AAPL 250.9362 1.1636% MSFT 439.85 0.5624% NVDA 132.26 2.5987% GOOGL 190.36 1.0403% GOOG 191.585 0.7547% AMZN 224.7026 1.8967% META 605.1 1.3245% AVGO 221.57 -0.9167% TSLA 434.8 -1.211% TSM 195.3 -0.133% LLY 758.87 -0.7637% V 315.9 1.9756% JPM 234.325 1.7168% UNH 493.79 -1.1867% NVO 103.7 -2.1329% WMT 93.89 0.3634% LVMUY 130.52 0.7721% XOM 105.67 -0.7048% LVMHF 649.5 0.6649% MA 526.755 1.3068%
Company Overview
Dundas Minerals Limited (ASX: DUN) is an Australia-based exploration company incorporated on April 21, 2020. The main objective of the company is to identify opportunities to acquire or make application for exploration licenses within areas of Western Australia that are considered prospective for the occurrence of nickel and gold deposits.
Initial Public Offering
The company had launched its IPO on the Australian Securities Exchange (ASX) on September 27, 2021, under the ticker DUN and had sold approximately 30,000,000 shares at $0.20/share. We had covered this IPO in our ‘Kalkine IPO Report’ on October 06, 2021 and concluded that this IPO was “Attractive” given its presence in the EV battery metal space, aggressive growth outlook and the firm underlying commodity prices.
Daily Price Chart (as on January 20, 2022). Source: REFINITIV, Analysis by Kalkine Group
Conclusion
Investors who have invested into this IPO can consider ‘Exiting’ from their position at the closing price of $0.20 as on January 20, 2022, given:
Increasing rate hike scenario: Give the heightened inflationary pressure across the globe, rate hike from the US Federal Reserve is eminent. An increase in the rate hike will have an adverse impact on the gold prices, as gold is inversely proportional to interest rate.
Supply chain bottlenecks: Given the rapid spread of Omicron variant of Covid-19 across the globe, supply chain bottlenecks have again resurfaced. Companies are facing containers shortage and steep rise in shipment costs.
Inflationary pressure: The cost of mining has significantly increased on the back of heightened energy prices, increasing shipping cost, among others. For small-size companies, higher inflationary pressure could be detrimental for their growth.
*The reference data in this report has been partly sourced from Refinitiv.
Kalkine Equities LLC provides general information about companies and their securities. The information contained in the reports, including any recommendations regarding the value of or transactions in any securities, does not take into account any of your investment objectives, financial situation or needs. Kalkine Equities LLC is not registered as an investment adviser in the U.S. with either the federal or state government. Before you make a decision about whether to invest in any securities, you should take into account your own objectives, financial situation and needs and seek independent financial advice. All information in our reports represents our views as at the date of publication and may change without notice.
Kalkine Media LLC, an affiliate of Kalkine Equities LLC, may have received, or be entitled to receive, financial consideration in connection with providing information about certain entity(s) covered on its website.
US 
AU
UK
CA
NZ
Please wait processing your request...