Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


MARKET CLOSE: NZ shares rise for fifth session, led by SKL

MARKET CLOSE: NZ shares rise for fifth session; Skellerup, Cavalier lead

Jan. 11 (BusinessDesk) – New Zealand shares rose for a fifth straight session, as the local market continued to bask in its status as relatively high yielding in an economy that’s growing modestly. Skellerup Holdings and Cavalier led gainers and Fletcher Building reached a 19-month high.

The NZX 50 rose 12.67 points, or 0.3 percent, to 4131.754, a new five-year high. Within the index, 31 stocks rose, 12 fell and seven were unchanged. Turnover was $90.9 million.

Skellerup, a manufacturer of milking equipment and rubber goods, rose 1.9 percent to $1.64. The stock has a dividend yield of 7.3 percent. Cavalier, a carpet maker set to benefit from the Christchurch rebuild and a pick-up in building activity, rose 1.8 percent to $1.71.

“Very low interest rates have forced people into stocks to find yield,” said Matt Goodson, portfolio manager at BT Funds Management. “The market started last year significantly under-valued. Now it’s fair value.”

Telecom rose 0.4 percent to $2.31. The stock has a dividend yield of about 13 percent.

Fletcher, the biggest company on the NZX 50, rose 0.6 percent to $8.72, the highest since June last year. The company is rated ‘outperform’ based on the consensus of 11 recommendations compiled by Reuters.

Michael Hill International fell 3.2 percent to $1.21 after the jewellery chain said sales growth stalled in the second quarter, which limited earnings growth in the first half of the year.

“December quarter sales, including the critical Christmas trading period, fell short of our forecasts and didn’t deliver the improvement over last year that the company had expected,” the Brisbane-based company said in a statement.

Goodson said investors are on watch for any other company that come out ahead of earnings season with updated guidance.

Units of the Fonterra Shareholders’ Fun rose 0.6 percent to $7.31. The fund will join the NZX 50 on Jan. 21, replacing Cavalier, according to an NZX statement that came out after the close of trading.

APN News & Media, which publishes the New Zealand Herald, rose 5.9 percent to 36 percent on the NZX.

Vital Healthcare climbed 1.6 percent to $1.26. Nuplex Industries rose 1.6 percent to $3.21.

Trade Me, the auction website, gained 1.5 percent to $4.04 and courier company Freightways rose 1.4 percent to $4.38. Contact Energy, the biggest power company on the NZX 50, was unchanged at $5.15.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Maritime: Navigation Safety Review Raises Big Issues For The Govt

Shipping Federation: "The reports makes it clear that the ratification of the Maritime Labour convention (MLC) is long overdue. Only when the MLC is ratified will Maritime NZ be able to inspect and enforce the labour conditions on international ships visiting our ports." More>>

ALSO:

100 Years After Einstein Prediction: Gravitational Waves Found

For the first time, scientists have observed ripples in the fabric of spacetime called gravitational waves, arriving at the earth from a cataclysmic event in the distant universe. This confirms a major prediction of Albert Einstein’s 1915 general theory of relativity and opens an unprecedented new window onto the cosmos. More>>

ALSO:

Farming: Alliance Plans To Start Docking Farmer Payments

Alliance Group, New Zealand's second-largest meat cooperative, plans to start withholding some stock payments to its farmers from next week to bolster its balance sheet and force suppliers to meet their share requirements. More>>

ALSO:

Gambling: SkyCity First Half Profit Rises 30%, Helped By High Rollers

SkyCity anticipates the Auckland business will benefit from government gaming concessions which were triggered on Nov. 11 in recognition of SkyCity’s $470 million Convention Centre development. Morrison said the concessions would allow the Auckland business to lift its activity during peak period, noting it had a record revenue week over the Christmas and New Year period. More>>

ALSO:

Money For Light: Kiwi Scientists Secure Preferential Access To Synchrotron

Science and Innovation Minister Steven Joyce today announced a three-year investment of $2.8 million in the Australian Synchrotron, the largest piece of scientific infrastructure in the Southern Hemisphere, to secure preferential access for Kiwi scientists. More>>

Telco Industry Report: Investment Hits $1.7 Bln A Year

Investment in the telecommunications sector is $1.7 billion a year, proportionately one of the highest levels in the OECD, according to a report released today on the status of the New Zealand sector. More>>

ALSO:

PGPs: New Programme Sets Sights On Strong Wool

A new collaboration between The New Zealand Merino Company (NZM) and the Ministry for Primary Industries (MPI), announced today, aims to deliver premiums for New Zealand's strong wool sector... More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news