Newsletter – 29 November 2020

Australian share market updates for the week ending 29 November 2020

Contents:

  • Chart of the week;
  • Upcoming and recent IPOs;
  • Director trades;
  • Buybacks; and
  • Short sales.
Chart of the week


The Australian Purchasing Managers Index (PMI) rose to a 35-month high of 56.1 in November as the manufacturing sector continued to strengthen. New orders rose at the quickest rate for nearly two years despite a further decline in export sales.

Upcoming Initial public offerings (IPOs)


Companies that have recently applied to the ASX for listing.

Click here for a full list of upcoming ASX IPOs.

Asusensus Ltd (ASX: ACE) is an intelligent traffic solutions technology company that has developed and commercialised camera technology focused on the detection, capture and referral of motorists using mobile phones whilst driving.

Auric Mining Ltd (ASX: AWJ) has recently entered agreements to acquire a portfolio of highly prospective gold exploration and development projects in the Widgiemooltha and Norseman regions of Western Australia.

Australian Gold and Copper Ltd (ASX: AGC) is an exploration company with a focus on the exploration and development of its multi-asset gold portfolio situated in the world class Lachlan Fold Belt in New South Wales.

Chimeric Therapeutics Ltd (ASX: CHM) is a biotechnology company developing a cancer cell therapy drug.

Dalrymple Bay Infrastructure (ASX: DBI) aims to provide port infrastructure and services for producers and consumers of high quality Australian coal exports through its foundation asset, the Dalrymple Bay terminal.

Liberty Financial Group Ltd (ASX: LFG) is a lender that provides loans for home, car, business and personal needs.

Playside Studios (ASX: PLY) is a Melbourne based company with global reach, primarily focused on the development of high-quality mobile video games.

Silk Laser Australia Ltd (ASX: SLA) operates clinics that offer laser hair removal, skincare products and cosmetic injections.

Truscreen Group Ltd (ASX: TRU) is a NZX listed company aiming for a duel listing on the ASX. Truscreen utilises technology to detect pre-cancerous change, or cervical intraepithelial neoplasia (CIN), by optical and electrical measurements of cervical tissue.

Companies that commenced trading this week.

WA Kaolin Ltd (ASX: WAK) currently mines and processes kaolin and sells this through a network of distributors both in Australia and overseas.

WAK raised $22,000,000 by the issue of 110,000,000 shares at an issue price of $0.20 per share.

The company listed on Thursday at $0.28 and finished the week at $0.225.

Caspin Resources Ltd (ASX: CPN) is a minerals exploration company which holds an 80% interest in the Yarawindah Brook Project, and a 100% interest in the Mount Squires Project.

CPN raised $8,000,000 by the issue of 40,000,000 shares at an issue price of $0.20 per share.

The company listed on Wednesday at $0.46 and finished the week at $0.495.

Plexure Group Ltd (ASX: PX1) is a global mobile engagement company helping brands create sticky and more profitable relationships with consumers.

PX1 is an NZX listed company which is now duel listed on the ASX.

The company listed on Wednesday at $1.16 and finished the week at $1.15.

HomeCo. Daily Needs REIT (ASX: HDN) is an Australian real estate investment trust listed on the ASX with a mandate to invest in predominately metro-located, convenience-based assets across target sub-sectors of neighbourhood retail, large format retail, and health & services.

HDN raised approximately $300 million by the issue of 225,686,717 units at an issue price of $1.33 per unit.

The company listed on Monday at $1.35 and finished the week at $1.345.

Director trades

Director buys can be a sign that those with the most insight into a company view its shares as undervalued. Knowledgeable “insiders” are the best placed to know what a share is really worth. One or two trades may not be significant, but a larger number by different directors can warrant further investigation.

Click here to purchase a spreadsheet of on-market ASX director trades for the last six months.

Companies with two or more directors buying and no sells in the last 30 days, not mentioned in previous newsletters.

Probiotec Ltd (ASX: PBP) is a manufacturer, marketer and distributor of prescription and over-the-counter pharmaceuticals, complementary medicines and specialty ingredients.

Buybacks

A buyback, also known as a repurchase, is the purchase by a company of a portion of its outstanding shares. This reduces the number of shares on issue so should increase the earnings per share, all else being equal. A company will usually buy shares back when they see them as good value.

Click here for the latest buyback announcements.

No new buybacks announced this week.

Short positions

Shorting a share is betting the price will decrease. It can pay to check short positions in a share you are considering purchasing.

Click here for a full list of shorted ASX shares.

The below table shows the twenty most shorted shares on the ASX. Data is lagged 4 days.

Highlighted companies are new entrants from last week.

Quote:
“If you want to see the biggest threat to your financial future, go home and take a look in the mirror.” – Jonathan Clements.


Please note the information contained in this newsletter does not constitute financial advice. Information relating to any securities mentioned is not a buy or sell recommendation. You should always conduct your own investigations and make up your own mind regarding any course of action you may wish to take. The information presented has been obtained from original and published sources believed to be reliable, but its accuracy cannot be guaranteed. The entire contents are copyright. Reproduction in whole or part is strictly forbidden without the approval of the author. This information is not financial advice and does not take into account your personal situation and we accept no responsibility for any claim, loss or damage as a result of the information in this newsletter or our website.

Sharp Investor owns ASX listed stocks: ACR, ARL, ALQ, BRV, CDX, CDXO, COL, CYP, DDR, DHG, EVN, EXR, FBR, FID, FRI, GGG, GOR, IGO, IRI, MGX, MNY, OZL, PRO, SBM, SRG, SXE, VXR, WSA, WTL

Past newsletters