximity of the El Picacho project to the San Francisco mine, which stands for several million ounces of gold. Since gold has also regained momentum during the general market recovery and precious metals often offer opportunities with a time lag in a crisis environment, investors may want to analyze Tocvan Ventures in more detail. A good starting point is an article about Tocvan Ventures from researchanalyst.com. There, the possibility of a cooperation with a larger company is also brought into play.

    BYD: No longer a junior partner

    A collaboration with big names is not a big surprise for BYD. It was different about a decade ago. Back then, the cooperation between BYD and Daimler was still causing a sensation. In the meantime, BYD has matured. It has been building its own cars for a long time and has its own chip production in addition to the battery division. Thanks to a platform approach, Western manufacturers should be able to simply buy the Chinese technology. BYD now has a solid market position, and investors should not be put off by Warren Buffet's selling of shares. If the market sees out 2022 on a friendly note, BYD's stock will be one of the crowd-pullers.


    While fortune seekers have already pounced on Amazon and BYD, Tocvan Ventures' stock is still trading near the lows. That is because the stock must be considered more speculative due to its stage. Conversely, Tocvan Ventures also stands for hidden value - there are precious metals in the ground in Mexico. If the key data are correct, a dynamic revaluation could occur. The detailed report from researchanalyst.com also offers such a perspective.


    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 hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.

    In addition, Apaton Finance GmbH is active in the context of the preparation and publication of the reporting in paid contractual relationships.

    For this reason, there is a concrete conflict of interest.

    The above information on existing conflicts of interest applies to all types and forms of publication used by Apaton Finance GmbH for publications on companies.

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    Der Autor

    Nico Popp

    At home in Southern Germany, the passionate stock exchange expert has been accompanying the capital markets for about twenty years. With a soft spot for smaller companies, he is constantly on the lookout for exciting investment stories.

    About the author



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