Company Overview: Murray Cod Australia Limited (ASX: MCA) is an Australia-based company engaged in breeding, growing and marketing of Aqua Sustainable Murray cod, a freshwater table fish, and breeding and selling Murray cod, Golden perch and Silver perch as fingerlings for re-stocking. The Company offers construction and sale of aquaculture equipment. AF Legal Group Ltd (ASX: AFL) is an Australia-based law firm that specializes in family and relationship law. The company provides advice to clients in respect of divorce, separation, property, and children’s matters along with related ancillary services such as litigation. Kalkine’s ‘Stocks Under 20 cents’ report covers the Investment Summary, Key Financial Metrics, Risks, Outlook, SWOT Analysis, Technical Analysis along with the Valuation, Target Price, and Recommendation on the stocks.

1. Murray Cod Australia Limited (ASX: MCA) (Recommendation: Speculative Buy, Market Cap: AUD 94.31mn)

H1FY24 Update:

Business Update:

Key Ratios & Figures:

Key Risks and Outlook:

SWOT Analysis:

Valuation, Stock Recommendation and Technical Analysis:

The stock has declined by ~21.56% in the last three months and over the last one year, it has corrected by ~15.29%. The stock has a 52-week low and 52-week high of AUD 0.077 and AUD 0.170, respectively, and is currently trading below the average of 52-week high-low average. MCA was last covered in a report dated ‘22 March 2024’.

2. AF Legal Group Ltd (ASX: AFL) (Recommendation: Speculative Buy, Market Cap: AUD 11.86mn)

Result Highlights of Q3FY24:

Business Update:

Key Ratios & Figures:

Key Risks and Outlook:

SWOT Analysis:

Valuation, Stock Recommendation and Technical Analysis:

The stock has witnessed a correction of ~10.71% in the last month and over the last 9 months, it has declined by ~31.58%. The stock has a 52-week low and 52-week high of AUD 0.125 and AUD 0.237, respectively, and is currently trading below the average of 52-week high-low average. ­­­­ AFL was last covered in a report dated 10 May 2024.

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is neither an indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 21 June 2024. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual’s appetite for upside potential, risks, holding duration, and any previous holdings. An ‘Exit’ from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.

Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.