Z Energy leads stocks lower on downgrade
Broker says supply disruption a one-off
New Zealand shares were mixed yesterday, with Z Energy dropping on an earnings downgrade while Air New Zealand bounced back from recent selling.
The S&P/NZX50 Index fell 27.73 points, or 0.3 per cent, to 8307.63. Within the index, 22 stocks rose, 18 fell and 10 were unchanged. Turnover was $99 million.
fell 2.3 per cent to $7.52. It cut annual guidance by about $20 million following a weaker-thanexpected performance in the December quarter, due to a shutdown of the New Zealand Refining fuel pipeline to
Z Energy
Auckland and the rising price of crude oil.
“It probably didn’t start the day off particularly well but it hasn’t been too bad,” said Grant Williamson, director at Hamilton Hindin Greene.
“Obviously the reasons for the downgrade are mostly outside of its control, and the supply disruption is seen as a one-off by most investors.”
was the worst performer, down 2.5 per cent to $3.53.
Spark Fisher & Paykel Healthcare
dropped 1.1 per cent to $13.15.
Williamson said the fall could be in reaction to ResMed, its Australian competitor, announcing its secondquarter sales revenue rose 13 per cent to US$601.3 million due to demand for its sleep apnoea masks
“Investors might be thinking its strength is hurting F&P, but I doubt whether it will be affected by that — Resmed makes a lot of consumables whereas F&P focuses on the devices themselves,” he said.
Air New Zealand
was the best performer, rising 2.8 per cent to $2.99.
“It has been weak, and a lot of that has been to do with the international price of oil rising,” he said. “The bargain hunters today might’ve thought it had dropped far enough.”
Investore Property
shares were unchanged at $1.46, while stock was unchanged
erty Group’s Stride Prop-
at $1.78.
Investore will pay just below book value to buy three Bunnings stores from manager Stride.