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Small-cap stocks can be surprising investments as they can offer high revenues within a short span of time. These stocks might not be the most expensive ones. However, they can gain significant value over time, leaving the investors with substantial profits.
However, finding such small-cap stocks that can potentially fetch investors a benefit over time is a tough task. Here are top 5 ASX-listed penny stocks that investors can pay attention to in the coming weeks:
City Chic Collective (ASX: CCX)
City Chic Collective is a women’s clothing retail chain operating in Australia. The company’s share prices have been in green over the last one week. Share prices have surged 84.4% in just a month’s time from AUD 3.93 per share to AUD 4.25 per share.
The company has a diverse range of women’s products from tops, dresses, denimwear, to accessories and swimwear. The main channel of growth for City Chic was its online transition during the coronavirus pandemic. Additionally, the retail chain has made some acquisitions and has taken advantage of assets that have lost value in the pandemic.
The company had a great entry into the first half of FY21 with AUD 119 million worth revenue in global sales and AUD 23.3 million worth of underlying EBITDA. The active customer base saw a year-on-year growth of 56% with an addition of 286,000 customers.
The company plans to expand its global footprint, with an already established foothold in the U.S. and UK markets. City Chic sees a market share opportunity in the US markets worth USD 49 billion, while in the UK markets worth USD 7 billion. With increased marketing campaigns to grow customer base and the expansion of wholesale partnerships, the company expects to tap these potential areas.
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Aldoro Resources Ltd (ASX: ARN)
Aldoro Resources is a mining firm, operating in Australia, with ongoing exploration activities in the Kalgarin, Ryans Field, Cathedrals, and Leinster Projects. The company primarily explores nickel, gold, and copper deposits.
During March end, the company entered a consultancy agreement with a Hong Kong-based nickel, copper, and gold discovery firm. Following this, the company has seen a steady rise in its share price. An uptick of 65% has been observed over the past month from a share price of 20 cents in mid-March to 33 cents in mid-April.
The stock market performance was bolstered by the company’s financial results for the half-year ending 31st of December, 2020. Aldoro benefitted greatly from its Narndee Ni-PGE Project, located in the largest layered mafic-ultramafic complex in Australia. The Narndee complex ranks in the top 10 complexes for Ni-Cu-PGE deposits in terms of size.
Aldoro reportedly has AUD 2.2 million worth of bank deposits at 31-Dec-20 with a high-quality register of shareholders.
The company expects global nickel demand to rise by 2.6 million tonnes in 2040. The greenfield and brownfield projects are expected to contribute greatly to future demand.
IN CASE YOU MISSED: Aldoro Commenced the Drilling at Penny South Project
RAIZ Investment Ltd (ASX:RZI)
RAIZ investment is a fin-tech firm with its own micro-investing platform, offering customers an easy way to put their money in investments. The company has enabled different types of investments with the help of its own app and the website.
RAIZ’s share prices have increased 7.3% over the last one month. The company is currently trading at AUD 1.75 per share and has also recorded growth in its March 2021 performance. The mining firm showed an improvement in its Australian, Indonesian, and Malaysian operations.
Despite an increase in the company’s monthly maintenance fees, the active customer base saw a rise of 3.5% over the month of March to reach 419,552 active customers.
On the financial side, RAIZ’s funds under management increased 4.4% during March to reach AUD 694.27 million. For the first half of FY21, the company recorded a revenue of AUD 4.7 million from its micro-investing platform and a gross operating margin of 59.1%.
The company maintains that it would achieve FUM worth AUD 1 billion by the end of 2021, AUD 700 million worth of which have already been collected by 1st of April, 2021.
Bryah Resources (ASX:BYH)
Bryah is engaged in mining operations within Perth with a focus on high-grade copper-gold and manganese.
Byrah’s share market performance has seen a jump of 16.6% over the past 30 days. The company is currently trading at 7 cents per share. Bryah also launched its drilling campaign recently with a focus on Volcanogenic Massive Sulphide copper-gold at Windalah prospect. The project entailed about 18,000 meters of drilling.
For the half-year period of FY21, Bryah reported losses worth AUD 589,079. Despite these loss, the company was able to find substantial volumes of gold at the Australian Vanadium (ASX: AVL) Project. The best results from the project included 10 meters at 27.5 g/t gold from 53 meters, with four meters at 64.3 g/t gold from 54 meters and one meter at 182 g/t gold.
The discovery was an outstanding one for the company as it confirmed the gold potential held within the historic mining area of Gabanintha.
INTERESTING READ: Three Promising Gold Penny Stocks to Watch Out For
Pilbara Minerals (ASX:PLS)
Pilbara is one of the leading lithium mining companies in Australia. The company is engaged in delivering low-cost, sustainable lithium production with a focus on expanding to fully integrated lithium raw materials and chemicals supply.
The company has seen considerable gains in the stock market over the past 6 months as share prices have more than tripled over the course. Over the last one month, prices have increased by 11%. These results come under the backdrop of the company’s newly launched sales platform, which was done under an agreement with GLX Digital.
Pilbara’s financial performance has seen a year-on-year revenue growth of 56.5% for the first half of FY21. The company has also completed the acquisition of ALO in 2021 and has consequently gained 100% ownership of the Altura project.
The company has further plans to expand in the coming years and to become a prime lithium mining firm in Australia.