Investment Solutions


Investment Solutions


Investment Solutions


Momentum Trades and Upcoming Dividends: June 2023

Rene Anthony

Thursday, June 29, 2023

Thursday, June 29, 2023

Which stocks made a name for themselves in June 2023? We take a look at the month major movers.

Which stocks made a name for themselves in June 2023? We take a look at the month major movers.

Key takeaways:

  • A number of resources stocks were caught up in major moves throughout June, while inflation continues to create challenges for food-related businesses

Mining companies were a prominent talking point down under, while tech again occupied the headlines in the US. Investors continue to monitor developments surrounding interest rates, with the market responding to every bit of rhetoric from central bank figureheads. Looking ahead, a host of ASX-listed ETFs will trade ex-dividend in the opening days of July.

Major Movers in June

1. Greentech Metals (ASX: GRE) - up 383.3%

A bonanza lithium strike was behind the meteoric rise of Greentech Metals in June. The lithium explorer announced results from rock chip samples at its 100% owned Ruth Well Project, located in Western Australia. 

The results confirmed the presence of spodumene-bearing pegmatites, with encouraging grades of lithium mineralisation up to 1.65% Li2O. Furthermore, management indicated the bearing zone was approximately 200 metres wide, with 6km of strike, and open in all directions. The company will now move towards conducting reverse circulation drilling.

2. Black Diamond Therapeutics (NASDAQ: BDTX) - up 183.9%

With its shares soaring 235.9% in a single trading session, Black Diamond Therapeutics was one of the standout performers by the end of June. As with many biotech stocks that deliver gains of that magnitude, the catalyst was an update regarding one of the company pharmaceutical trials. 

In particular, the company noted positive initial clinical data from the dose escalation portion of the Phase 1 clinical study of BDTX-1535. The drug candidate is an investigational fourth-generation epidermal growth factor receptor MasterKey inhibitor being developed for the treatment of non-small cell lung cancer and glioblastoma multiforme.

Honourable Mentions:

  • Limeade (ASX: LME) - up 233.3%

  • Azure Minerals (ASX: AZS) - up 205.6%

  • Tesserent (ASX: TNT) - up 140.0%

  • American West Metals (ASX: AW1) - up 125.0%

  • Lanzatech Global (NASDAQ: LNZA) - up 140.5%

  • Root (NASDAQ: ROOT) - up 128.9%

  • Bitdeer Technologies (NASDAQ: BTDR) - up 113.6%

52-Week Highs

1. McMillan Shakespeare (ASX: MMS) - up 16.7% in June

Flying under the radar, salary packaging and leasing services business McMillan Shakespeare touched its highest level since September 2018. Investors have responded favourably to news that leading ANZ automotive retail group AP Eagers has taken up a stake in the business. 

While analysts have laid caution to the prospect of a takeover, it hasn't stopped some investors speculating about that very premise, or at least other commercial tie-ups as a greater number of motorists shift to electric vehicles.

2. Eli Lilly and Company (NYSE: LLY) - up 8.3% in June

Trading at an all-time high, Eli Lilly easily raced past a market cap of US$400 billion. The US pharmaceutical company expansive range of products are sold around the world. It recently advised the market that a mid-stage trial of its next-gen obesity drug candidate triple G saw patients record weight loss of up to 24.2% after 48 weeks, positioning it well ahead of some other weight loss drugs.

3. Uber (NYSE: UBER) - up 12.8% in June

Up nearly 80% year-to-date, shares in rideshare giant Uber hit their highest level since January 2022. Much of those gains followed the company results at the start of May, when the business indicated that it is getting closer towards profitability. Gross bookings have grown strongly over the last year, while advertising contributions are expected to continue growing. Investors may be optimistic that the company scale could finally be reaping benefits.

Other Highs:

  • Cettire (ASX: CTT) - up 37.0%

  • Tuas (ASX: TUA) - up 19.0%

  • Latin Resources (ASX: LRS) - up 94.1%

  • Apple (NASDAQ: AAPL) - up 7.0%

  • FedEx (NYSE: FDX) - up 14.2%

  • Fiserv (NYSE: FI) - up 10.4%

  • Lowe (NYSE: LOW) - up 10.9%

  • Trade Desk (NASDAQ: TTD) - up 11.3%

  • United Airlines (NASDAQ: UAL) - up 16.9%

52-Week Lows

1. Lake Resources (ASX: LKE) - down 42.5% in June

One of the highest profile names to slump throughout June, lithium explorer Lake Resources touched a 52-week low of $0.28 per share. That followed news of a three-year delay to first production from its Kachi project in Argentina, with initial production also set to be half of what was originally anticipated before ramping up by 2030. At the same time, spending estimates have more than doubled to between $1.1 billion to $1.5 billion as inflation and labour issues create challenges.

2. Bega Cheese (ASX: BGA) - down 18.9% in June

It was a tough month for shareholders of dairy company Bega Cheese, with the stock on the outer. The company warned the market about a potential $180 million to $280 million non-cash impairment amid soaring dairy prices affecting its bulk dairy ingredients. Meanwhile, management expects Bega FY23 EBITDA to fall within the lower range of its prior guidance for $160 million to $190 million.

3. Campbell Soup Company (NYSE: CPB) - down 9.9% in June

A household name, but even that hasn't spared Campbell Soup Company from hitting a fresh yearly low. The 150 year old manufacturer and marketer of food and beverage products has faced pressure from private label brands, with consumers seemingly more attuned to the inflationary crunch holding sway over the global economy. In early June management downgraded Campbell full-year profit outlook as higher prices were offset by a decline in volume.

Other Lows:

  • Energy Resources of Australia (ASX: ERA) - down 6.9%

  • Propel Funeral Partners (ASX: PFP) - down 2.3%

  • Siteminder (ASX: SDR) - down 9.9%

  • Entergy Corporation (NYSE: ETR) - down 2.6%

  • Royalty Pharma (NASDAQ: RPRX) - down 6.6%

Upcoming Dividends

1. Graincorp (ASX: GNC) | Ex-dividend: Jul 5, 2023 | Amount: $0.24 per share | Franking: 100% | Pay Date: Jul 20, 2023

When Graincorp reported its first-half results for FY23 in early May, the agriculture business upgraded its full-year earnings guidance. At the time, management indicated revenue increased by 18% to $4.5 billion, with EBITDA expected to reach $500 million to $560 million, versus prior guidance of between $470 million and $530 million. Graincorp interim dividend is in line with that paid a year ago, at 24 cents per share.

2. Collins Foods (ASX: CKF) | Ex-dividend: Jul 10, 2023 | Amount: $0.15 per share | Franking: 100% | Pay Date: Aug 1, 2023

For the 12 months ended 30 April, Collins Foods reported a 14.2% increase in revenue from continuing operations to $1.35 billion. Strong same-store sales growth across the company KFC operations underpinned the results. However, the company underlying net profit after tax from continuing operations fell 12% to $51.9 million as the Taco Bell business recorded a loss and inflationary challenges persist. Investors will receive a fully-franked dividend of 15 cents per share.

3. Metcash (ASX: MTS) | Ex-dividend: Jul 18, 2023 | Amount: $0.11 per share | Franking: 100% | Pay Date: Aug 21, 2023

Wholesale distributor Metcash put the finishing touches on FY23 by announcing record results, and in the process, hiked its final dividend to 11 cents per share. For the 12 months ended 30 April, Metcash delivered record group revenue of $15.8 billion, with sales growth continuing strongly in FY24 thus far. Meanwhile, underlying Group EBIT rose 8.1% to $500.8 million on the back of a strong showing across the company hardware, liquor, and food pillars'.

4. Pfizer (NYSE: PFE) | Ex-dividend: Jul 27, 2023 | Amount: US$0.41 per share | Franking: N/A | Pay Date: Sep 5, 2023

Pharmaceutical giant Pfizer will trade ex-dividend at the end of July, with the company set to reward shareholders with a dividend of 41 US cents per share. As the company adjusts to a period where it no longer has the tailwind of COVID vaccines on its side, the drugmaker recently announced it would halt early development of an oral drug for weight loss on safety concerns. The move raised investor nerves about an alternative therapy the company is still developing.

Other Dividends:

  • BetaShares Australia 200 ETF (ASX: A200)

  • BetaShares Asia Technology Tigers ETF (ASX: ASIA)

  • BetaShares Diversified All Growth ETF (ASX: DHHF)

  • Betashares Global Sustainability Leaders ETF (ASX: ETHI)

  • BetaShares Global Cybersecurity ETF (ASX: HACK)

  • iShares S&P/ASX High Dividend Opportunities ETF (ASX: IHD)

  • iShares Core S&P/ASX 200 ETF (ASX: IOZ)

  • iShares S&P 500 ETF (ASX: IVV)

  • BetaShares NASDAQ 100 ETF (ASX: NDQ)

  • VanEck MSCI International Quality ETF (ASX: QUAL)

  • Betashare Global Robotics And Artificial Intelligence ETF (ASX: RBTZ)

  • Vanguard Australian Fixed Interest Index ETF (ASX: VAF)

  • Vanguard Aus Property ETF (ASX: VAP)

  • Vanguard Australian Shares Index ETF (ASX: VAS)

  • Vanguard Diversified High Growth Index ETF (ASX: VDHG)

  • Vanguard MSCI Index International Shares ETF (ASX: VGS)

  • JPMorgan (NYSE: JPM) - US$1 dividend; ex-div: Jul 5, 2023; payment: Jul 31, 2023

  • Mastercard (NYSE: MA) - US$0.57 dividend; ex-div: Jul 6, 2023; payment: Aug 9, 2023

  • Toronto Dominion Bank (NYSE: TD)  - US$0.96 dividend; ex-div: Jul 7, 2023; payment: Jul 31, 2023

  • Verizon (NYSE: VZ) - US$0.6525 dividend; ex-div: Jul 7, 2023; payment: Aug 1, 2023

  • Oracle (NYSE: ORCL) - US$0.40 dividend; ex-div: Jul 11, 2023; payment: Jul 26, 2023

  • AbbVie (NYSE: ABBV) - US$1.48 dividend; ex-div: Jul 13, 2023; payment: Aug 15, 2023

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