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

 

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Scoop Business: ComCom Charges Hawkins’ Finance Companies Over Debt Recovery

The Commerce Commission has filed criminal proceedings against two finance companies run by former 1980s high-flyer Allan Hawkins over their debt recovery practices. More>>

ALSO:

Science Media Centre: The Big Science Stories Of 2014

It was a dramatic year for science, one that witnessed a severe outbreak of Ebola in West Africa and an historic mission to land a space probe on a comet. On the home front... headlines with animal testing for 'legal highs', 1080 use to tackle increased pest numbers and court action over genetically modified organisms among the most-covered stories. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news