NZ shares rise, led by Warehouse, Ryman   31 Aug 2016

Article - BusinessDesk

Wednesday 31 August 2016 05:32 PM

MARKET CLOSE: NZ shares rise, led by Warehouse, Ryman while Orion, Chorus keep falling

By Sophie Boot

Aug. 31 (BusinessDesk) - New Zealand shares rose as investors reshuffled their portfolios following earnings season, with Warehouse Group and Ryman Healthcare up while Orion Health Group dropped.

The S&P/NZX 50 Index gained 10.88 points, or 0.2 percent, to 7,398.83. Within the index, 24 stocks rose, 23 fell and four were unchanged. Turnover was $186.3 million, a recovery from two quiet days earlier in the week.

"There's again a little profit taking today, reporting season is now over and it was a bit of a case of 'buy the rumour, sell the fact' - now investors have decided to take a few profits," Grant Williamson, director at Hamilton Hindin Greene said. "We're not going to see too much news for a while now, but we could see people coming back in closer to the dividend dates."

Warehouse Group was the biggest gainer, up 2.5 percent to $1.91.

Retirement stocks improved today, with Ryman Healthcare rising 1.9 percent to $9.60, Summerset Group gaining 1.5 percent to $5.50 and Metlifecare advancing 0.8 percent to $6.10.

"They're coming in for a bit of buying today, both Metlifecare and Summerset beat market expectations," Williamson said. "That's a sector that seems to be outperforming the rest of the market."

Sky Network Television gained 1.7 percent to $4.86 and Trustpower rose 1.3 percent to $7.85.

Orion Health Group was the worst performer, down 3.5 percent to $4.10. The stock is up 32.8 percent this year, having reached a 13-month high of $5.31 in June, but has fallen back since then.

"Orion has been under pressure for a while, they perked up earlier in the year after announcing a few contract wins but investors are conscious they can burn through cash quickly," Williamson said.

Chorus dropped 3.2 percent to $4.25. The telecommunications network operator's shares have dropped 8.2 percent since Monday when the company said lower regulated pricing for access to its copper services were to blame for its full-year profit stalling, although it sees a resumption of growth in 2017.

"It continues to come under some profit-taking pressure, the results maybe didn't meet some investors' expectations," Williamson said. Profit was $91 million in the 12 months ended June 30, unchanged from a year earlier while operating revenue barely budged at $1.008 billion from $1.006 billion.

Steel & Tube Holdings fell 1.3 percent to $2.34. According to media reports, Adina Thorn is launching a class action against steel mesh suppliers who have supplied products which don't meet the required earthquake standards. Steel & Tube is being investigated by the Commerce Commission over its claims that its products had been independently tested when they had not.

Fisher & Paykel Healthcare Corp declined 2.1 percent to $9.67 and Westpac Banking Corp was down 1.6 percent to $30.56.

Outside the main index, Veritas fell 17 percent to 39 cents. The listed hospitality group, which owns the Mad Butcher franchise and the Nosh food markets, suffered after its unaudited full-year results showed heavy losses and a board weighing up whether the business is still a going concern. The share price fall takes the company's market capitalisation to just $16.8 million, less than half its debt of $33 million.

Comvita dropped 1.5 percent to $10.10 while SeaDragon was unchanged at 1.2 cents. SeaDragon shareholders have overwhelmingly voted in favour of funding arrangements with Comvita that will result in the manuka honey company becoming the biggest investor in the fish oil refiner, controlling as much as 36.5 percent of the company.

(BusinessDesk)


Add a comment

News

Hilary Timmins' Award-Winning UK Documentary Series To Inspire NZ Students

29 Jun 2020 Education
Dream Catchers, produced and directed by Hilary Timmins, celebrates the success stories of more than thirty inspirational New... more

New Zealand reaffirms support for Flight MH17 judicial process

7 Mar 2020 News By Rt HON WINSTON PETERS
Ahead of the start of the criminal trial in the Netherlands on 9 March, Foreign Minister Winston Peters has reaffirmed the need to... more

Business

NZ Government's Economic package to fight COVID-19

17 Mar 2020 Business News By RT HON JACINDA ARDERN
The Coalition Government has launched the most significant peace-time economic plan in modern New Zealand history to cushion the... more

NZ Government announces aviation relief package

19 Mar 2020 Business News By Hon Phil Twyford
Transport Minister Phil Twyford today outlined the first tranche of the $600 million aviation sector relief package announced earlier... more

Living

Diversity was Key at New Zealand Trade Tasting in London

6 Jun 2022 Food & Wine
New Zealand Winegrowers Annual Trade Tasting was recently held in London, on Wednesday 4 May, in Lindley Hall. It was the first... more

Kiwi author stuns Behind the Butterfly Gate

12 Jan 2022 Arts By Charlotte Everett
Hidden behind the Butterfly Gate is where the secret has been kept for 76 years...  New Zealand writer Merryn Corcoran’s... more

Property

Fairer rules for tenants and landlords

17 Nov 2019 Property By Minister Kris Faafoi
17 NOVEMBER 2019 The Government has delivered on its promise to the over one million New Zealanders who now rent to make it fairer... more

New Zealand Government will not implement a Capital Gains Tax

17 Apr 2019 Property By RT HON JACINDA ARDERN
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more

Migration

Boosting border security with electronic travel authority – now over 500,000 issued

19 Nov 2019 Migration By Hon Iain Lees-Galloway
19 NOVEMBER 2019 We’ve improved border security with the NZeTA, New Zealand Electronic Travel Authority, which helps us to... more

Christchurch reinstated as refugee settlement location

18 Aug 2018 Migration
18 AUGUST 2018 HON IAIN LEES-GALLOWAY The announcement that Christchurch can once again be a settlement location for refugees... more

Travel

Gallipoli Anzac Day services cancelled

19 Mar 2020 Travel & Tourism By RT HON JACINDA ARDERN
The New Zealand and Australian Governments have announced this year’s joint Anzac Day services at Gallipoli will be cancelled... more

New Zealanders advised not to travel overseas

19 Mar 2020 Travel & Tourism
New Zealanders advised not to travel overseas more

Sport

The Skipper's Diary: Sir Richard Hadlee honouring his father and NZ's Forty-Niners

27 Oct 2019 Cricket By Charlotte Everett
NZNewsUK London Editor Charlotte Everett spoke to Sir Richard Hadlee about why he’s chosen to publish his father’s... more

PREVIEW: All Blacks v England semi-final

26 Oct 2019 Rugby
The two most convincing quarterfinals winners are set to square off in a semifinal showdown for the ages when the All Blacks meet old... more

Columns

Gordon Campbell on the Gareth Morgan crusade

11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade First published on Werewolf The ghastly likes of Marine Le Pen in France and Geert ... more

Gordon Campbell on the US election outcome

10 Nov 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the US election outcome Well um.. on the bright side, there (probably)... more

Kiwi Success

Congratulations to Loder Cup winner

26 Sep 2018 People By Hon Eugenie Sage
25 SEPTEMBER 2018 The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more

Appointments to New Zealand National Commission for UNESCO

16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO HON JENNY SALESA Associate Education Minister Jenny Salesa is... more

Recruitment

Historic pay equity settlement for education support workers

14 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more

Historic pay equity settlement for education support workers

22 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more