NZ stocks: Top 50 index makes new highs

6.02pm

The sharemarket, which yesterday interrupted a six-day winning streak, today rallied to send the top 50 index to a new high.

"In general, you have had a very good performance right across the board -- you name it, it's up -- Fletcher Building has continued on, INL, (Fisher & Paykel) Healthcare, Sky TV, " said Campbell Stuart of UBS Warburg.

"I don't know if its New Zealand being the safe haven or something and we've certainly had a good reporting season; heaps of money is ploughing into the market.

Asked if the market still had more steam, Mr Stuart said:"We've thought it's been reasonably fullish (priced) for a while but we've been proven wrong. GDP was in line with expectations but it still shows New Zealand has been growing pretty strongly."

The benchmark NZSX-50 gross index closed up 17.70 points at a record closing high of 2806.58. The index has gained 14.5 per cent this year to date.

The NZSX-All capital index closed 4.72 ahead at 935.34.

Star performer today was the children's clothing retailer Pumpkin Patch which posted a June year net profit of $8.1 million -- double its prospectus forecast. The stock, issued to investors at $1.25 in June, gained 6.6 per cent today, 13c, to a new high of $2.10.

ABN Amro Craigs broker Matt Willis said the Pumpkin Patch result was a salient point in an otherwise quiet session.

"This (the result) is endorsing that Pumpkin Patch is a very good growth story," Mr Willis told NZPA today.

"They're doing very well in their sector of the market."

Asked if the stock could rally further, Warburg's Mr Stuart said: "It's had a hell of a move, so I think we've just got to digest the numbers and see what the analysts come out with."

Port of Tauranga gained 10c to a new high of $5.40 after the Commerce Commission cleared the way for Toll and the Port of Tauranga to form a joint stevedoring and marshalling business.

Toll and the port will form a 50/50 joint company which will own all the shares in The Owens Cargo Company Ltd, Toll Logistics (NZ) Ltd and Leonard and Dingley Ltd.

It was onward and upward for F&P Healthcare, gaining another 16c today to 1490. It has leaped nearly 10 per cent in two weeks since announcing two new products.

"It's just one of those stocks that those who are there (investors) don't want to exit," Mr Willis said.

Telecom continued to underpin the market. It rose 4c to $5.87 on turnover of $47m.

There was again big turnover in Powerco, with 12.3m shares changing hands and the share price rising 1c to 211 and just 4c shy of Prime Infrastructure's bid price.

Prime said today it was in talks to establish a re-sale facility for the debt securities which are being offered as part-payment in its takeover offer for Powerco. That would give small investors the option to be paid in cash.

Contact Energy rose 3c to 603 and traded at an all-time high of 605 earlier in the session.

Fletcher Building hit a new high of 580 today but closed unchanged on 575

Sky Television confirmed it had bought a Nelson-based DVD movie rental business DVD Unlimited, the deal effective from October 1. Sky shares rose 1c to 536.

Michael Hill had a good session with a 13c rise to a record 712.

Another to have rallied strongly in the wake of this month's result, Waste Management, rose 9c to 529 to just 1c below its record.

Another to be 1c shy of its peak, was Freightways, which rose 6c to 260.

Guinness Peat rose 6c to 210.

Takeover target NGC, rose 2c to 307 as the prospective bidding field continues to broaden.

Steel & Tube, which slipped this month on reports it was over priced, rose 7c to 447 today.

ANZ Bank continued its stong performance despite the Government's threat to extract more tax this year. It rose 35c to 2000.

Trans Tasman Properties rose 1c to 39. Days after announcing the sale of Auckland Finance Centre to St Laurence had fallen through, the company said it has conditionally agreed to sell the complex.

Carter Holt Harvey rose 4c to 229 and Tenon rose 2c to 206.

Ports of Auckland fell 4c to 661, continuing to suffer fallout from its latest monthly figures which suggest it is losing ground to Port of Tauranga.

The Warehouse move against the trend, slipping 2c to 427.

Others to fall included Toll, 7c to 268, NZX, 10c to 800, Broadway, 4c to 95, and Ryman healthcare, 6c to 309.

The small stocks index made a modest 0.42 of a point gain to 7611.12 while the top 10 index gained 6.58 to 1125.72. Market turnover was 45.8m, worth $x147.5m. As well as the good turnover in Telecom and Powerco, there were $12.3m of Fletcher Building shares traded and $6.3m of Auckland Airport.

There were 68 stocks up and 37 down among the 151 traded.

- NZPA