Hot Money Monday: The most-in demand stocks on the ASX right now
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Each Monday, Stockhead recaps which stocks are most heavily in demand by investors — running hot.
The analysis is based on the Relative Strength Index (RSI), a technical gauge which measures how trading momentum is affecting the price action.
A reading of 70 is seen as the level at which a company may have been overbought. If a stock has a reading of 30 or below, it could be undervalued.
Click here for a more detailed rundown of what the RSI does and how it’s used. While there’s usually a pretty good reason if a given stock is running hot (or cold), investors are also on the lookout for opportunities where the price-action has separated from fundamentals.
Here’s this week’s list:
Health solutions provider Konekt (ASX:KKT) has been running hot for a few weeks since getting a takeover bid.
Last week the bidder, Advanced Personnel Management, upped its offer to 70c per share. The directors recommended again that shareholders accept the offer.
MetalsTech (ASX:MTC) also made this week’s list. On Thursday it surged 500 per cent with news it was seeking to buy a gold project in Slovakia.
Prescient Therapeutics (ASX:PTX) has enjoyed a solid run in the last fortnight. It commenced a phase 1b trial for its anti-cancer drug PTX-100 and announced a collaboration with a private company that is developing stem cell therapies using a patient’s own immune system.
Non-bank lender Resimac (ASX:RMC) has run hot since a solid financial update last week. It has nearly $11 billion in assets under management and anticipates a $24m-$27m first half profit.
Another non-bank lender’s financials, specifically Prospa (ASX:PGL), was not as well received. It cut revenue and earnings forecasts by $13m and $7.3m respectively.
Regional Express (ASX:REX) also cut its earnings forecasts, by 30 per cent, and it too has been running cold.
Also on the list was child tracking app Life360 (ASX:360), retailer Myer (ASX:MYR) and (surprisingly considering its solid run earlier in 2019) lithium miner Liontown Resources (ASX:LTR).