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

 


Morningstar Equities - WPL, FSF-NZ, FSF

Morningstar Equities - WPL, FSF-NZ, FSF

Woodside Petroleum Limited WPL| 7:00AM | Woodside Dividend Manna from Heaven

Morningstar Recommendation: Accumulate

We downgrade our Woodside fair value estimate by one-third to AUD 43 per share. Key among a number of tweaks driving the downgrade is higher assumed sustaining capital expenditure, which more than offsets marginally lower growth capital expenditure. The dynamic reflects an expectation that production will be sustained more from existing projects than from greenfield developments. Forecast returns on invested capital for late in the decade fall from high double digits to mid-double digits. Returns for mid-decade are still expected to plumb high single digits anticipating a return to heavy growth capital expenditures, chiefly Pluto LNG Train 2, Browse LNG and Sunrise LNG. Returns are currently a respectable 12% excluding capital expenditure attributed to projects yet to produce.


Fonterra Shareholders' Fund FSF-NZ| 7:00AM | Trimming Estimates for Fonterra on Near-Term Headwind

Morningstar Recommendation: Reduce

Correction: Our previously published report displayed an incorrect New Zealand dollar fair value estimate. The correct fair value estimate for Fonterra is NZD 6.50.
Fonterra recently announced an opening forecast Farmgate Milk Price (FMP) of NZD 7.00 per kg of milk solids (MS) for the 2013/2014 season which began on 1 June 2013, an increase of NZD 1.20 compared with the 2012/2013 season. The firm also indicated its operating earnings will be hit by NZD 25 million (or NZD 1.5 cents per share) in 2013 as it was required to supply large volumes of milk (as per the raw milk regulation) to competitors at subsidised prices from March to May because of the drought. In light of this impact, and the ongoing investments in China to support the company's growth plans, we are trimming our 2013 and 2014 forecasts by 4% and 6% respectively.


Mighty River Power - Upgrade due to price change
Qube Holdings - Upgrade due to price change
Telecom NZ - Upgrade due to price change
Nuplex Industries - Upgrade due to price change
Trade Me Group - Upgrade due to price change
Woolworths - Upgrade due to price change
WorleyParsons - Downgrade due to price change
Technology One - Upgrade due to price change
Toll Holdings - Downgrade due to price change
Western Areas - Upgrade due to price change
Super Retail Group - Downgrade due to price change
Transfield Services - Upgrade due to price change
Treasury Group - Downgrade due to price change
GL Energy - Upgrade due to price change
Mesoblast - Upgrade due to price change
ResMed - Downgrade due to price change
Wotif.com Holdings - Upgrade due to price change
Infratil - Upgrade due to price change
FKP - Upgrade due to price change
Stockland - Downgrade due to price change
Ausdrill - Upgrade due to price change
Beach Energy - Upgrade due to price change
Coca-Cola Amatil - Downgrade due to price change
Fisher & Paykel Hlth - Downgrade due to price change
Fleetwood Corp. - Upgrade due to price change
Flight Centre - Downgrade due to price change
Goodman Fielder - Upgrade due to price change
Independence Group - Upgrade due to price change
IRESS - Upgrade due to price change
Fairfax Media - Downgrade due to price change
Macmahon Holdings - Upgrade due to price change
Metcash - Upgrade due to price change
Origin Energy - Downgrade due to price change
Perilya - Upgrade due to price change
Premier Investments - Downgrade due to price change
Sigma Pharma. - Upgrade due to price change
Sonic Healthcare - Downgrade due to price change

ends


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

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:

More:

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:

Get More From Scoop

 
 
Standards New Zealand

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