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

 

MARKET CLOSE: NZ shares up; Turners Auctions beats guidance

MARKET CLOSE: NZ shares gain as Turners Auctions beats guidance, Michael Hill gains

Feb. 13 (BusinessDesk) – New Zealand stocks rose as Turners Auctions beat its earnings guidance and investors looked ahead to results from jeweller Michael Hill International and Vital Healthcare Property Trust tomorrow.

The NZX 50 Index rose 3.556 points or 0.1 percent to 4873.528. Within the index, 23 stocks rose, 22 fell and five were unchanged. Turnover was $120 million.

Used-car auction house Turners Auctions rose 13 percent to $2.65, an eight year high. Net profit rose 14 percent to $4.8 million in calendar 2013, beating its November forecast increase of 10 percent.

“Turners Auctions was the surprise of the day, delivering an unexpected great result and market reaction was positive,” said Grant Williamson, director at Hamilton Hindin Greene.

Brisbane-based Michael Hill rose 1.5 percent to $1.40. Vital Healthcare gained 0.4 percent to $1.275. Both companies are due to report earnings tomorrow. First NZ Capital analysts have forecast a 5 percent gain for Michael Hill’s net profit, and a 3 percent gain for Vital Healthcare.

SkyCity Entertainment Group was up 0.3 percent to $3.66. The casino operator delivered its results yesterday, which were down on the previous year, but not as much as the market expected, said Williamson.

Auckland International Airport declined 0.5 percent to $3.62, after the Commerce Commission reaffirmed that Christchurch International Airport is setting prices too high, reminding investors of the threat of regulation.

“Any sort of comment like the Commerce Commissions does have an impact on industry prone to regulation, and will create a bit of selling,” Williamson said.

Network provider Chorus fell 1.7 percent to $1.47. Chorus is facing regulated price cuts from December this year, unless the government pushes back on the commission’s decision.

Government-controlled energy company MightyRiverPower fell 0.8 percent to $1.975 and Contact Energy was down 0.2 percent to $5.19. The opposition Labour Party and the Greens have vowed to regulate the electricity market if they win this year’s election.

Retirement village operators were down today as investors took the opportunity to take some profit from the well-performing stock. Summerset Group Holdings sank 2.4 percent to $3.29. Ryman Healthcare slipped 1 percent to $7.60 and Metlifecare dropped 0.5 percent to $4.03.

“There’s been a bit of profit taking. Investors think the sector has had a good run and time to take some profit and look elsewhere,” Williamson said. “The outlook is still exceedingly positive, although some analyst valuations put it as a little bit stretched.”

Telecom rose 1.3 percent to $2.42. Cloud-based accounting software firm Xero gained 0.6 percent to $40.15. The nation’s largest listed company Fletcher Building was up 0.4 percent to $9.45.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Auckland Port To Recapture Gas: Union Calls On Ports To Stop Spewing Methyl Bromide

The Maritime Union of New Zealand welcomes the decision by Ports of Auckland to stop releasing methyl bromide emissions into the air. The move to fully recapture the toxic gas after fumigation sets a new benchmark for industry best practice. More>>

ALSO:

Retail: Banks Shoes Calls In Receiver

Banks Group, which runs 14 stores across the country under the brands including Banks Shoes and Shoe Connection, has been tipped into receivership at the request of director John Bank. More>>

ALSO:

NZ's Space Programme: Rocket Lab Makes It To Space (But Not Orbit)

Electron lifted-off at 16:20 NZST from Rocket Lab Launch Complex 1 on the Mahia Peninsula in New Zealand. It was the first orbital-class rocket launched from from a private launch site in the world. More>>

ALSO:

Earlier:

Budget: Irrigate (Good Times, Come On!)

Additional grant funding of $26.7 million over the next three years plus a capital boost of $63 million towards irrigation investments in Budget 2017 will deliver economic and environmental benefits through better use of water... More>>

ALSO:

Silver Fern Farms: Proposal To Close Fairton Sheepmeat Plant

Silver Fern Farms has advised its people of the proposal to permanently close the site, and has discussed potential transfer options to its other sites in the region as part of the consultation process...
More>>

ALSO: