Material stocks weighed on the Uncapped 100 today, but that wasn’t enough to drag Australia’s most exciting emerging stocks into the red for the week.
The Uncapped 100 closed down 0.32% as mining stocks gave up some ground after their recent rally, but our 100 small cap stocks is still up 0.74% for the week as stocks like GI Dynamics (GID) and Boom Logistics (BOL) surged.
Investors are warming to the market potential for GI Dynamic’s intestinal liner to help diabetics and the obese control food intake with the stock jumping a further 6.2% today to 94.5 cents. The stock is up 26% this week and there is plenty of room for it to run further given that the average broker price target is $1.83 a share (see Five bargains for under a buck).
Crane supplier Boom Logistics has also found favour this week after fellow equipment rental firm Emeco Holdings (EHL) admitted that it had received a conditional and incomplete takeover proposal from private equity firms.
On the flipside, the 5% drop in the gold price to around a one-month low of $US1324 an ounce is weighing on the gold miners. Saracen dropped 6.8% on Friday to 20.5 cents, making the stock the worst performer on the Uncapped 100 for the week.