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Small Caps and IPO Weekly Wrap: Weak ASX week, as 2023’s sizzling lithium IPO jumps +145pc
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- ASX was looking good at times but finishes the week down -0.25%
- Financials top the winning sectors, while discretionary leads laggards
- Sunshine Metals stuns with 17m gold hit of >22g/t in Queensland
Flat days, up days and down days have seen the Aussie bourse finish the week slightly down, falling 0.25%. Among the highlights of the week – RBA governor Michelle Bullock’s hawkish tilt around town.
Bullock told the ASIC Annual Forum in Melbourne RBA is ready to hike rates again if wage rises are not accompanied by productivity gains.
She said wage growth is the biggest challenge to the RBA’s goal of returning inflation back to its 2-3% target (currently at 5.4%).
The RBA’s new governor then warned of a ‘homegrown’ inflation challenge at the Australian Business Economists dinner, saying the central bank will use its “blunt tool” of interest rates to dent inflation for the collective welfare of Australians.
Separately, the RBA minutes for the November’s meeting were also released this week, revealing that board members raised the cash rate to 4.35% earlier this month because they were concerned businesses were passing higher inflation costs on to Australian consumers.
The US Fed Reserve also released its minutes from the November meeting, which revealed that board members have not shut the door on another rate hike.
Hot tech stock for 2023, the NASDAQ-listed Nvidia’s shares reported its quarterly results post the closing bell on Tuesday, getting a tepid reaction from investors and tumbling almost 1% despite continuing its string of blistering quarterly earnings reports.
Nvidia beat its own guidance by US$2bn after Q3 sales tripled from a year earlier to US$18.1 billion, while profit surged 14x to US$9.2 billion. The share price is up ~240% YTD.
This week saw an increase in oil prices, reaching US$76/barrel for WTI, yet they remain below the levels observed at the beginning of conflict in Gaza.
Furthermore there are expectations that OPEC+ might not deepen output cuts next year. The producer group has postponed its policy meeting to November 30th, adding to production cut uncertainties.
Iron ore surged to $127/tonne marking its highest value since June 2022, driven by positive expectations stemming from news Chinese regulators were drafting a list of 50 private and state-owned developers eligible for funding to help bolster the property sector.
At the end of the week Thanksgiving holidays in the US and Japan saw lighter volumes.
Financial top the leaders board but few sectors in green
Just three sectors were in the green this week with financials topping the leader board with materials and energy an equal second place.
Leading the laggards was discretionary stocks, followed by information technology and real estate.
ASX SMALL CAP LEADERS
Here are the best performing ASX small cap stocks from November 20-24:
Swipe or scroll to reveal full table. Click headings to sort:
| Code | Company | Price | % Week | Market Cap |
|---|---|---|---|---|
| CC9 | Chariot Corporation | 1.04 | 145% | $53,165,387 |
| SHN | Sunshine Metals Ltd | 0.022 | 100% | $13,464,093 |
| AMM | Armada Metals | 0.056 | 93% | $10,354,084 |
| M2M | Mt Malcolm Mines NL | 0.034 | 79% | $3,479,679 |
| ROO | Roots Sustainable | 0.007 | 75% | $1,124,217 |
| AML | Aeon Metals Ltd | 0.012 | 71% | $13,156,807 |
| RNX | Renegade Exploration | 0.01 | 67% | $8,727,514 |
| CXU | Cauldron Energy Ltd | 0.019 | 58% | $20,378,942 |
| POD | Podium Minerals | 0.055 | 57% | $20,038,513 |
| VMM | Viridis Mining | 1.94 | 53% | $83,760,315 |
| TG1 | Techgen Metals Ltd | 0.1 | 52% | $6,404,967 |
| ASP | Aspermont Limited | 0.012 | 50% | $29,265,164 |
| AUH | Austchina Holdings | 0.003 | 50% | $6,233,651 |
| BP8 | Bph Global Ltd | 0.0015 | 50% | $1,615,563 |
| KNM | Kneomedia Limited | 0.003 | 50% | $4,599,814 |
| M4M | Macro Metals Limited | 0.0045 | 50% | $12,335,389 |
| SIT | Site Group Int Ltd | 0.003 | 50% | $7,807,471 |
| VPR | Volt Power Group | 0.0015 | 50% | $16,074,312 |
| PLG | Pearlgullironlimited | 0.04 | 48% | $8,181,672 |
| PRS | Prospech Limited | 0.037 | 48% | $7,911,359 |
| LVH | Livehire Limited | 0.058 | 45% | $21,026,161 |
| NWF | Newfield Resources | 0.13 | 44% | $114,666,141 |
| TCG | Turaco Gold Limited | 0.1 | 43% | $48,260,800 |
| MEM | Memphasys Ltd | 0.014 | 40% | $11,514,245 |
| RLC | Reedy Lagoon Corp | 0.007 | 40% | $4,316,785 |
| TAS | Tasman Resources Ltd | 0.007 | 40% | $4,276,016 |
| AMT | Allegra Medical | 0.057 | 39% | $6,219,773 |
| MRR | Minrex Resources Ltd | 0.022 | 38% | $23,867,085 |
| TMG | Trigg Minerals Ltd | 0.011 | 38% | $3,747,562 |
| RGL | Riversgold | 0.015 | 36% | $10,463,876 |
| WSR | Westar Resources | 0.027 | 35% | $5,190,010 |
| CAG | Caperange | 0.12 | 35% | $11,388,996 |
| UBI | Universal Biosensors | 0.255 | 34% | $40,350,193 |
| AHN | Athena Resources | 0.004 | 33% | $4,281,870 |
| AVM | Advance Metals Ltd | 0.004 | 33% | $2,167,040 |
| MOH | Moho Resources | 0.012 | 33% | $6,120,800 |
| MTL | Mantle Minerals Ltd | 0.004 | 33% | $24,589,783 |
| PNX | PNX Metals Limited | 0.004 | 33% | $21,522,499 |
| SRY | Story-I Limited | 0.004 | 33% | $1,505,619 |
| JRV | Jervois Global Ltd | 0.044 | 33% | $113,505,869 |
| RHK | Red Hawk Mining Ltd | 0.65 | 33% | $113,128,547 |
| MZZ | Matador Mining Ltd | 0.053 | 33% | $20,502,005 |
| YRL | Yandal Resources | 0.092 | 31% | $16,911,517 |
| 14D | 1414 Degrees Limited | 0.059 | 31% | $13,099,269 |
| GHY | Gold Hydrogen | 0.78 | 31% | $54,646,102 |
| NFL | Norfolk Metals | 0.3 | 30% | $7,732,874 |
| VEE | Veem Ltd | 0.86 | 30% | $106,539,770 |
| PTR | Petratherm Ltd | 0.057 | 30% | $12,810,815 |
| ALM | Alma Metals Ltd | 0.009 | 29% | $10,026,007 |
| ENV | Enova Mining Limited | 0.009 | 29% | $5,768,364 |
One of the biggest lithium IPOs of 2023, Chariot Corporation (ASX:CC9) was up 145% this week on no specific news. CC9 has one of the largest lithium exploration landholdings in the US and various JVs, farm outs and optioned projects.
READ: How Chariot outsmarted a major to get a mountain of lithium. Literally, a mountain
Sunshine Metals (ASX:SHN) rose 100% this week after the microcap announced it had intersected multiple high-grade gold zones in the first of 12 RC holes at its Liontown prospect at the Ravenswood Consolidated project in northern QLD, including 17m @ 22.14g/t from 67m.
The zones are interpreted to be gold and copper-rich feeder zones to the overlying 2.3Mt resource
Armada Metals (ASX:AMM) rose 93% this week after picking up four early-stage lithium exploration projects for $150k cash and 26m shares in the emerging hard rock hub of Brazil.
ASX SMALL CAP LAGGARDS
Here are the best performing ASX small cap stocks from November 20-24:
Swipe or scroll to reveal full table. Click headings to sort:
| Code | Company | Price | % Week | Market Cap |
|---|---|---|---|---|
| ACM | Australian Critical Minerals | 0.19 | -58% | $5,500,281 |
| ASR | Asra Minerals Ltd | 0.0085 | -39% | $13,105,851 |
| MXC | MGC Pharmaceuticals | 0.705 | -39% | $25,687,106 |
| GMR | Golden Rim Resources | 0.011 | -39% | $7,099,060 |
| BEX | Bikeexchange Ltd | 0.005 | -38% | $7,163,149 |
| PPS | Praemium Limited | 0.385 | -37% | $182,172,445 |
| APX | Appen Limited | 0.61 | -34% | $94,152,959 |
| AYM | Australia United Min | 0.002 | -33% | $3,685,155 |
| KEY | KEY Petroleum | 0.001 | -33% | $1,967,928 |
| NZS | New Zealand Coastal | 0.002 | -33% | $3,334,020 |
| MMM | Marley Spoon Se | 0.031 | -33% | $3,649,456 |
| OZM | Ozaurum Resources | 0.135 | -33% | $23,018,750 |
| CSS | Clean Seas Ltd | 0.265 | -31% | $58,748,777 |
| SHO | Sportshero Ltd | 0.017 | -29% | $11,500,022 |
| ATH | Alterity Therap Ltd | 0.005 | -29% | $9,759,590 |
| ERW | Errawarra Resources | 0.175 | -29% | $16,786,117 |
| INP | Incentiapay Ltd | 0.005 | -29% | $6,325,318 |
| DCL | Domacom Limited | 0.023 | -28% | $10,016,541 |
| RDN | Raiden Resources Ltd | 0.054 | -28% | $134,222,217 |
| OCN | Oceana Lithium | 0.13 | -28% | $7,165,328 |
| ARV | Artemis Resources | 0.026 | -28% | $40,608,765 |
| PIM | Pinnacle Minerals | 0.17 | -28% | $4,859,250 |
| IS3 | I Synergy Group Ltd | 0.008 | -27% | $2,432,643 |
| CGR | CGN Resources | 0.15 | -27% | $14,524,511 |
| SVY | Stavely Minerals Ltd | 0.051 | -26% | $21,006,705 |
| JAY | Jayride Group | 0.037 | -26% | $9,376,365 |
| IXR | Ionic Rare Earths | 0.02 | -26% | $79,122,098 |
| 8VI | 8Vi Holdings Limited | 0.06 | -25% | $2,556,597 |
| AVW | Avira Resources Ltd | 0.0015 | -25% | $3,200,685 |
| BYH | Bryah Resources Ltd | 0.015 | -25% | $5,737,685 |
| CTN | Catalina Resources | 0.003 | -25% | $4,334,704 |
| ENT | Enterprise Metals | 0.003 | -25% | $2,398,413 |
| HCD | Hydrocarbon Dynamic | 0.006 | -25% | $4,547,661 |
| MKG | Mako Gold | 0.0105 | -25% | $6,048,086 |
| PAB | Patrys Limited | 0.0075 | -25% | $18,517,026 |
| PNT | Panther Metals | 0.057 | -25% | $3,669,000 |
| WFL | Wellfully Limited | 0.003 | -25% | $1,478,832 |
| HLS | Healius | 1.325 | -25% | $735,195,466 |
| RAS | Ragusa Minerals Ltd | 0.044 | -24% | $6,702,143 |
| PRM | Prominence Energy | 0.013 | -24% | $2,308,146 |
| IVZ | Invictus Energy Ltd | 0.1475 | -22% | $174,261,266 |
| USL | Unico Silver Limited | 0.09 | -22% | $26,940,695 |
| CPO | Culpeo Minerals | 0.029 | -22% | $3,496,871 |
| ASO | Aston Minerals Ltd | 0.029 | -22% | $38,851,928 |
| NC6 | Nanollose Limited | 0.022 | -21% | $3,495,500 |
| OAU | Ora Gold Limited | 0.0055 | -21% | $33,733,005 |
| CHR | Charger Metals | 0.26 | -21% | $16,770,879 |
| BUB | Bubs Aust Ltd | 0.13 | -21% | $124,265,466 |
| TNC | True North Copper | 0.1225 | -21% | $32,480,181 |
| GRE | Green Tech Metals | 0.59 | -20% | $38,216,266 |
ASX IPO listings
There were no IPOs on the ASX this week. You can read more in Eddy Sunarto’s IPO Wrap, which was published earlier today.
According to the ASX website, there are are two companies scheduled to make their ASX debut next week. However, it’s worth noting IPO dates can, and frequently do, change without notice.
Who won the days?
Monday – Virdis Mining and Minerals (ASX:VNM) rose 68% after announcing ‘major ionic clay rare earth discoveries’ at Colossus, with 46m at 3,285 ppm Total Rare Earth Oxide (TREO) from surface.
Tuesday – Israeli-based Roots Sustainable Agricultural Technologies (ASX:ROO) rose 75% after announcing it had delivered equipment required for its root zone cooling technology for UAE customer Silal Food & Technology LLC despite what it terms “difficult conditions on the ground in Israel”.
Wednesday – Westar Resources (ASX:WSR) rose 39% after announcing drilling at its Olga Rocks Project in Western Australia to ‘test the reinterpretation for potential pegmatite-hosted lithium and also target a prospective horizon for high grade gold mineralisation that is largely underexplored’.
Thursday – Armada Metals (ASX:AMM) was up 38% after announcing it had picked up four early-stage lithium exploration projects for $150k cash and 26m shares in the emerging hard rock hub of Brazil.
Friday – Sunshine Metals rose 91% for reasons mentioned above.
Far Northern Resources (ASX:FNR)
Expected listing: November 24
IPO: $10m at $0.20
Freedom Care Group (ASX:FCG)
Expected listing: November 30
IPO: $3.2m at $0.20
At Stockhead, we tell it like it is. While Sunshine Metals, Roots Sustainable Agricultural Technologies and Chariot Corporation are Stockhead advertisers, they did not sponsor this article.
