As an amateur investor it can be confusing to work out whether a stock that hasn't performed is a dud or one that's about to rocket skywards.
That's why it could pay to listen to the professionals who have the time to analyse the underlying business and its long-term prospects.
Here are two such ASX shares that have, at best, gone sideways recently but are poised to soar sooner or later:
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An acquisition that makes sense
Although popular from time to time among professional small-cap investors, Silk Logistics Holdings Ltd (ASX: SLH) shares have slid down more than 10% over the past year.
Morgans investment advisor Jabin Hallihan, though, is a fan of its latest corporate manoeuvring.
"This integrated logistics provider has entered into a binding agreement to acquire Secon Freight Logistics for $35 million," Hallihan told The Bull.
"Secon generates more than $65 million in annual revenue. The acquisition is expected to be more than 10% earnings accretive in the first year."
The takeover will fortify Silk Logistics' strength in Victorian port logistics and provide it an entry into the bulk logistics market.
The acquisition is scheduled to complete at the end of September, which is not too far away now.
"Growth potential exists," said Hallihan.
"Our 12-month share price target is $3.45."
The Silk Logistics share price closed Monday at $1.95.
No more joint venture
If you feel more comfortable with large-cap shares, Mineral Resources Ltd (ASX: MIN) might be more your cup of tea.
Its share price has sunk more than 10.5% year to date.
Similar to Hallihan's pick, Baker Young managed portfolio analyst Toby Grimm is bullish on Mineral Resources because of its recent strategic adjustments.
"This mining services company has updated agreements with Albemarle Corporation (NYSE: ALB). Albemarle will [now] take full ownership of the Kemerton lithium hydroxide plant," he said.
"Mineral Resources will no longer invest in any Chinese conversion assets with Albemarle. It won't make any payments to Albemarle for joint downstream investments."
Grimm called the move "prudent", boosting the company's "operational flexibility".
"[It] takes significant pressure off Mineral Resources' balance sheet as it funds the Ashburton iron ore growth project."
There is an administrative hurdle remaining that could act as a near-term catalyst for the share price.
"The arrangements depend on approval from the Foreign Investment Review Board."
He also mentioned another deal with Albemarle that could be positive.
"Mineral Resources announced it would enter a transitional tolling arrangement with Albemarle to convert Wodgina spodumene until June 30, 2024."
