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

 

Media: Fairfax Moves To Create Modern Newsroom

Fairfax Media New Zealand continues its newsroom transformation this week, with a proposal to further organise its editorial operations into focused, local teams and specialist national topic areas. More>>

ALSO:

Dairy: Fonterra Forecast For 2015/16 Season

Fonterra Co-operative Group Limited has today reduced its forecast Farmgate Milk Price for the 2014/15 season to $4.40 per kgMS. Along with its previously announced forecast dividend range of 20-30 cents per share, the change amounts to a forecast ... More>>

ALSO:

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>


BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>

Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news