Deutsche Rohstoff AG Updates Buy Recommendation with Lower Price Target

First Berlin Equity Research has released an update on Deutsche Rohstoff AG, maintaining a "Buy" rating while lowering the price target from €139 to €124. The adjustment follows DRAG's announcement of the sale of 9 million Almonty shares, which constituted a significant portion of their holdings.

This transaction resulted in a near €100 million gain for DRAG, with total proceeds estimated at €106 million. The company plans to reinvest in new wells, doubling the 2025 CAPEX to a range between €220 million and €230 million. EBITDA projections for 2026 have also increased to €290 million-€310 million.

The recalculated valuation considers the average sale price of USD13.50 for Almonty shares. Despite reducing the price target, the research estimates a 33% upside potential, sustaining their buy recommendation.