Small Cap Lunch Wrap: The ASX… it’s as green and empty as a jungle in there

Estimated read time 8 min read

Welcome to a quiet Friday at lunch on the ASX.

Just as Guns’n Roses fromtman Axel Rose suggested…

Oh my god
Jump
Welcome to the jungle, we’ve got fun and games
We got everything you want honey, we know the names
We are the people that can find whatever you may need
If you got the money, honey, we got your disease
In the jungle, welcome to the jungle etc etc.

…At lunchtime in Sydney on Friday Nov. 24, the S&P/ASX 200 index was ahead by 24 points or  +0.34% to 7053.

Via Google

Before we go on, let’s give you a quick recap over the last weird few days…

Firstly, markets everywhere have been anaemic because these last few sessions as the Americans began thinking about the Thanksgiving holiday they’re on and that other rip-roaring equity market in Tokyo was thinner than a whisper this week while they take a break as well.

The Americans will be back for a wasteful morning session our time tonight, while in Japan – having celebrated Labour Thanksgiving Day on Thursday – they’re already back at it, though the TPOIX and Nikkei are both circa -0.8% on Friday morning.

If you really want to know, American Thanksgiving and Japanese Thanksgiving are totally unrelated, though both holidays are all about giving thanks.

In Japan the thanks is actually real – you go thank all the hardworking people around you.

Japanese kids take off to places like police stations, hospitals, and fire stations, handing out thank you cards, hand-drawn thingys, or small gifts to show appreciation for their services.

In America, they eat turkey, watch football and throw parties, thanking god for turkey, football and parties.

Local markets are making up ground on Friday, after strung out traders on the ASX got crunched on Thursday, thanks to a hawkish tilt from the RBA boss and around the region equities were mixed.

Low volumes abound as the Utilities and Energy Sector are leading the way – up 1.7% and 1.3% respectively.

Healthcare gains have been less pronounced – mainly because it’s not always good for the sector when Novo Nordisk makes big gains as they did overnight – announcing a $US2.3 billion ($3.5 billion) investment to boost production of its insanely successful weight-loss and diabetes drugs.
 

ASX SECTORS ON FRIDAY

Via MarketIndex

Heaps of company news driving markets today:

Healius (ASX:HLS) is trouncing it on Friday.

Virgin Money UK (ASX:VUK) is not – it’s down more than 6%.

Large cap coal digger Whitehaven (ASX:WHC) is ahead by circa +2% after getting the nod for its prospective Winchester South metallurgical coal project  from the Queensland regulators.

Origin Energy (ASX:ORG) is up 2.5% and leading the utility sector rebound.

The takeover target is attracting even more attention now its major shareholder AustralianSuper blasted  takeover ringleader Brookfield to “buy more time” on its low ball ($18.7bn) bid.

EV Resources (ASX:EVR) presented at the ‘Hidden Gems’ webinar, explaining why copper deficits are looming, and why the lack of new projects is pushing market into a supply deficit. The company also explained why Peru is a Tier 1 copper jurisdiction, and that EVR’s projects in the country (Don Enrique and Parag) will have drill results in the coming months.

Booktopia Group (ASX:BKG) is having its AGM and chairman Peter George says it is Q@ crunchtime for the online retailer which has faced numerous challenges so far in CY23.

George told shareholders the second quarter is traditionally Booktopia’s big sales blast –  they have Cyber Weekend kicking off today with Black Friday sales and then straight on till Christmas.

“As such, while we’re in the midst of this critical time, it is too early for us to form a view on whether this downturn in the first quarter can or cannot be recovered over the course of the year through the various revenue and cost initiatives being undertaken.”

Spirit Technology (ASX:ST1) has secured a new agreement with Cisco for its Webex Wholesale offering. The new agreement extends the market growth achieved with the Cisco cloud communication platform. Spirit will also launch a new Dealer Program with Cisco to resell advanced cloud communication solutions for smaller managed service providers.

ST1 says the new Cisco Webex agreement follows a significant collaboration secured in July last year in which Spirit subsidiary Nexgen became the first business in the Asia Pacific, Japan and China (APJC) region to launch Cisco’s Webex Cloud Wholesale offering, a substantial range of services designed specifically for the small-to-medium business market.

The agreement expands Spirit’s product offering and capability to bring new services to market in an accelerated fashion, the company told the ASX.

In addition, it provides an opportunity to rapidly scale up the Nexgen business and lock in its growth.

Look out – temporarily back in the money was Star Entertainment Group (ASX:SGR) – but stand down because the stock is trading back in the red at the time of writiong.

This morning, the troubled casino operator’s boss, chief executive Robbie Cook revealed Star had won a slight reprieve ahead of its peak trading period with the looming licence suspensions on its The Star Gold Coast and Treasury Brisbane casinos pushed from December 1 this year to May 31 next year, with the Queensland government green lighting the remediation plan.

The deal simply buys Star more time to sort the dramas which led to its public downfall and a $100m fine last December.

And local goldie Kingsgate (ASX:KCN)says that its wholly owned subsidiary, Akara, has found more significant gold intercepts in an area approximately 20km south of the Chatree Gold Mine in Thailand.

RC drilling returned intercepts, including:

• 7723RC: [email protected]/t Au from 61m to 70m
• 7725RC: [email protected]/t Au from 180m to 198m, [email protected]/t Au from 212m to 216m and [email protected]/t Au from 228m to 236m
• 7727RC: [email protected]/t Au from 206m to 209m
• 7728RC: [email protected]/t Au from 77m to 79m [email protected]/t Au from 112m to 132m including [email protected]/t Au from 126m to 130m

 

ASX SMALL CAP WINNERS

Here are the best performing ASX small cap stocks for 24 November [intraday]:

Swipe or scroll to reveal full table. Click headings to sort:

Code Company Price % Volume Market Cap SHN Sunshine Metals Ltd 0.022 100% 77,743,363 $13,464,093 BP8 BPH Global Ltd 0.0015 50% 215,666 $1,615,563 GTG Genetic Technologies 0.003 50% 200,000 $23,083,316 RGL Riversgold 0.016 45% 41,782,590 $10,463,876 AVM Advance Metals Ltd 0.004 33% 1,590,000 $2,167,040 ATH Alterity Therapeutics 0.005 25% 366,784 $9,759,590 ME1 Melodiol Global Health 0.0025 25% 5,153,469 $8,436,084 TG1 Techgen Metals Ltd 0.1 20% 2,540,186 $6,404,967 PHO Phosco Ltd 0.06 20% 30,000 $13,720,668 SKN Skin Elements Ltd 0.006 20% 300,000 $2,947,430 AHK Ark Mines Limited 0.25 19% 1,594,618 $9,480,399 AGH Althea Group 0.039 18% 640,578 $13,069,450 CGO CPT Global Limited 0.135 17% 23,109 $4,818,197 MEM Memphasys Ltd 0.014 17% 788,094 $11,514,245 TAS Tasman Resources Ltd 0.007 17% 14,829 $4,276,016 VRC Volt Resources Ltd 0.007 17% 100,000 $24,780,640 VEE Veem Ltd 0.9 15% 201,196 $106,539,770 NET Netlinkz Limited 0.008 14% 698,482 $25,322,699 NNG Nexion Group 0.016 14% 500,000 $2,832,310 NTM Nt Minerals Limited 0.008 14% 614 $6,019,320 PXX Polarx Limited 0.008 14% 3,704 $10,917,317 RRR Revolver Resources 0.12 14% 99,316 $27,260,548 AUN Aurumin 0.024 14% 461,188 $6,687,305 FRE Firebrick Pharma 0.065 14% 350,664 $6,470,309

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Huge excitement for Riversgold (ASX:RGL) investors – the stock is racing into top spot on Friday’s small cap  greatest hits list after snapping up a key 74 sq km tenement application directly along strike – just 8km northeast of the major Andover lithium (spodumene) pegmatite discovery of Azure Minerals (ASX:AZS).

That’s the spot in the lithium-famous Andover Corridor where AZS struck spodumene glory with drilling intersections of up to 209.4m at 1.42% Li2O.

The company reports that their new tenement lies within the structural corridor of the Andover discovery which extends northeast under shallow cover.

Aurumin (ASX:AUN) says it has executed a deal with Polaris Metals, a subsidiary of Mineral Resources (ASX:MIN), for the sale of the iron ore rights on four of its Mt Dimer exploration tenements in WA.

The Mt Dimer exploration tenements are proximal to MinRes’ Carina iron ore mine.

Key terms of the sale include $250k payable to AUN on satisfaction of the conditions  precedent, plus progress payments of ~$1.25 million and $1/t royalty on iron ore exported.

 

ASX SMALL CAP LOSERS

Here are the most-worst performing ASX small cap stocks for 24 November [intraday]:

Swipe or scroll to reveal full table. Click headings to sort:

Code Company Price % Volume Market Cap CSS Clean Seas Ltd 0.28 -21% 861,552 $58,748,777 PKO Peako Limited 0.004 -20% 400,000 $2,635,424 YOJ Yojee Limited 0.004 -20% 35,300 $6,527,426 BUB Bubs Aust Ltd 0.1325 -20% 4,394,529 $124,265,466 AKM Aspire Mining Ltd 0.061 -19% 43,647 $38,072,774 C1X Cosmosexploration 0.12 -17% 267,833 $6,883,875 PAB Patrys Limited 0.0075 -17% 6,775,884 $18,517,026 OAU Ora Gold Limited 0.005 -17% 2,687,993 $33,733,005 MHK Metalhawk 0.19 -16% 100,099 $18,050,750 NRX Noronex Limited 0.011 -15% 400,000 $4,917,923 AQX Alice Queen Ltd 0.006 -14% 366,650 $1,018,444 CTN Catalina Resources 0.003 -14% 366,566 $4,334,704 KLI Killi Resources 0.061 -14% 193,550 $4,229,829 CYG Coventry Group 1.175 -13% 9,101 $128,235,684 MTL Mantle Minerals Ltd 0.0035 -13% 3,788,346 $24,589,783 ADD Adavale Resource Ltd 0.008 -11% 120,000 $6,573,324 DDT Data Dot Technology 0.004 -11% 1,413,647 $5,449,288 KP2 Kore Potash PLC 0.008 -11% 8,941 $6,021,518 MEL Metgasco Ltd 0.008 -11% 5,551,618 $9,574,981 PRS Prospech Limited 0.032 -11% 2,397,760 $7,911,359 TRT Todd River Res Ltd 0.008 -11% 13,668,755 $13,379,135 FLN Freelancer Ltd 0.21 -11% 5,417 $105,964,997 3DA Amaero International 0.17 -11% 733,635 $79,200,814 GML Gateway Mining 0.017 -11% 702,262 $6,298,168 GBE Globe Metals & Mining 0.035 -10% 161,804 $26,358,836

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The post Small Cap Lunch Wrap: The ASX… it’s as green and empty as a jungle in there appeared first on Stockhead.

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