Weekly | LYC, ILU Rebound From Record Lows; SUL, HVN Jump on Updates

As of the close on Friday,$S&P/ASX 200(XJO.AU)$ closed at 6,826.90 points, down 1.07% in the past 5 days.

During the last 5 trading days, $Lynas Rare Earths(LYC.AU)$ added 13.20%; $Champion Iron Ltd(CIA.AU)$ was up 10.51%; $SUPER RETAIL GROUP LTD(SUL.AU)$ rose 7.08%; and $ILUKA RESOURCES LIMITED(ILU.AU)$ increased 6.90%; $HARVEY NORMAN HOLDINGS LIMITED(HVN.AU)$ was up 5.38%

1. $Lynas Rare Earths(LYC.AU)$ soars 13% after license extension in Malaysia: Positive outlook despite short-term challenges

$Lynas Rare Earths(LYC.AU)$ experienced a significant 13% surge in its stock following the extension of its cracking and leaching (C&L) license in Malaysia from January 2024 to March 2026.

• This extension is expected to remove production bottlenecks, enhance operating flexibility, and increase production capacity.

• Analysts anticipate upgrades to production forecasts in FY25 despite short-term challenges related to rare earth prices and demand fluctuations driven by electric vehicle sales.

 2. $Champion Iron Ltd(CIA.AU)$ soars 10.51% amidst rebounding iron ore prices

Iron ore prices rebounded due to optimism about global demand, potential government stimulus, and supply factors.

• China's central bank injected liquidity into the banking system through medium-term lending facility (MLF) operations.

• Iron ore inventories at Chinese ports fell significantly, reaching the lowest levels since June 2020. Low inventories often lead to increased demand and higher prices.

3. $SUPER RETAIL GROUP LTD(SUL.AU)$ rises 7% on upbeat FY 2024 trading update: Strong sales growth fuels optimism

Super Retail's stock rose following a positive trading update for FY 2024.

• The company reported a 4% increase in total group sales and 2% growth in like-for-like sales, driven by strong performances in its Supercheap Auto, Rebel, and BCF brands.

• Management expressed optimism, citing favorable gross margins and a strong market position, emphasizing the importance of the upcoming Christmas holiday period for the company's performance.

 4. $ILUKA RESOURCES LIMITED(ILU.AU)$ surges 6.9%: Technical rebound following record low

• Iluka Resources Ltd is a mineral sands company engaged in exploration, project development, rehabilitation, and marketing of mineral sands products.

• After its dividend was reduced in August earnings report, the stock has been dipping and fallen to a record low this Monday and then rebounded. As there is no price-sensitive news, the stock rebound is more likely a technical rebound.

5. $HARVEY NORMAN HOLDINGS LIMITED(HVN.AU)$ surges 5% on positive trading update and $442 million share buyback announcement

• Despite a 9.1% decrease in aggregated sales revenue from various markets, the company benefited from currency appreciation.

• Harvey Norman plans an on-market share buyback of up to 10% of its shares, totaling around $442 million, considering recent share price performance.