Coronation reigniting interest in SA’s beaten down platinum stocks

THE slower adoption of electric vehicles has reignited Cape Town fund Coronation’s interest in miners such as Impala Platinum and Northam Platinum, said Bloomberg News.Nicholas Hops who runs Coronation Resources Fund with Nicholas Stein told the newswire demand for metals such as platinum, rhodium and palladium, used in exhaust systems of internal-combustion engines, will remain robust.Shares in Impala and Northam have both rallied this year but they still offer value after years of decline, said Bloomberg News.EV sales are still rising globally, but the rate of growth is slowing as China’s economy continues to struggle, while the subsidies and tax breaks that helped drive sales are drying up in Europe and the US. Global passenger EV sales rose 24% in 2024, down from 33% the previous year and more than 100% in 2021, according to BloombergNEF.“We’re still heading toward battery electric vehicles being a dominant player in the global automotive market but perhaps the ramp up is a little bit longer that one might have once expected,” Hops told Bloomberg News. That’s “extending the useful lives of precious metal-containing vehicles,” he said.The firm has increased the weighting of Impala Platinum in its Resources Fund to 7.8% from zero, and raised Northam Platinum to 10.6% from 9.6%. Impala has gained 32% this year and Northam is up 25%. Still, both stocks remain well below their 2021 peaks.“The selloff in platinum equities over a two- to three-year period was so big, that we decided by the latter part of last year that the stocks started to offer a lot of value again,” Hops said.The post Coronation reigniting interest in SA’s beaten down platinum stocks appeared first on Miningmx.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com