Two Uncapped 100 stocks have jumped to a 52-week high today as confidence in their earnings outlook were boosted by their latest updates.
Emerging satellite company NewSat (NWT) jumped 1.5 cents to its highest level since September last year of 53 cents this morning as investors continued to bid the stock up following news that it had won $5 million in new contracts in the September quarter.
The clients include the United States government and resources companies looking for communications services in the Middle East and Australasia.
NewSat eased to 52.5 cents during lunch time trade but is still up around 30% since we wrote about its earnings potential if it is successful in launching its own satellite in 2015.
Meanwhile, hospital equipment supplier Paragon Care is retesting its 28-month high of 42 cents after management noted at its annual general meeting presentation that order flow has “vastly improved” post the federal election.
The company also said it is on track to achieve its 2013-14 sales and earnings before interest, tax, depreciation and amortisation (EBITDA) guidance of $18 million to $19 million and $1.7 million to $2 million, respectively.
Paragon Care posted revenue of $17.1 million and EBITDA of $1.5 million in the last financial year, and the stock is trading flat in lunch time trade as it is hitting resistance, which is a psychological level for investors where there are more sellers than buyers of the stock.
The stock has tried unsuccessfully on three other occasions to break above this resistance and it could dip to just under 40 cents if it fails to do so again.