GR Engineering Ltd (ASX: GNG) and 1414 Degrees Ltd (ASX: 14D)

Hi Kay,

Thanks for the vote of confidence!

GR Engineering Services (GNG) is a $1.1bn Australian engineering and mining services company, specialising in the design, construction and commissioning of mineral-processing plants and infrastructure.

Its earnings are largely driven by mining-sector capital expenditure and project activity, with exposure across gold, copper, lithium and other commodities – healthy industries at the moment.

We felt GNG delivered a good FY26 result, with revenue rising to $493.2m, EPS increasing ~14% to 22.7c and the final dividend lifting to 13c. Importantly, the business remains in excellent financial shape, with $77.8m of net cash and no debt, while the recent $275m Yitirrti copper-silver-zinc EPC contract provides a meaningful boost to its forward order book.

Alongside the result, GNG completed a $100m institutional placement and launched an SPP at $6.10, providing additional capital to support its expanding project pipeline. The combination of improving earnings, a strong balance sheet and growing mining-sector activity has been well received, with GNG shares up ~12.5% over the past month.

• We like GNG with the SPP looking great value with the stock at $6.65 despite the lack of entitlement to the 13c ff dividend.

1414 Degrees (14D) is a $49mn micro-cap clean-energy technology company developing silicon-based solutions for energy storage, industrial decarbonisation and advanced battery materials. Its core SiBox/SiBrick technology stores renewable electricity as high-temperature heat, which can then replace fossil fuels in energy-intensive industrial processes, while the company is also developing hydrogen and silicon-anode battery technologies.

A first for the MM report, with the stock not vaguely in our wheelhouse. We can see why its narrative has captured speculators/investors’ attention but the stocks surge from 2c to 16c then subsequent ~70% drop demonstrates its speculative nature.

The volatility reflects a micro-cap undergoing a major strategic expansion, with 1414 Degrees moving beyond its traditional energy-storage focus into SiNTL silicon-anode batteries, defence/aerospace and AI data-centre infrastructure, meaning each commercial announcement can drive outsized share-price moves.

The opportunity is significant but remains highly speculative, with SiNTL still progressing through testing and commercialisation, while the proposed 1GW Aurora AI data-centre development remains at the non-binding Heads of Agreement stage and subject to approvals and definitive agreements.

• We think 14D is an interesting “punt” below 7c, but it’s probably not for us.

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GR Engineering Ltd (GNG)

LAST UPDATED 28/08/2026 12:57

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GR Engineering Ltd (GNG)

LAST UPDATED 28/08/2026 12:57