Shares in this article
If the takeover succeeds, the number 3 and number 4 in the market for wafers, which represent the starting point for semiconductor production, would merge. This would ultimately put this branch even more in the hands of Asian manufacturers.
The third laughing would be specialty chemicals manufacturer WACKER CHEMIE. He currently still holds 31 percent of Siltronic and could take in almost 1.2 billion euros from the deal. An amount that Wacker Chemie could do a lot with. The company itself has positioned itself as a supplier in a number of exciting sectors, such as the solar industry, with correspondingly interesting growth prospects. Currently, it is certainly particularly “sexy”: An agreement has been reached with the vaccine manufacturer Moderna to produce their corona vaccine.
Wacker Chemie has had a negative impact on the corona pandemic in the current year. But from next year at the latest, one can hope for strong growth again. This could mean that the multi-million dollar depreciation from the previous year could finally recede into the background.
This mix opens up further recovery potential for the share with a short to medium-term price target of at least 130 euros, thus an opportunity of almost 20 percent.
Speculatively positioned investors could support this with a leverage product. We would recommend an Open End Turbo Call Warrant from DZ-Bank with a leverage of 4.9. Although after the takeover announcement the bill was already able to increase strongly, we would still see a potential of around 80 percent here if the recovery of the Wacker Chemie share continued and we would issue a price target of EUR 4.00. A stop loss of 1.40 euros should be used to protect against.
Underlying: Wacker Chemie
Produktgattung: Knock-Out Warrants
Issuer: DZ Bank
Duration: Open end
Knockout call rate (11/30/2020 2:14 p.m.): 2.18 euros
Base price variable: 86.5107 euros
Knock-out threshold: 86.5107 euros
Distance to knock-out: 19.7 percent
Stopp-Loss Call: 1,40 Euro
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Image sources: WACKER Chemie
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