About Castillo Copper 

Castillo Copper is an Australian-based explorer focused on copper across Australia and Zambia. The company is embarking on a strategic transformation to morph into a mid-tier copper producer. Castillo currently has four properties: 

• Mt Oxide project in the Mt Isa copper-belt district, north-west Queensland, which delivers significant exploration upside through having several high-grade targets 
• Four high-quality prospective assets across Zambia's copper-belt, which is the second largest copper producer in Africa 
• A large tenure footprint proximal to Broken Hill's world-class deposit that is prospective for zinc, silver, lead, copper and gold 
• Cangai Copper Mine in northern New South Wales, which is one of Australia's highest grading historic copper mines.

 The Big One deposit 

One of Castillo's priorities has been developing its Mt Oxide Project, especially progressing drilling campaigns at the Big One deposit. 

Today, the company announced "game changing assays", which significantly extend the known mineralisation at the high-grade Big One deposit. This discovery pushed the Castillo share price up by 47% to 6.5 cents at the time of writing. 

Castillo Copper's Managing Director Simon Paull commented:

We are delighted to receive assays of this calibre, especially with global copper supplies tight. There is now compelling evidence Big One Deposit is a shallow, high-grade copper-cobalt system that can potentially scale further. The Board is now ramping up forward development work and the modelling of a maiden JORC compliant resource.

There is an expected pause in drilling activities due to the commencement of the wet seasons across northern Australia. However, the company announced a geophysics campaign is being formulated to identify new bedrock conductors and potential test-drill targets. 

In addition, the board has instructed the Castillo geology team to commence modelling a JORC compliant resource based on available historic and fresh data. If the outcome of the geological modelling is positive, then the board expects to commence applying for a fresh mining lease.

The Castillo share price is up by 170% on this time last year. On current prices, Castillo has a market capitalisation of $65.92 million.

The post Castillo Copper (ASX:CCZ) share price rockets 47% on major copper discovery appeared first on The Motley Fool Australia.

In comparison, the All Ordinaries Index (ASX: XAO) is still down 9% in 2020.

Castillo's share price was initially unfazed by the COVID-19 panic selling that gripped the ASX in late February. But in early March, the share price crashed 50% in a single day, down to 1 cent per share. The recovery began on 7 April. Since then, the Castillo Copper share price is up a whopping 395%.

What does Castillo Copper do?

Castillo Copper, as the name implies, is a metals explorer with a primary focus on copper. The company also hunts for nickel, zinc and cobalt.

Castillo's prime asset is the Cangai Copper Mine. Located in northern New South Wales, Cangai counts among Australia's highest grading historic copper mines. Castillo also has the Mt Oxide project in the Mt Isa district. Located in north-west Queensland, the area is known to be a copper-rich region. In addition, Castillo has prospects in Zambia, the second largest copper-producing nation in Africa.

Why could Castillo's share price run higher?

Just as gold explorers' share prices are closely tied to the price of bullion, so too are copper explorers' share prices linked to the price of copper. There are other factors involved, of course. Good management and an element of luck go a long way to aiding an explorer's share price.

But for a copper explorer like Castillo, the price of copper is a big factor in how well the share price will perform. Today copper is trading for US$6,789 per metric tonne, levels not seen since mid-2018.

The copper price is surging due to an increase in global demand, predominantly from China, along with falling global inventory levels. That explains some of Castillo's 2020 success. But the latest data in from China indicates that its copper demand remains at almost record levels. Copper imports in August were only slightly lower than July, which set a new record high.

Castillo's latest review, reported yesterday, of its Mt Oxide Pillar project also looked encouraging.

Commenting on the review, Castillo Copper's Managing Director Simon Paull said:

The ongoing geological review at the Mt Oxide Pillar continues to deliver dividends, with interpretation of the evidence highlighting potential prospectivity for structurally controlled copper mineralisation. This delivers another attractive target to investigate and cumulatively builds on the Mt Oxide Project's exploration upside.

If you're considering investing in Castillo, be sure to do your own thorough research. And remember that small-cap shares (Castillo has a market cap of $48 million) tend to be riskier than bigger shares. And certainly more volatile.

Over the past 12 months the Castillo Copper share price has traded as low as 0.6 cents and as high as 5.3 cents.

The post The Castillo Copper (ASX:CCZ) share price is up 140% in 2020. Here's why. appeared first on The Motley Fool Australia.

Here is what the team have come up with…

Daniel Ewing: WISR Ltd (ASX: WZR)

Wisr offers an alternative to the traditional forms of personal lending provided by the major banks and was Australia's first neo-lender. This alternative approach is reaping rewards as the company reported phenomenal 136% revenue growth and increased loan originations in its FY 2020 result.

Furthermore, the company recently announced its second major competitive product, vehicle financing, which will help to grow its market share. The Wisr share price has seen amazing growth since its lows during the pandemic, however, it has fallen sharply since releasing its FY 2020 results. I believe this represents the perfect buying opportunity.

Motley Fool contributor Daniel Ewing does not own shares in WISR Ltd.

Tristan Harrison: Citadel Group Ltd (ASX: CGL) 

Citadel is a relatively small ASX tech share. It has global growth aspirations and largely provides software for defensive industries like healthcare, defence and education. It recently acquired a United Kingdom-based healthcare software provider called Wellbeing, which increases its overall level of recurring revenue and the earnings before interest, tax, depreciation and amortisation (EBITDA) margin.  

Citadel has plans to cross-sell its existing healthcare software to Wellbeing clients in the UK. It can also sell Wellbeing's software to Citadel's existing clients. It can take the combined offering to new markets. The Citadel share price is trading at just 14x FY22's estimated earnings.  

Motley Fool contributor Tristan Harrison does not own shares in Citadel Group Ltd. 

Chris Chitty: JB Hi-Fi Limited (ASX: JBH)

My growth share for September is JB Hi-Fi. This company has experienced uninterrupted earnings per share (EPS) growth since 2012 and with online sales booming, this trend looks set to continue. Online sales grew by 48.8% in the 2020 financial year with underlying net profit after tax growing 33.2%. This came as consumers spent more on home appliances and entertainment products. The JB Hi-Fi share price has reflected its long-term earnings growth with the retailer's share price increasing more than 5 fold over the last decade. JB Hi-Fi has stated that it has a focus on sales growth across all channels and, in my opinion, this company looks set to continue its long-term growth.

Motley Fool contributor Chris Chitty does not own shares in JB Hi-Fi Limited.

Lloyd Prout: Megaport Ltd (ASX: MP1)

Megaport is a 'network-as-a-service' provider that helps businesses adjust their fixed broadband bandwidth in line with their requirements.

The company produced a great set of quarterly results recently. Annualised recurring revenues were up 57% year on year, and Megaport had $166.9 million in cash and equivalents as at 30 June. The company is still running at a loss, as it continues to invest in itself. However, management believes it can become EBITDA break even on an exit run rate basis in FY21.

The Aussie tech share is operating in a growth area, however the Megaport share price is likely to be volatile on the road upwards. 

Motley Fool contributor Lloyd Prout does not own shares in Megaport Ltd and expresses his own opinions.

Brendon Lau: Fortescue Metals Group Limited (ASX: FMG)

It's hard not to think about the iron ore miners for growth in FY21 and Fortescue's profit results show it's well placed to continue delivering for shareholders. The iron ore price remains stubbornly high and brokers have been playing catch-up in upgrading their price forecasts for the sector. Fortescue is more leveraged to the stronger-for-longer iron ore price than its larger peers. What's more, it's set to pay big dividends. As such, I believe it's a win-win stock for both growth and income investors.

Motley Fool contributor Brendon Lau does not own shares in Fortescue Metals Group Limited.

Bernd Struben: Castillo Copper Ltd (ASX: CCZ)

All growth shares carry greater risk. Castillo Copper, with its market capitalisation of just $50 million, is no exception. The Castillo share price has traded from lows of 1 cent to as high as 5 cents per share in 2020.

Year to date, Castillo's share price is up 150%, but I think it could gain far more. Copper prices are at their highest level since mid-2018. And soaring demand from China as inventories shrink should see copper head even higher.

Castillo's prime asset is the Cangai Copper Mine in New South Wales, amongst Australia's highest grading historic copper mines. It also has a project in Queensland and prospects in Zambia.

Motley Fool contributor Bernd Struben does not own shares in Castillo Copper Ltd.

James Mickleboro: ELMO Software Ltd (ASX: ELO)

I think ELMO Software could be a top ASX growth share to buy in September. It provides a unified software platform which allows businesses to streamline a range of human resources and payroll processes. It recently provided guidance for organic annual recurring revenue (ARR) of $65 million to $70 million in FY 2021, which represents annual growth of 18% to 27%. This is still only a fraction of its total addressable market, which management estimates to be $9.2 billion across the Australia/New Zealand and United Kingdom markets. ELMO also has a cash balance of ~$140 million available for value accretive acquisitions in the near future.

Motley Fool contributor James Mickleboro does not own shares in ELMO Software Ltd.

Daryl Mather: Whispir Ltd (ASX: WSP)

Whispir is a software-as-a-service (SaaS) company that provides a function rich platform for mass communications by companies and state departments. Typical users would include utility companies, emergency services, or entertainment companies.

Whispir's FY20 report saw revenues increase by 25.5% and established a gross profit margin of 62.5%, with 95.6% of revenues being annual recurring revenues (ARR). Aside from the company's growth in Australia, it has started to expand into the United States and Asia, with Manila in the Philippines now its second largest centre of operations.

I think this is a great growth opportunity given the growing demand for mass communications globally.

Motley Fool contributor Daryl Mather does not own shares in Whispir Ltd.

Nikhil Gangaram: Nearmap Ltd (ASX: NEA)

The Nearmap share price has been flying under the radar. Since its low in late March, shares in the aerial mapping company have surged nearly 240%. I still think shares in Nearmap could go higher in September.

Despite the harsh trading environment induced by the pandemic, Nearmap reported a solid FY20. The company saw a lift in annualised contract value (ACV) and also reported a 25% increase in statutory revenue for the full year. Given that Nearmap's services are classified as essential, I think that the company can deliver strong growth in September and beyond.

Motley Fool contributor Nikhil Gangaram does not own shares in Nearmap Ltd.

Glenn Leese: Pointsbet Holdings Ltd (ASX: PBH)

Pointsbet Holdings is one of the most exciting shares on the market right now. Founded in 2015 in Victoria, the sports betting provider has enjoyed huge success through the rapid growth in market share of its cloud-based technology platform.

After rising nearly 180% in 2020, the Pointsbet share price is taking a brief pause in trade while it issues a $303 million capital raise. The raise is to support efforts of becoming the official sports betting partner of NBC Sports in the US, capturing the attention of its 184 million viewers. Currently, the share price is sitting at $13.69, at the time of writing, and the cap raise offer is set at $6.50. I have little doubt that we may see a pullback in the Pointsbet share price short term ready for another bull run.

Motley Fool Contributor Glenn Leese does not own shares in Pointsbet Holdings Ltd.

Sebastian Bowen: A2 Milk Company Ltd (ASX: A2M)

My growth share for this month is the a2 Milk Company. a2 Milk has been an ASX growth star for years now. But what I really like about this company is it just keeps on winning with its powerful brand and marvellous expansion strategy. In its FY2020 earnings report that was released last month, the company reported an eye-watering revenue growth rate of 32.8%. And that was to NZ$1.73 billion as well. Since winners usually keep winning, I'd be more than happy to look into a2 Milk this September for a long-term investment.

Motley Fool contributor Sebastian Bowen does not own shares in A2 Milk Company Ltd.

The post Top ASX growth shares to buy in September 2020 appeared first on The Motley Fool Australia.