New Zealand shares fell, led lower by Oceania Healthcare after it reported annual earnings significantly weaker due to covid-19.Thursday, July 23rd 2020, 6:15PM<\/p>\n
by BusinessDesk<\/p>\n
The S&P\/NZX 50 Index declined 29.56 points, or 0.3 percent, to 11,693.41. Within the index, 24 stocks rose, 19 fell, and seven were unchanged. Turnover was $136.4 million.<\/p>\n
Oceania reported a net loss of $13.6 million in the year ended May after writing down the value of its property portfolio by $22.5 million. It reported a $45.4 million profit in the prior year.<\/p>\n
Its share price fell 3.9 percent to 99 cents but had been steadily gaining in the run up to the result.<\/p>\n
Oceania was going to have a flat 12 months anyway, but that revaluation headline spooked the market, Brad Gordon, an investment adviser at Hobson Wealth said.<\/p>\n
Other retirement stocks had a mixed response to the sectors first earnings report post-covid.<\/p>\n
Arvida Group declined 1.2 percent to $1.62 and Summerset Group Holdings fell 0.5 percent to $7.85. Ryman Healthcare gained 0.4 percent to $13.64 and Metlifecare held at $5.91.<\/p>\n
Stuart Williams, head of equities at Nikko Asset Management, said that, even within sectors, various stocks in the benchmark had been moving in different directions.<\/p>\n
It is just normal investors' interpretation of company specifics as opposed to some global overview, he said.<\/p>\n
Chorus dropped 2.6 percent to $7.25 as the Commerce Commission began consulting on regulatory changes that will affect the companys future return expectations.<\/p>\n
Spark New Zealand fell 0.9 percent to $4.865 after gaining almost 10 percent this month. Gordon said this had been driven by steady demand for yield stocks.<\/p>\n
The catalyst has been people rolling off term deposits and looking for alternatives, he said.<\/p>\n
Vector, which is also considered a yield play, rose 2.9 percent to $3.93, bringing its gain this month to more than 8 percent.<\/p>\n
Fisher & Paykel Healthcare dropped 1.8 percent to $35.35, the strong kiwi dollar is acting as a headwind for the exporter which is trading at near its record high.<\/p>\n
Auckland International Airport dropped 1.7 percent to $6.31 while Air New Zealand rose 0.8 percent to $1.33.<\/p>\n
Z Energy extended its rally after reporting better than expected first-quarter cost savings and improved market share. The stock rose 1.7 percent to $2.94.<\/p>\n
New Zealand Refining Company, in which Z Energy is a cornerstone shareholder, rose 1.5 percent to 69 cents, extending yesterdays gains after it announced it had detailed planning underway to simplify the refinery.<\/p>\n
Argosy Property rose 3.3 percent to $1.27, posting the days biggest gain, but other property stocks were mixed.<\/p>\n
Stride Property and Kiwi Property Group each dropped 0.5 percent to $1.94 and $1.07 respectively. Vital Healthcare Property Trust gained 1.9 percent at $2.66 and Goodman Property Trust rose 1.4 percent to $2.22.<\/p>\n
Sky Network Television opened stronger after Jarden upgraded the stock and said establishing a sustainable operating model was not an insurmountable task. However, the early gains faded, and the stock ended flat at 14 cents.<\/p>\n
Outside the benchmark index, Cavalier Corp leapt 22.7 percent to 27 cents. The wool and carpet company today said stock levels had decreased \"significantly\" to about $35 million, on the back of \"stronger than anticipated\" trading through June, particularly in wool sales.<\/p>\n
Tags: Market Close <\/p>\n
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Another down day on the market; Oceania reports weak earnings - goodreturns.co.nz<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" New Zealand shares fell, led lower by Oceania Healthcare after it reported annual earnings significantly weaker due to covid-19.Thursday, July 23rd 2020, 6:15PM by BusinessDesk The S&P\/NZX 50 Index declined 29.56 points, or 0.3 percent, to 11,693.41. Within the index, 24 stocks rose, 19 fell, and seven were unchanged. Continue reading