Breaking Out: Exploration success key for antimony minnow Octava

Breaking Out is a technical analysis-fuelled, short ‘n’ sharp take on chart-busting ASX stocks. Each week, Steve Collette – head of Collette Capital in Melbourne – narrows in on something that’s caught his eye.

Octava Minerals (ASX:OCT)

Octava Minerals is a tiny company ( ~$8.3m market cap ) with significant potential.

After spending most of 2024 with little activity, the company’s value surged when it reminded the market of high-grade antimony intersections from drilling completed in 2016.

In early October, Octava raised $1 million at 8.5 cents per share, and impressively the company has not sniffed that price since.

It closed on Wednesday at 13.5c, and despite these relative gains still has a market cap of only ~$8m.

A weekly stock chart suggests substantial upside potential if ongoing exploration results and surveys meet the mark.

Closing at current levels this week would maintain the price in uptrend.

A close above 14.5c would usher in a further target of 20c.

Beyond that would be 28c and then into blue sky.

Given its relative size and liquidity this company carries simply the highest risk profile that can be ascribed to a listed vehicle.

All eyes on the antimony price – apparently steady at an elevated US$25,100/t for the last couple of months.

Collette Capital offers IMA services to wholesale clients only.

The IMA has returned 18.41% p.a. net of any fees as at end September 2024 since January 2015.

Learn more at www.collette.capital

Collette Capital is a Corporate Authorised Representative (CAR: 128443) of Sanlam Private Wealth ( AFSL 337927 ), and only provides general advice.

Collette Capital advise that they and persons associated with them may have an interest in the above securities.

The views, information, or opinions expressed in the interviews in this article are solely those of the contributing author and do not represent the views of Stockhead. Stockhead does not provide, endorse or otherwise assume responsibility for any financial product advice contained in this article.