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Uncapped 100 latest quarterly rebalance

CTI Logistics to be added to the index of Australia's most interesting emerging stocks.
By · 8 Jan 2014
By ·
8 Jan 2014
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The New Year heralds the changeover of one stock in the Uncapped 100, with CTI Logistics (CLX) scheduled to be added to the index of Australia’s most interesting emerging stocks on January 13.

Eureka Report first introduced the stock on December 18 last year, with Simon Dumaresq highlighting the company’s share price discount to its asset backing.

The stock jumped 9.4% following the article to $2.55, but there are other reasons to think that CTI is heading higher.

The company’s stable cash flow, exposure to the online retail revolution through its parcel handling service, and its ability to service the large liquid natural gas projects on the west coast by offering warehousing management solutions will likely drive further interest in the stock in 2014.

CTI will replace gold miner Unity Mining (UML). This doesn’t reflect a loss in confidence towards the miner’s management, but the fact that its market cap of around $31 million is unlikely to reach the $50 million minimum threshold in the foreseeable future as investor sentiment towards the precious metal remains downbeat.

In contrast, the market values CTI at around $165 million. Market cap is one of the conditions for inclusion in the Uncapped 100, which is rebalanced every quarter, and you can read more about our selection criteria here.

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Brendon Lau
Brendon Lau
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