It’s hard to pick a winner right now, but these 6 small caps are up 150pc since October
More than two-thirds of the ASX’s 2240 stocks have stagnated or declined since the start of October.
It doesn’t quite count as a bear market, but it’s still not good for investors.
But there are a handful of companies that offer glimmers of light amidst the darkness: six have made gains of 150 per cent or more between October 1 and November 21.
The super six
Purifloh (ASX:PO3) is a surprising leader, considering that most of the eight water stocks Stockhead monitors are underwater — as was Purifloh until a few weeks ago.
After years of the stock bumbling along, it rocketed 334 per cent at the start of November when American businessman Bill Parfet bought in at a five times premium.
Despite the company’s lack of revenue and early stage of development, research reports from Beer & Co. predicted this rise is not finished, valuing the stock higher at $5.10 and then later at $20.
Gold miner Nex Metals Explorations’ (ASX:NME) 220 per cent price rise was more of a recovery rather than a gain.
It hovered around 2c for most of the year, then fell to 0.3 cents in October, but has clawed its way back.
The only news has been a quarterly report that said the cash burn had improved, and a statement that the end of a conflict over nine Yundamindera gold exploration tenements might be coming to an end.
In May an anonymous company, which owns the tenements immediately to the north of Yundamindera Tenements, contested Nex Metal’s ownership. A new court date has been set for November 30.
The company has also hired a consultant to value its tenements.
Biotech stock Biotron (ASX:BIT) is well off its high of 44.c on October 17, but the stock is still three times higher than before it announced good data from a clinical trial of its flagship HIV treatment drug.
At its AGM earlier this week, the company said it will keep looking for partners to commercialise its drugs.
Sperm separator Memphasys (ASX:MEM) is developing a membrane technology to separate sperm in order to help male fertility — in men and horses.
The company landed an MoU with a Swedish infertility centre to trial its products and this week announced a second with a French research centre.
In September the company announced an agreement with Monash IVF (ASX: MVF) to commercially develop its products with initial sales tentatively pegged for late 2019.
The ASX twice last month queried their price movements but the Memphasys had no answer beyond these announcements as well as general volatility in the biotech industry.
Last month BPH Energy (ASX:BPH) said it wants to enter the medical cannabis sector.
While the company itself admitted that “no specific investment has been considered”, this was enough to excite investors starved for new news on cannabis stocks.
Despite the decline in oil prices in the last six weeks, Abilene Oil and Gas (ASX:ABL) shares have gained 150 per cent in the same period.
Oil production is at record levels in the US and Abilene is right at the forefront of this – operating multiple wells in Kansas.
The company says these projects are low-risk and last quarter produced 10,800 barrels of oil.
Although its revenue will be hit next quarter if oil prices remain low, it is burning cash at a modest rate.