Most bought AIM shares in September 2018
9th October 2018 10:05
by Lee Wild from interactive investor
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AIM is the home of exciting technology and natural resources stocks, and both proved popular among customers, writes Lee Wild, head of equity strategy at interactive investor.
A recovery in mining stocks, higher oil prices and the Sky takeover were significant enough to offset big falls elsewhere and leave the FTSE 100 index up 1% in September. Feel-good stories were few and far between on AIM last month, and certainly insufficient to cancel another profit warning from Footasylum, losses at WANdisco and ongoing turmoil at Purplebricks.
It's not unusual to see plenty of new entries in the AIM top 10 as the popularity of growth companies and resource plays waxes and wanes.
Frontera Resources began September in spectacular fashion, announcing Non-Disclosure and Data Exchange Agreements with two industry majors. Hopes that these will end in a farm-out or joint operating deal at its Block 12 holdings in Georgia had the share price up as much as 80%, but it could have been more!
After missing out in August, Hurricane Energy is back on the radar. Excitement is building as development of the Lancaster Field in the West of Shetland region continues, and on the promise of first oil by the middle of next year.
Orosur Mining has gone some way to making up for a poor 12 months, being crowned biggest riser on AIM in September after rocketing over 300%. There were two legs to the share price rally and investors were quick to spot them. A return of over 500% was the reward if any investor was lucky enough to buy the month low and sell the high. Newmont Mining's decision to pay $2 million for 29 million shares at 5.4p each is a massive endorsement of Orosur's Anzá gold exploration project in Colombia.
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Blue Prism has been a stunning performer since joining AIM in 2016, and has been a popular stock among interactive investor clients, but it rarely makes the top 10. It did in September after shares in the robotic software developer turned sharply lower after briefly topping £26 for the first time – they were just 78p at IPO.
With little by way of news, the 20% dive could have been caused by press comment questioning Blue Prism's ability to grow as fast as the valuation requires, triggering a round of profit taking. Making losses and trading on aggressive multiples of projected sales makes Blue Prism one for adventurous investors.
Volatility is no surprise where UK Oil & Gas shares are concerned, but the potential for riches further down the line keeps interest in the Gatwick Airport oil explorer bubbling away. It ended September as king of the castle for a fourth consecutive month, and trading volume suggests it will take something special to knock this stock off top spot.
Most bought AIM stocks by interactive investor's customers in September 2018
| Rank | Company | Previous rank* |
|---|---|---|
| 1 | UK Oil & Gas | 1 |
| 2 | Frontera Resources | new entry |
| 3 | Boohoo | 6 |
| 4 | IQE | 5 |
| 5 | Hurricane Energy | new entry |
| 6 | Versarien | 10 |
| 7 | Orosur Mining | new entry |
| 8 | Greatland Gold | new entry |
| 9 | Bushveld Minerals | new entry |
| 10 | Blue Prism | new entry |
*August 2018
Source: interactive investor, 8 October.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.