Every year brings a few new winners to the ASX. Sometimes it's cracking results that drive a company higher, and other times it's hope…or hype. Here are 3 of this year's biggest winners:
Updater Inc (ASX: UPD) is a software company that designs products to help people relocate house. They recently announced that they'd hit their goal of processing more than 15% of all US household moves in July. The next step is to monetise their software as the company currently has minimal revenues. With such a rich valuation, I personally would be waiting to see how the revenue-generating process goes before investing.
New Century Resources Ltd (ASX: NCZ)
New Century shares have rocketed upwards following promising results from drilling at the company's New Century mine. It is thought that the latest results could lead to a 12.5% increase in the available mineral resource. The company has changed structure and was previously known as Attila Resources before it acquired the Century mine and appointed a new board in June. I'd be inclined to wait and see if the company can commercialise its deposit (it has no revenues) before investing.
Bubs Australia Ltd (ASX: BUB)
Bubs is an infant formula producer that has rocketed since listing via a reverse merger. Investors are very bullish about the company's future as it increases its domestic stocking and also commences sales into China. The company posted annual revenue growth of 33% and is close to break-even on a cash flow basis. Again, the valuation is a bit rich for me, given the rush of competition into the sector.
