Australian (ASX) Stock Market Forum

Springhill's Low Cap, Low Liquidity Stocks

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Springhill, most of the equities that you've chosen have very little in historical data to provide meaningful technical levels.

I don't see that there is anything i can contribute from a chart POV.

Good Luck.

CanOz
 
CanOz said:
Springhill, most of the equities that you've chosen have very little in historical data to provide meaningful technical levels.

I don't see that there is anything i can contribute from a chart POV.

Good Luck.

CanOz
Click to expand...

I appreciate the thought anyway, if that situation changes over time feel free to post.
 
burglar said:
So where do you get numbers such as "shares held"?
Is it from a company website?
Or a list for all companies?
(like I used to have, thanks to the Australian Financial Revue AFR)
Click to expand...

Every annual report will have a list of the top 20 and % held..usually near the end of the report.

springhill said:
Chesser Resources on the list

CHZ - CHESSER RESOURCES, 32.5c @ 2/7/12


Macquarie just became substantial holder during cap raising.
Click to expand...

That's a good sign...Macquarie were and i think still are substantial holders for PGI (formerly EVG) a small Gold play i still hold a few of, Macquarie from memory first go involved with PGI close to 3 years ago, provided some financing when times were tough and now PGI is days away from first pour.

So fair to say Macquarie have made some good decisions when it comes to micro cap resource plays.
 
TAR - TARUGA GOLD, 11c @ 3/7/12
FPO Shares - 85m
Cash - $5m

Recently listed cashed up gold explorer, with highly prospective Kossa Project, Niger. Most recent best drill return 4m at 35.52g/t gold from 44m. Further results from historical drilling completed by Orezone were recovered from the Niger Ministry of Mines archives in March, allowing for further targets.Highlights of these results included:
o 1m at 278.8g/t gold from 70m in drill hole KRC017
o 1m at 8.96g/t gold from 49m in drill hole KRC018
o 1m at 7.77g/t gold from 62m in drill hole KSC008
o 2m at 7.54g/t gold from 34m in drill hole KSC048

Also have projects in Ghana and Cote d'Ivoire up their sleeve.
A pure speculator, decent grades at shallow levels, is there more there?
 
SCI - SILVER CITY MINERALS, 10c @ 4/7/12
FPO Shares: 98 million (14.4m escrowed)
Market Cap: $9.8 million
Cash: $7.7 million

Major Shareholders:
The Sentient Group: 17.45%
PlatSearch Group: 14.58%
Fitel Nominees: 6.53%
Top 20 : 69.53%

Cashed up and have good potential for silver and base metal grades equal to, or in excess of the ones already announced.

I am going to try to leave the list at this, it is getting hard to keep track of this many companies.
 
Nice idea for a thread, Springhill.

I'm not thrilled with micro-cap miners as it's not my area of "investor competence" (term used advisedly).

One company I would throw into the mix is a company I've held a non-marketable parcel of shares (having sold out the main holding on a stop-loss before the DRP shares were allocated to me) and which I keep an eye on, being Supply Network Limited (SNL).

Its market cap is a tick under $35 million (a tick over 34 million shares on issue at a current price of $0.995/share) and its share price has bounced around between $0.40/share and $1.00/share in the last 12 months on very low volume.

The main business of SNL is supply of spare parts to the trucking industry out of its NSW base. At its last report, SNL maintained a dividend payout ratio of 68%. The total revenue has grown from just under $35 million in 2006/07 to a tick over $50 million in 2010/11, EBIT from under $1 million to $3.81 million in the same timespan and NPAT from just under $500,000 to $2.5 million in the same timespan.

For me, it just fails one of my investment criteria in that its return on average total equity is sub-20% but at least it's making a profit!
 
McCoy Pauley said:
Nice idea for a thread, Springhill.

I'm not thrilled with micro-cap miners as it's not my area of "investor competence" (term used advisedly).

One company I would throw into the mix is a company I've held a non-marketable parcel of shares (having sold out the main holding on a stop-loss before the DRP shares were allocated to me) and which I keep an eye on, being Supply Network Limited (SNL).

Its market cap is a tick under $35 million (a tick over 34 million shares on issue at a current price of $0.995/share) and its share price has bounced around between $0.40/share and $1.00/share in the last 12 months on very low volume.

The main business of SNL is supply of spare parts to the trucking industry out of its NSW base. At its last report, SNL maintained a dividend payout ratio of 68%. The total revenue has grown from just under $35 million in 2006/07 to a tick over $50 million in 2010/11, EBIT from under $1 million to $3.81 million in the same timespan and NPAT from just under $500,000 to $2.5 million in the same timespan.

For me, it just fails one of my investment criteria in that its return on average total equity is sub-20% but at least it's making a profit!
Click to expand...

Thanks for that mate.
SNL not a company in an area I have any experience in, but I will be sure to watch it anyways and learn. No harm in expanding my horizons!
I checked the SNL thread and there isn't 1 post there, perhaps you could copy this information across, plus anything else you might think interesting about SNL?

All the best :)
 
I am removing NGY from my list and replacing it with HAS. I am trying to keep it to 15 and NGY only just scrapes in with 200m shares on issue.

HAS - HASTINGS RARE METALS, 12c @ 5/7/12
Ordinary Shares 125 million
Cash at hand (12 April 2012) A$4 million approx.
Top 20 59%
Kongoni 19%
Singapore investment funds 12%
Japanese REE fund 6.4%
Board/Management 7%

It will be interesting to see how HAS progresses compared to other HREO stocks as it has the lowest market cap v stage of production of them all. See page 16 of the latest company presentation.


Final list is NCO, RND, RAD, WAC, HDG, CHZ, SOC, CQC, HFR, PKR, RIE, NUP, TAR, SCI, HAS, PDI

Stocks will be presented weekly as set out below.


CODE Current SP (Entry price) (percentage gain/loss on entry price)
Max SP (date) to show maximum potential profit and amount of time to reach it
Min SP (date) to show maximum potential loss and amount of time to reach it
Weekly Volume

Any relevant announcements or comments relating to price rise and/or fall.

 
Week 1

HDG
Current SP - 16c (14.5c) +10.3%
High - 16c +10.3%
Low - 14.5c +0.00%
Volume - 73,800

Directors interest notice.
http://www.asx.com.au/asxpdf/20120702/pdf/4275pm04wmh0bp.pdf

RAD
Current SP - 30c (27.5c) +9.1%
High - 30c +9.1%
Low - 28.5c +3.6%
Volume - 6,000

Becoming substantial holder
http://www.asx.com.au/asxpdf/20120703/pdf/4276l7v8rcddkf.pdf

WAC
Current SP - 12c (12.5c) -4%
High - 14c +12%
Low - 12c -4%
Volume - 140,590

SOC
Current SP - 28c (28c) +0.0%
High - 28c +0.0%
Low - 28c +0.0%
Volume - 1,230

SOC approaches PMR for a takeover bid
http://www.asx.com.au/asxpdf/20120706/pdf/4278wlxg8rqrth.pdf

NCO
Current SP - 14.5c
Currently suspended. Reports of cancellation of agreement between NCO and NGEx concerning Eritrean Project.

CQC
Current SP - 11c (9.6c) +14.6%
High - 11c +14.6
Low - 9.1c -5.2%
Volume - 181,667

HFR
Current SP - 19c (19c) +0.0%
High - 19c +0.0%
Low - 19c +0.0%
Volume - 5,000

Navarra Potash Project Update
​
http://www.asx.com.au/asxpdf/20120704/pdf/4277jm7w7gqptq.pdf

PKR
Current SP - 25c (25c) +0.0%
High - 25c +0.0%
Low - 25c +0.0%
Volume - 0

RIE
Current SP - 10.5c (8c) +31.2%
High - 10.5c +31.2%
Low - 9c +12.5%
Volume - 127,619

Director appointment/resignation.
http://www.asx.com.au/asxpdf/20120702/pdf/42760qzjkfdk6s.pdf

RND
Current SP - 39c (39c) +0.0%
No high, low or volume

CHZ
Current SP - 34c (32.5c) +4.6%
High - 34.5c +6.1%
Low - 31c -3.1%
Volume - 397,080

SCI
Current SP - 10c (10c) +0.0%
No new high or low
Volume - 16,669

Zinc intersections at Champion.
http://www.asx.com.au/asxpdf/20120704/pdf/42774thk11w3wb.pdf

HAS
Current SP - 12c (12c) +0.0%
High - 12.5c +4.2%
Low - 11.5c -4.2%
Volume - 473,532

ANSTO Tests Confirm Successful Recoveries at HREO Project
​
http://www.asx.com.au/asxpdf/20120705/pdf/4277yf5zqj4nm6.pdf Volume - 96,360

PDI
Current SP - 7.8c (8c) -2.5%
High - 8c +0.0%
Low - 7.2c -10%
Volume - 96,360

Burkina Faso - New Gold Discovery
​
http://www.asx.com.au/asxpdf/20120705/pdf/42783wg35vx84p.pdf

TAR
Current SP - 9c (11c) -22.2%
High - 12.5c +4.5%
Low - 9c -22.2%
Volume - 606,250

4m at 35.52g/t gold - Exciting Results continue at Kossa
​
http://www.asx.com.au/asxpdf/20120703/pdf/4276fbqf7sn6kf.pdf
 
Great thread Springhill,

I'm normally fearful of trading these kind of stocks but I will be following this thread closely and see how it all pans out.

Good luck.
 
burglar said:
A great first week! Well done springhill!
Click to expand...

matthewdean said:
Great thread Springhill,

I'm normally fearful of trading these kind of stocks but I will be following this thread closely and see how it all pans out.

Good luck.
Click to expand...

Thankyou both for the comments :)

I am adding PVD, hopefully my final addition!

PVD - PURA VIDA ENERGY, 29c @ 8/7/12
41.4m shares on issue (diluted)
$15m market capitalisation (as at 7/5/12)
Net Cash $4.9m (as at 30/3/12) $4.4m unpaid capital plus $3m (successful cap raising)

Net 2.4 billion barrels of mean prospective recoverable resources attributable to PVD. High quality management team. PVD trades on a Risked EV/Prospective Resources basis of $0.15/boe.
 
springhill said:
Thankyou both for the comments :) ...
Click to expand...
Hi springhill,

It has been interesting to see a different way of selecting candidates.
Nice to see what some randomness throws up.

Whenever I wished to find a new company, I would trawl ASX Reports.
Surprising how keywords like "Bonanza Grade" often led me to Junior Explorers.

burglar
 
NML, Navarre Minerals
Shares on issue 55.8 million
Options 2.6 million (unlisted)
Share Price 18c
Market Cap $10.6 million (0.19 cents)
Cash $1.1m

Cash position is not ideal for an entry, in real time I would wait for the cap raise, but I am submitting these as I see them.
Reason for adding, 1 word - Tandarra
 
burglar said:
Hi springhill,

It has been interesting to see a different way of selecting candidates.
Nice to see what some randomness throws up.

Whenever I wished to find a new company, I would trawl ASX Reports.
Surprising how keywords like "Bonanza Grade" often led me to Junior Explorers.

burglar
Click to expand...

Randomness is probably how I find most stocks I like. This way I get to sort through a lot of crap and have comparisons against the stocks that have potential IMO.
It's like a constant refresher course on finding the needle in the haystack.
 
Week 2 - not the best to be mucking around with specs :eek:

HDG(14.5c)
CurrentSP - 15c +3.4%
High- 16.5 +13.8%
Low- 13.5 -6.9%
Volume- 131,200

RAD(27.5c)
CurrentSP - 25.5c -7.3%
High- 29c +5.5%
Low- 25.5c -7.3%
Volume- 67,450

WAC(12.5c)
CurrentSP - 12c -4%
High- 12c -4%
Low- 12c -4%
Volume- 0

SOC(28c)
CurrentSP - 28c +0.0%
High- 28c +0.0%
Low- 28c +0.0%
Volume- 770

NCO(14.5c)
CurrentSP - 14.5c +0.0%
High- 14.5c +0.0%
Low- 14.5c +0.0%
Volume- 0

NCO due to come out of suspension Monday

CQC(9.6c)
CurrentSP - 11c +14.6%
High- 11c +14.6%
Low- 11c +14.6%
Volume- 0
HFR(19c)
CurrentSP - 19c +0.0%
High- 19c +0.0%
Low- 19c +0.0%
Volume-0
PKR(25c)
CurrentSP - 25c +0.0%
High- 25c +0.0%
Low- 25c +0.0%
Volume- 0

RIE(8c)
CurrentSP - 10.5c +31.2%
High- 10.5c +31.2%
Low- 10.5c +31.2%
Volume- 0

RND(39c)
CurrentSP - 39c +0.0%
High- 39c +0.0%
Low- 39c +0.0%
Volume- 0

CHZ(32.5c)
CurrentSP - 32.5c +0.0%
High- 34c +4.6%
Low- 32c -1.5%
Volume- 394,632

SCI(10c)
CurrentSP - 9.5c -5%
High- 9.5c -5%
Low- 9.1c -9%
Volume- 225,000

HAS(12c)
CurrentSP - 12c +0.0%
High- 13.5c +12.5%
Low- 12c +0.0%
Volume- 2,271,375

PDI(8.1c)
CurrentSP - 7.7c -4.9%
High- 7.7c -4.9%
Low- 7.5c -7.4%
Volume- 234,999

TAR(11c)
CurrentSP - 9c -18.2%
High- 10c -9.1%
Low- 9c -18.2%
Volume- 53,050

PVD(29c)
CurrentSP - 28c -3.4%
High- 30c +3.4%
Low- 26.5c -8.6%
Volume- 778,524

OEG(11.5c) (added on 11th)
CurrentSP - 9.5c -18.2%
High- 10c -13%
Low- 9.5c -18.2%
Volume- 119,489

NML(18c) (added today)
CurrentSP - 18c +0.0%
High- 18c +0.0%
Low- +0.0%
Volume- 0

This weeks results were definitely down on last weeks. As you can see there are multiple stocks that traded a volume of 0 this week.
This never worries me. The experiment is only in it's infancy and and stock of this type should be chosen for a mid to long term basis, unless you are have researched a stock to the point you can time your entry based on looking ahead towards potential SP increasing announcements before they occur. Even then there is no guarantee.
 
burglar said:
Last week up 1.77%
This week down 0.65%

Still a credible situation
Click to expand...

Do you know what the final % down the XAO was this week? Or is there another index that would be a better comparison for what I am looking at?
 

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