Over the past decade, the shortest month of the year has been marginally positive for local stocks, with the ASX 200 making gains six out of 11 Februarys since 2013.

That wasn’t the case in 2023, with benchmark index falling 2.9% over the reporting season to wipe out a chunk of January’s gains.

The Aussie benchmark S&P/ASX 200 index fell 2.9% to 7,258.4 points in February 2023. Materials (-6.9%) and Financials (-3.8%) were the biggest drags on the index. Domino’s Pizza (-34.0%) was the worst individual performer. #ausbiz #ausecon #commsec pic.twitter.com/NesM89IjwE

— CommSec (@CommSec) February 28, 2023

The Emerging Companies index (XEC) also suffered, down over 6%.

The local bourse followed the lead of Wall Street where investors, increasingly betting the Fed will hike rates higher for longer, sparked declines in all three major indexes.

Woes were compounded by a domestic earnings season in which companies across the spectrum were punished for missed guidance — a problem that could get worse as interest rate increases start to bite.

 

Here are the 50 best performing ASX stocks for February:

Scroll or swipe to reveal table. Click headings to sort.

eCargo Holdings (ASX:ECG) is a perpetual struggler, having only eked out one full year profit ($200,000 in 2021) since listing in 2014 at 40c per share.

In February, the China-focused ecommerce company surged 260% on no news — for a 500% gain year to date — and played a straight bat to the subsequent ASX speeding ticket.

It then released FY results 28 February which showed 43% growth in revenue to $23.5m and its second ever net profit of $890,000. So, there you go.

Surging semiconductor player BluGlass (ASX:BLG) received its first customer orders for commercial lasers during the month.

Two leading laser original equipment manufacturers (OEM) in the quantum and industrial robotics segments have ordered the company’s 405nm and 420nm 250mW single-mode gallium nitride (GaN) lasers, whatever they are.

Revenues from these initial low-volume orders are immaterial; however, once the lasers are qualified, BluGlass expects to secure recurring larger-volume orders from these customers.

“These orders are an important step towards commercial revenues and demonstrate demand for our lasers from key industry players in underserved wavelengths, flexible form factors, and semi-custom designs,” president Jim Haden said.

“As a result of this increased interest in our newly released products, we expect additional orders from potential customers and partners to be imminent.”

The company is one of just a handful of gallium nitride laser manufacturers globally, operating in a high-value, high-margin semiconductor sector – which it says is worth around US$2.5 billion.

Fellow semiconductor stock Weebit Nano (ASX:WBT) continued its upward march through $1.3bn market cap.

Since early October last year the stock has gained 300% — from $2 to ~$8 – prompting our own Emma Davies to ask: Could semiconductors stocks be the ‘comeback kings’ of 2023?

Meanwhile, explorer Lode Resources (ASX:LDR) entered low orbit (and then floated back down, slightly) on an outstanding silver drill hit – 116.1m at 1003g/t silver equivalent from 90m, including 3.1m at 3325g/t silver from 201m – at the historic Webbs Consol project in NSW.

That’s not true width but still very thick, very high grade, and not too deep, three basic criteria punters should look at when evaluating drill results.

 

Here are the 50 worst performing ASX stocks for February:

Scroll or swipe to reveal table. Click headings to sort.

Cash-strapped biotech featherweight Exopharm (ASX:EX1) saw its shares crater following a bid to raise $2.1 million.

To stay afloat the company will seek to raise cash via a combo of $1.5m raise at 1c per share (an 85% discount to the Feb 7 price of 7c) and $600,000 convertible note (secured to the company’s IP, converting at a 20% discount to the entitlement issue price of 1c).

Similarly, silver explorer Thomson Resources (ASX:TMZ) plummeted after announcing plans to raise up to $1.74m at an almost 90% discount to the last share price. Unheard of.

TMZ executive chairman David Williams has also resigned “due to personal reasons”, effective immediately.

The post ASX February Winners: Semiconductor stocks shine in tough month for investors appeared first on Stockhead.