Comvita comes back strong on upbeat day
Offshore leads create ‘sea of green’
New Zealand shares rose as Comvita continued its bounce from Monday’s plunge and Tegel Group Holdings gained. The S&P/NZX 50 Index gained 26.76 points, or 0.4 per cent, to 7090.92. Within the index, 30 stocks rose, 12 fell and eight were unchanged. Turnover was $145.2 million.
“Following on from offshore leads, it’s a sea of green everywhere,” said David Price, broker at Forsyth Barr. “It’s picking up but it’s still relatively quiet, this is kind of the first week back. The market has gone into cruise mode coming up to reporting season, it’s kind of late to be getting any confessions now.”
led the index, rising 4.4 per cent to $7.30. The manuka honey products maker’s shares dropped 17 per cent on Monday after it warned annual earnings will tumble by about two-thirds as the nation’s wet, windy
Comvita
weather saps the honey harvest and slow sales via China’s informal trading channels, but bounced 7.5 per cent on Tuesday.
“I don’t think the downgrade was a surprise, they had been talking that way.
“Things had been a bit slow for them, and the result would probably be a little softer than they originally thought. They talked about that back in October,” Price said. “The reaction was reasonably extreme, so it’s just correcting a bit of that aggressive selling we saw on Monday.”
Tuesday’s worst performer, rose 3.1 per cent to $1.34. Price said he didn’t read much into the rise, which is on low volumes.
gained 2.3 per
Tegel Group Holdings, Port of Tauranga New Zealand Refining
cent to $4.09, was up 2.2 per cent to $2.75 and
Co Argosy Property
$1.05. rose 1.9 per cent to
Air New Zealand
advanced 0.5 per cent to $2.20. Passenger revenue in the first six months of the company’s financial year has fallen sharply, even when the affect of foreign exchange fluctuations are eliminated. Short-haul passenger revenue through its preferred metric fell 6.3 per cent in the six months to December, while long-haul passenger revenue slumped 14.3 per cent.
gained 0.5 per cent to $2.16. The country’s largest energy company by customer numbers says electricity retail connections fell by 1.2 per cent to 514,155 between the end of September and the end of December 2016. Units in the
gained 0.2 per cent to $6.27. Fonterra Co-operative Group has sought to reassure shareholders after its Chinese partner Beingmate Baby and Child Food slashed its fullyear guidance. Fonterra bought an 18.8 per cent stake in Beingmate in 2015 seeking to gain greater access to the Chinese market, and says the long-term outlook is still strong.
Genesis Energy holders’ Fund Turners Fonterra Share- SkyCity Entertainment Group
was the worst performer, down 0.8 per cent to $3.87, and declined 0.8 per cent to $16.80. Outside the benchmark index,
was unchanged at $3.80. The country’s largest seller of vehicles will sell stakes in its loan book in a deal worth an initial $150m. The securitisation programme is to start in February, with the first sales in March.
Ebos Group