Zinc boom, turnaround, and biotech growth: How to profit with Pasinex Resources, Puma, and Evotec

Pasinex Resources – Zinc gains luster

While critical raw materials dominate the headlines, another metal market has slipped into a fundamental supply crisis: zinc. Indispensable for steel protection in infrastructure and automobiles, the metal faces a double problem. Old mines around the world are nearing the end of their life, and new, high-quality discoveries are rare. This structural shortage forms the backdrop for Pasinex Resources. A key to success in this situation is the pure geological quality of the ore. Pasinex Resources operates in Turkey with deposits that have a zinc content of 30-50%. That is many times the global average. This extreme concentration is more than just a technical value; it is a fundamental economic factor.

It allows for a unique operating model. The high-grade ore can be shipped directly, bypassing expensive on-site processing facilities. This radically reduces operating costs and minimizes capital requirements. The resulting robust margin creates a self-sustaining cycle. The cash flow generated is not invested in expensive infrastructure, but can be reinvested directly in the expansion of existing mines and exploration. This operational leverage is a decisive competitive advantage in an industry characterized by cost pressure. Recent corporate developments underscore this path. Through the complete takeover of the key Pinargözü and Sarikaya projects, the company has gained full operational control.

At the same time, the balance sheet has been streamlined through a debt restructuring in which liabilities have been converted into equity. This step has increased financial flexibility. The team, whose interests are strongly aligned with those of the shareholders through their own shareholdings, has deep-rooted local knowledge. The strategy for the coming months is clear. The existing cash flow-generating production serves as a basis from which to invest aggressively in exploration and the expansion of new tunnels in order to increase reserves and production rates. In a market with tight supply, this model of high-quality assets, cost-efficient operations, and a clear scaling plan is a noteworthy approach. The stock is currently trading at CAD 0.115.

Puma – The long road back to strength

There is a lot at stake for shareholders of the sporting goods manufacturer. After a disappointing 2025, which was declared a profound reset, the company plans to get back on track under new CEO Arne Hoeld. The upcoming annual figures will show how much the corrective measures, from distribution adjustments to inventory reduction, have weighed on the balance sheet. But beyond the short-term pain, the group is pursuing a clear restructuring course aimed at long-term stabilization. The strategy is set, now it is all about implementation.

The operational turnaround is based on the pillars of strict discipline and clear focus. Hoeld has streamlined the organization, cut jobs, and concentrated the product portfolio on more profitable core categories such as soccer and running. At the same time, higher-margin direct sales are being expanded. Simultaneously, the company is investing in the brand emotionally recharge it. This combination of cost efficiency and increased brand awareness is intended to lay the foundation for a more profitable future.

A decisive vote of confidence came from outside the company. Chinese sporting goods giant Anta Sports is coming on board as a strategic anchor shareholder. This investment not only brings fresh capital into the coffers, but also opens up long-term opportunities in the Asia-Pacific market, which has been difficult for Puma. For investors who believe in a turnaround, the current, still moderate valuation offers an entry point. The road back is not a sprint, but the direction is right. The coming quarters must now prove that the operational strategy is working. The share is currently available for EUR 22.00.

Evotec navigates industry change like its biotech partner

The biotech industry is currently difficult terrain for investors. High interest rates and cautious investors are putting pressure on smaller players in particular. It is precisely in this environment that an established service provider such as Evotec could benefit. The Hamburg-based company offers research and development services to large pharmaceutical and biotech companies. Its model thrives on customers outsourcing the costs and risks of early drug development. Although current difficulties in the market for early research contracts are weighing on the figures, long-term trends such as the boom in biologics and the increasing use of AI in research are playing into Evotec's hands. The question is whether the company can use its strategic realignment to emerge stronger from the crisis.

The key to the turnaround lies in a clear focus. A key step was the sale of the biological production facility in Toulouse to its partner Sandoz. This transaction not only brings fresh cash into the coffers, but also marks the transition to an "asset-light" model. Instead of maintaining expensive production capacities, Evotec is now increasingly focusing on scalable technology platforms and high-quality partnerships. At the same time, a strict cost-cutting program is driving operational efficiency. The goal is to channel resources into profitable areas such as the biologics division and data-driven platforms.

However, long-term success depends on the pipeline and scientific expertise. Evotec offers a solid foundation in this regard. Over 100 drug programs developed jointly with partners, including several in clinical trials, offer significant potential for milestone payments. Partnerships with heavyweights such as Bristol Myers Squibb in protein degradation and funding from the Gates Foundation for AI-optimized antibodies validate the technology platforms. For investors who believe in the outsourcing model and the quality of the partnerships, the current phase could offer an opportunity, provided that management delivers proof of recurring profitability. The share price is currently trading at EUR 6.024.

The volatile environment offers specific opportunities for investors with a clear profile. Pasinex Resources scores with extremely high-grade zinc deposits that enable a unique, cost-effective operating model. Puma is undergoing a rigorous operational turnaround, supported by the entry of strategic anchor investor Anta Sports. Evotec is relying on its scalable platform model and partnerships to benefit from outsourcing trends in the tense biotech industry in the long term.