Top 3 ASX Large Caps Stocks To Look For In October 2021
Oil was up Friday morning in Asia and was set to end the week with gains of more than 2%. Hence, there are increasing signs of tight supply over the next few months. These are due to soaring gas and coal prices which are encouraging a switch to oil products.
Today, the ASX 200 also reported some gains. The index added 37.20 points or 0.51% to $7,348.90 extending gains of 0.8% in the previous session. This was fuelled by easing long term bond yields boosted technology stocks, whilst investors proved optimistic on re-opening trades as NSW moves toward further easing of restrictions.
Our List of 3 Best Performing ASX Large Caps Stocks to Buy in October 2021
As the broad market makes up lost ground, we have found three exceptional small caps shares you might consider in your portfolio:
Evolution Mining Ltd. (ASX: EVN)
The first one is a mid-tier gold producer with global relevancy and a portfolio of 6 to 8 assets. Evolution Mining was established in 2011 at a time when nearly 3 quarters of Australia’s annual gold production was owned by foreign operators. Today, Evolution is one of the major gold shares on the ASX and one of the lowest-cost gold producers in the world.
Evolution opened the calendar year trading for $5.06 per share. Although EVN share price has since fallen 21.5%, currently trading for $3.92, we think that this gold miner’s shares are set for a rebound. Hence, since the beginning of this month, Evolution share price appreciated by more than 10%.
Liontown Resources (ASX: LTR)
One of the hot lithium stocks of the moment is Liontown. This lithium stock is pushing for new all-time highs every single day since the beginning of this week. Impressively, year-to-date, Liontown shares grew by 366%.
Since Monday, Liontown did not stop on its climb. The share price went from $1.43 on Monday to $1.59 at the moment of writing. That is a terrific 11% plus in just five trading sessions. We could be wondering what happened with such a ride. Liontown share price is soaring despite no news having been released by the company.
Although, the mineral exploration and development company has been busy lately. Thus, Liontown is just weeks away from the spin-off of its non-lithium assets into Minerals 260. As part of the spin-off, LTR shareholders will receive one share in Minerals 260 for every 11.91 Liontown shares they hold.
Following the demerger, Minerals 260 will take over all LTR’s Moora Gold-Nickel-Copper-PGE projects. The newly created entity will also have an option to earn 51% interest in the Koojan Gold-Nickel-Copper-PGE project. This will be along with the Dingo Rocks project and tenement applications at Yalwest.
Liontown owns the Kathleen Valley project which is a Tier-1 battery metals asset with high grade and scale. We think that the demerger is a good thing for Liontown. Lithium will be at the forefront of the required resources essential for the development of batteries for EVs Hence, a fully “lithium-focused” Liontown will enable the company to streamline its activity and bring efficiency to accelerate its growth.
Netwealth Group Ltd (ASX: NWL)
And the last but not least is Netwealth Group. Netwealth is an Australian fintech company that was founded in 1999. The company prides itself on its entrepreneurial spirit and aims to be an innovator in the finance sector.
Netwealth is a superannuation fund but also regards itself as a technology company. It provides a range of investment and wealth management products and services. These include investment management tools, superannuation management platforms, administrative tools, and managed account solutions.
Netwealth primarily targets wealth management professionals. The firm also works directly with personal investors. The company boasts more than 75,000 account holders and over $25 billion in FUM and administration.
At the moment of writing, NWL shares have jumped by more than 26% since Monday, to $17.22. This strong gain has been driven by the release of its first-quarter update. According to the release, Netwealth reported record net inflows of $4 billion during the period. This took Netwealth’s FUA to $52 billion, which represents an increase of 10.2% for the quarter.
Meanwhile, the FUM portion of the business experienced reasonable growth in the latest quarter. Specifically, FUM at the end of the period stood at $12.6 billion, increasing 56.9% year-on-year. The distinct surge in funds has investors bidding up the Netwealth share price this week.
However, the fastest-growing segment was Netwealth’s managed account balance. At the end of September, managed accounts totalled $10.7 billion, increasing 63.6% from the prior corresponding period. As a result, the financial platform has retained its spot as the sixth largest and fastest-growing platform provider by net funds flows in Australia.