On Monday the Australian share market went into selloff mode and sank notably lower.
Surprisingly, not all shares were dragged lower with the market on Monday. Some even managed to climb to 52-week highs. Is it too late to invest in these market-beaters?
The Charter Hall Group (ASX: CHC) share price reached a 52-week high of $7.37 yesterday. This stretched the property fund manager’s year to date return to an impressive 22%. Investors have been buying its shares in a hurry after it announced the $205 million acquisition of Folkestone Limited, which added a further $1.6 billion of funds under management to its books. One broker that appears pleased with the deal is Ord Minnett. On Monday it held firm with its hold rating but lifted the price target on its shares to $7.50 after factoring the acquisition into its forecasts. I like Charter Hall but I’d class its shares as a hold as well.
The Paradigm Biopharmaceuticals Ltd (ASX: PAR) share price continued its strong run and hit a 52-week high of $1.63 on Monday. Investors have been fighting to get hold of the biopharmaceuticals company’s shares since it announced consistent reduction in pain from an additional 38 patients with osteoarthritis treated with injectable Pentosan Polysulfate Sodium (iPPS) under the Therapeutic Goods Administration Special Access Scheme. This meant that, combined with the previously reported 145 patients, the average reduction in pain scores reached 51.4% across the 183 patients. This is noteworthy as the pain reducing effects of iPPS are considered to be significantly superior than the typical 15% pain reduction scores reported for opioid treatments for chronic pain in osteoarthritis of the knee and hip. I thought the data was very promising and could make it worth keeping a close eye on Paradigm.
The Saracen Mineral Holdings Limited (ASX: SAR) share price has raced to a 52-week high of $2.74 yesterday. As well as benefiting from increased demand for safe haven assets due to the market volatility, Saracen has caught the eye this year with its impressive operational and financial performance. In FY 2018 the company’s gold production reached a record 316,453 ounces, leading to revenues jumping 21% to $511 million and net profit rocketing 175% higher to $78 million. Management expects its production to increase to between 325,000 and 345,000 ounces in FY 2019. This could make it worth considering Saracen if you’re looking for exposure to gold.
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.