Stocks to watch: GPG, Guocoleisure, NZOG, Westpac

Stocks to watch: GPG, Guocoleisure, NZOG, Westpac

Oct. 19 (BusinessWire) – The following stocks may be active on the New Zealand exchange after developments since the close of trading yesterday. All prices are in New Zealand dollars unless specified.

Themes of the day: Stocks fell in Europe and the U.S. on Friday after disappointing earnings from General Electric, America’s biggest corporate, and Bank of America. Crude oil gained after better-than-expected U.S. industrial production growth last month. The kiwi dollar fell to 73.90 U.S. cents.

Guinness Peat Group (GPG): The investment group today raised its offer for Australian financial services group MMC Contrarian it doesn’t already own to 40 Australian cents from 38 cents and said the new price is final. The shares fell 1.1% to 88 cents on Friday.

Guocoleisure Ltd. (GLL): The diversified investment group that morphed out of BIL International said first-quarter profit dropped 32% to as revenue fell 26%. The shares were unchanged at 60 cents on Friday and have climbed more than 80% this year.

New Zealand Oil & Gas (NZO): Crude oil for November delivery rose 1.2% to US$78.53 a barrel on the New York Mercantile Exchange after Federal Reserve figures showed U.S. industrial production grew 0.7% last month, more than expected, stoking optimism fuel demand will increase. The shares were unchanged at $1.72 on Friday and have gained 35% this year.

PGG Wrightson (PGW): The rural service company’s 's new cornerstone shareholder, Agria, is facing four class suits from American investors who bought shares in its 2007 initial public offer on the New York Stock Exchange, the Sunday Star-Times reported. The shares jumped 20% to 78 cents on Friday.

Restaurant Brands New Zealand Ltd. (RBD): The franchise holder for KFC, Pizza Hut and Starbucks rose 6.8% to $1.42 on Friday after reporting a 240% increase in first-half profit on rising sales of chicken and the impact of impairment charges a year earlier. The shares have soared 111% in the past 12 months.

Westpac Banking Corp. (WBC): The lender may struggle to win an appeal in the $918 million tax avoidance case, says Aegis Equities analyst David Ellis, the ShareChat website reported. He rates the shares ‘add’ and predicts profit margins will widen after the Reserve Bank of Australia's 25 basis point rate hike to 3.25%.

(BusinessWire)

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