Ioupay Limited (ASX: IOU)

IOU operates as a fintech company providing mobile banking, digital payment, and telecommunication services to customers in Malaysia and Indonesia. IOU holds a market capitalisation of $88.22 million as of April 04, 2022.

Financial and Operational Updates: In H1FY22, IOU posted a 54.5% uptick in revenue reaching $4.38 million. This was mainly led by the addition of $1.5 million from its newly created BNPL segment and continued growth in the Mobile Banking division. But the company continues to report losses of $5.5 million in H1FY22 as compared to a net loss of $1.4 million in the prior year. Its BNPL segment posted a Total Transaction Value of $9.4 million in the first half of the March quarter. It had reported non-performing loans of $2,487 for the first time indicating modest delinquencies.  

Technical Analysis: On the daily chart, IOU stock price broke the rising trendline support and prices are sustaining below the rising trend line support zone. Further, the leading indicator RSI (14-period) is trading at ~37.07 level, indicating negative momentum. The prices are trading below the trend-following indicator 21-period, which may act as a resistance zone.  An important support level for the stock is placed at AUD 0.140 while the key resistance level is placed at AUD 0.170.

Considering the modest delinquencies in the newly created BNPL business, widening of losses in H1FY22, and current trading levels, a ‘Watch’ stance is suggested. The stock was analyzed as per the closing price of AUD 0.155 per share, as of 4^th April 2022, down ~3.13%.

Investors can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

NOTE: Ioupay Limited (Company) is a client of Kalkine Media Pty Ltd (Kalkine Media), an affiliate of Kalkine. However, under no circumstances have Kalkine or its related entities been, directly or indirectly influenced in making any recommendation concerning Company as contained in this report, and no form of compensation is or will be received by Kalkine, Kalkine Media or Kalkine’s other related entities for the publication of this report. 

IOU Daily Technical Chart, Data Source: REFINITIV 

Australian Clinical Labs Limited (ASX: ACL)

ACL provides pathology services to patients, hospitals, commercial clients, and government organizations in Western Australia, Victoria, South Australia, and the Northern Territory. ACL holds a market capitalization of $1.02 billion as of April 4, 2022.

Financial and Operational Updates: Effective from March 21, 2022, ACL was added to S&P/ASX All Ordinaries index. In H1FY22, revenue surged 61.2% Y-o-Y. It had completed the acquisition of Medlab Pathology which is expected to increase ACL’s market share in NSW. ACL is expecting operational synergies to contribute run-rate EBIT of over $20 million by December 2022. In H1FY22, revenue surged 75% to $538 million as compared to $307.4 million mentioned in the prospectus. It had generated an EBITDA of $239.3 million in H1FY22 vs. $112.8 million in H1FY21.

Technical Analysis: On the daily chart, ACL stock prices are trading below the falling trend line resistance level and facing the resistance of the same. Moreover, the momentum oscillator RSI (14-period) is trading at ~49.93 level, indicating the possibility of a correction in the price. However, the prices are trading above the trend-following indicator 21-period SMA, which may act as a support zone. An important support level for the stock is placed at AUD 4.500 while the key resistance level is placed at 5.470.

Considering the integration complexities of Medlab, fears of the spread of the new virus variant and its impact on essential surgeries and non-COVID tests, and current trading levels, a ‘Watch’ stance is suggested. The stock was analyzed as per the closing price of AUD 5.010 per share, as of 4^th April 2022, down ~1.38%.

Investors can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario.

ACL Daily Technical Chart, Data Source: REFINITIV 

Note 1: The reference data in this report has been partly sourced from REFINITIV

Note 2: Investment decisions should be made depending on the investors' appetite for upside potential, risks, holding duration, and any previous holdings. Investors can consider exiting from the stock if the Target Price mentioned as per the analysis has been achieved and is subject to the factors discussed above alongside support levels provided.

Technical Indicators Defined: -

Support: A level where-in the stock prices tend to find support if they are falling, and downtrend may take a pause backed by demand or buying interest.

Resistance: A level where-in the stock prices tend to find resistance when they are rising, and the uptrend may take a pause due to profit booking or selling interest.

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

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