Stocks to watch: Cue, IRG, Goodman Property, RAK

Stocks to watch: Cue Energy, IRG, Goodman Property, Rakon

Oct. 21 (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 weakened on Wall Street after government figures on housing starts and producer prices disappointed investors and pointed to a sluggish recovery for the world’s biggest economy. The kiwi dollar fell as the greenback strengthened from a 14-month low against the euro. New Zealand economic data out today includes migration and credit card billings.

Cue Energy Resources Ltd. (CUE): Shares of the oil company that has a 5% stake in the new Maari oil field begin trading on the NZX today, returning to the bourse after a four-year absence. The company’s ASX-listed shares traded at 26.5 Australian cents yesterday and have soared 98% in the past six months.

Fisher & Paykel Healthcare (FPH): The New Zealand dollar fell to 74.72 U.S. cents from 75.21 cents yesterday. The kiwi has climbed from below 50 cents in March. A high kiwi erodes the value of overseas revenue. FPH gets almost 80% of its sales in U.S. dollars. The shares fell 2% to $2.99 yesterday.

Goodman Property Trust (GMT): The property investor is rated ‘accumulate’ by Forsyth Barr analyst Jeremy Simpson, according to the ShareChat website. GMT has a very attractive yield and high quality properties, Simpson said. Goodman should be able to keep gearing at around 35%, well within its banking covenants, he said. The shares fell 1 cent to $1.05 yesterday.

Investment Research Group (IRG): The advisory and brokerage firm yesterday announced a one for four rights issue after raising $400,000 selling shares on the same basis to the Edwin Trust last month. The NZAX-listed company traded unchanged yesterday at 1.8 cents.

New Image Group Ltd. (NEW): The health products manufacturer said unaudited sales for the three months ended Sept. 30 rose 22% from the same period year earlier. The shares were unchanged at 77 cents yesterday and have soared more than 480% this year.

New Zealand Oil & Gas (NZO): Crude oil fell from a 12-month high after U.S. housing starts rose less than expected and stocks fell on Wall Street. November futures, which expire today, fell 1.4% to US$78.49 a barrel on the New York Mercantile Exchange, having traded above US$80 earlier. NZOG shares were unchanged at $1.74. Pan Pacific Petroleum (PPP) rose 1 cent to 54 cents.

Rakon Ltd. (RAK): The manufacturer of crystal oscillators used in navigation systems and mobile phones said its Share Purchase Plan closed with applications for $21.1 million, just over the $20 million the company had targeted. Rakon said it will accept the small oversubscription without scaling. The shares are being issued at $1.15 apiece. The shares rose 5 cents to $1.25 yesterday.

(BusinessWire)

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