Here are 6 stocks that got promoted in the ASX quarterly rebalance, and 6 that got demoted

On Monday December 22, the ASX quarterly rebalance will be effective. Stocks will be promoted into new indices, while others will be demoted. It is important to note from the outset the June and December rebalances only involve the ASX 50, ASX 100 and ASX 200 indices whilst the March and September rebalances also involve the All Ords and ASX 300.

Still, the rebalances will trigger mandatory institutional buying and selling of such companies, something that can cause an impact on the share price. They also garner attention from investors who may buy the stock in the future.

You can find a full list right here. While we can’t recap all stocks being promoted and relegated in the ASX quarterly rebalance, we thought we’d highlight a handful of the most noteable stocks on the list.

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6 stocks that got promoted in the ASX quarterly rebalance

Lynas (ASX:LYC) into the ASX 50

Lynas is the ASX’s top rare earths miner. It has done well due to strong momentum for rare earths. This is driven by global demand for magnets, EVs, defence technologies, and supply chain diversification away from China. Western governments (US, EU, Japan) continue to support non-China rare-earth suppliers financially and strategically.

Improved production and processing capacity, especially at Lynas’ Kalgoorlie and Mt Weld assets have also helped matters.

Washington Soul Pattinson (ASX:SOL) into the ASX 50

Soul Pattinson has long had a reputation as Australia’s Berkshire Hathaway given its long-term track record. 2025 was the year it finally merged with Brickworks and the companies’ liquidities and shareholder register combined. Periods of elevated thermal-coal pricing have helped as New Hope is one of its key investments.

Aussie Broadband (ASX:ABB) into the ASX 200

Aussie Broadband is in a thankless industry (Broadband) but has carved out a market share through superior customer service. Every annual result has been better than the last and FY25 was no different with 19% revenue growth and 15% EBITDA growth. All of its segments (NBN, enterprise and wholesale) all did well even as it invested in the expansion of its fibre infrastructure. The improving margins and subscriber growth have driven sustained share-price strength.

Pantoro (ASX:PNR) into the ASX 200

Virtually all gold stocks have done well in this environment but some have done better than others. But Pantoro has gone above and beyond from an operational perspective. This is due to successful commissioning at the Norseman Gold Project which has 4.6Moz gold. Mining operations are both open-pit and underground; the project includes multiple mining centres and a 1.2 M tonnes-per-annum processing plant

2025 has seen new drilling results with several intercepts over 40g/t as well as successful production and cash flow. Moreover, new high-grade discoveries at Scotia and Gladstone have extended mine life and boosted resource confidence.

AP Eagers (ASX:APE) into the ASX 100

APE is Australia’s largest automotive dealer group and benefited from sustained demand for new and used cars (especially BYDs), even with higher interest rates; strong margins on both vehicle sales and servicing departments and a rotation of consumer spending from services to goods boosted volumes early in the year.

APE also made smart acquisitions in high-growth regions and improved its inventory efficiency after the COVID-era supply chain backlog. These investments are paying off. The company’s steady profit growth, strong cash flow, and capital discipline supported its move up into the ASX 100.

NextGen Energy (ASX:NXG) into the ASX 200

NexGen owns the Arrow uranium project in Canada — one of the highest-grade deposits globally. Measured & indicated resources at Arrow total about 256.7mlb U₃O₈ (uranium oxide), with additional inferred resources beyond that. the company reportedly holds 229.6mlb of uncontracted uranium reserves (i.e. uranium yet to be sold under contract), giving NexGen substantial leverage on future uranium price moves.

2025 has been a good year for uranium generally, driven by nuclear-energy demand and supply shortages. But 2025 has also been good for NextGen, as was the year in which it bought out Rio Tinto’s remaining stake in the project and it doubled its contracted uranium sale volumes via a new offtake agreement with a US utility company, securing 1Mlb per year over 5 years.

6 companies that got demoted in the ASX quarterly rebalance

Mirvac (ASX:MGR) from the ASX 50

Mirvac has been hit hard by surging construction and labour-cost inflation. Rising material and labour costs have squeezed margins on its residential developments: for some apartment projects, profit margins were halved versus normal levels. It has written down A$1.1bn across its commercial real estate portfolio too.

The combination of cost pressures, weaker valuations for its property-and-real-estate assets (especially offices under pressure from remote work trends), and shrinking margins led to a large statutory loss and a sharp drop in its net tangible asset value. As a result, investor sentiment turned negative, dragging down its share price and raising concerns about its ability to sustain prior profits or dividends — especially given its relatively high payout policy, which constrains reinvestment capacity.

Reece (ASX:REH) from the ASX 100

Reece’s core business — plumbing, bathroom and building products — depends heavily on construction activity. In the past couple of years, demand weakened across its key markets (Australia, New Zealand and the US – especially the latter), as softer housing markets, high mortgage rates and general macro headwinds depressed new construction and renovation activity.

Even though revenue fell only modestly, its profit and EBIT fell over 20% and dividends were cut. The company also flagged that the housing-market slump may continue for some time, which suggests further pressure ahead.

Reliance Worldwide (ASX:RWC) into the ASX 100

It is a similar story with Reliance to which is also in the plumbing industry, although it makes unique niche parts. Low new-home sales and subdued repair and renovation activity have reduced sales volumes. Additionally, exposure to international supply-chain pressures and tariffs (given that it imports products and materials into the U.S.) has added further uncertainty, affecting margins and operational costs

Corporate Travel Management (ASX:CTD) from the ASX 200

Given this company has been suspended since August and there’s no end in sight to this saga, this was inevitable. The suspension was triggered by the inability to lodge its final accounts as its new accountants found irregularities and even the third accountant bought in cannot determine who is right. Adding insult to injury, it has emerged that it is been overcharging government clients (mainly in the UK but in Australia).

This company has been criticised for some time, by professional short sellers, analysts and armchair critics on Hot Copper, and CTD saw all of them off by running a stable, high-growth operation. But it looks like reality has caught up with the company.

Bapcor (ASX:BAP) from the ASX 200

Bapcor runs automotive part and accessory outlets and it has been a difficult couple of years financially driven by weaker trading conditions, restructuring costs, asset impairments and write-downs, and weak retail demand. This was even so in key divisions that had previously been resilient.

The company closed many underperforming sites, and incurred significant one-off costs (store closures, inventory write-downs, etc.), which hit profitability hard. The Market reaction was harsh, shares are down over 80% from its all time high and there has been major board turnover. Hope that things will improve (at least anytime soon) is not high to say the least.

Boss Energy (ASX:BOE) from the ASX 200

The company runs the “Honeymoon” uranium project in South Australia. It can pride itself in being one of the first uranium companies to restart operations. But in 2025, Boss shocked markets by cutting its production guidance and raising cost guidance — flagging that FY26 production would be materially lower (and more expensive) than prior assumptions.

The downgrade wasn’t about temporary setbacks: management removed “nameplate capacity” targets and warned of ongoing “ramp-up difficulties,” including inconsistent mineralisation and weaker-than-expected well-field performance. That undermines confidence in the long-term viability of its project.