Metal Powder Works (ASX: MPW): Can This 900% Winner Keep Its Momentum?
Charlie Youlden, August 26, 2025
Why Metal Powder Works (ASX: MPW) Has Become One of the ASX’s Hottest Stocks
Metal Powder Works (ASX: MPW) has become one of the most surprising small-cap stories on the ASX, with the stock surging nearly 889 percent in the past year. In a space where many companies struggle to gain momentum, MPW has captured investor attention with breakthrough technology and a string of major announcements.
The latest catalyst came this month when the company signed a contract worth about $1 million AUD with the U.S. Navy’s Naval Postgraduate School. The deal involves delivering a portable DirectPowder unit, essentially a factory-in-a-box capable of producing advanced metal powders anywhere in the world.
For defence and aerospace, this is a game-changer, as it allows critical parts to be made on-site rather than waiting for supply chains to deliver. Following the announcement, MPW shares doubled, adding more fuel to a rally that already looked extraordinary.
The question now is whether this momentum marks the start of something enduring or simply a short-term burst of excitement. To answer that, we need to look deeper at the business model, the technology behind DirectPowder™, and the opportunities that lie ahead.
What are the Best Industrial Manufacturing ASX Stocks to invest in right now?
Check our buy/sell tips
Metal Powder Works: Redefining How Metal Powders Are Made
MPW develops advanced metal alloy powders that are essential inputs for modern manufacturing industries, including aerospace, defence, energy, and 3D printing. These powders serve as the feedstock for additive manufacturing, where precision and consistency are critical.
What sets MPW apart is its patented method of producing high-quality metal powders from standard metal wire. Traditionally, powders are made through atomisation, a process that involves melting metal into liquid form and then breaking it into droplets that cool and solidify.
Instead of melting metal like traditional methods, MPW begins with common, low-cost materials such as wire or bar stock. Using mechanical energy, the company’s process shaves down the material with precision tools, breaking it into consistently sized powder particles. It is similar to taking a solid metal bar and carefully shaving it into fine, uniform powder. This controlled approach allows MPW to produce high-quality powders more efficiently, reducing waste and lowering production costs compared with conventional techniques.
After a 900% Rally, Can Metal Powder Works Keep Climbing?
After delivering a 900 percent share price return, MPW is now in a high-momentum phase with significant opportunities in additive manufacturing, a sector that is reshaping both industrial and defence applications. This is a company worth placing on a watchlist, although we believe a more attractive entry point may present itself for long-term investors.
At current levels the risks are higher, as any cracks in the story could quickly shift sentiment and lead to sharp pullbacks. The main risk lies in the fact that DirectPowder is still a new technology. Industries such as aerospace, defence, and medical devices require lengthy validation before adopting new powder sources. If customer uptake proves slower than expected, revenue growth may fall short of market hopes.
Looking for similar stocks, have a read into AML3D.
Blog Categories
Get Our Top 5 ASX Stocks for FY26
Recent Posts
Judo Bank (ASX:JDO): Gradually getting the recognition it deserves?
Judo Bank (ASX:JDO) had a difficult 4 years since listing in late 2021 and has traded mostly below the IPO…
Which stocks that benefit from inflation the most? Here are 3 sectors to watch
Stocks that benefit from inflation do exist, but they might not be immediately obvious to find. After all, inflation can be…
Is the AI Boom Another Dot-Com Bubble?
Artificial intelligence has been described as the biggest technological revolution since the Internet. From Wall Street to Martin Place, investors…