Records were the order of the day – both here and on Wall Street – as the buoyant New Zealand sharemarket made another healthy gain on strong turnover.
New Zealand's leading stock Fisher and Paykel Healthcare reported a record half-year financial result, and the Dow Jones Industrial Average – the bellwether of the 30 largest listed stocks in the United States – cracked the psychological 30,000 points level for the first time in its 125-year history.
The S&P/NZX 50 Index, already cruising in a new orbit, rose 114.60 points or 0.91 per cent to 12,667.98, after hitting an intraday high of 12,709.90. The Australian S&P/ASX 200 Index is also having one of its best Novembers, and at 5.45pm was up 0.81 per cent to 6698 points.
Locally, it was a busy day for annual meetings and reporting latest results, and investors had plenty to digest. There were 92 gainers and 49 decliners over the whole market, with 64 million shares worth $297.97 million changing hands.
Sam Dickie, senior portfolio manager with Fisher Funds, said there were lots of random moves – especially the rotation stocks - on the back of the strong overseas markets. They have been supercharged by the vaccine developments.
Fisher and Paykel Healthcare had a crazy day after reporting an expected strong result for the six months ended September. Its share price rose to $35.26 before plunging late in the day to $33.55, down 50c or 1.47 per cent, on trade worth $79.4m.
The medical devices manufacturer had a 59 per cent increase in revenue to $910.2m, from $570.9m, and 86 per cent rise in net profit to $225.5m from $121.2m. Its hospital product group's revenue grew 93 per cent to $681m, and it is paying an increased interim dividend of 16c a share on December 16.
Dickie said the surprise was that Fisher and Paykel is forecasting a better-than-expected full-year result – its sixth upgrade in 12 months. It now expects revenue at $1.72 billion and net profit between $400m and $415m.
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Amongst the rotation stocks, Auckland International Airport was up 14c to $7.80; Air New Zealand climbed 4.5c or 2.44 per cent to $1.89; cinema software firm Vista Group increased 6c or 3.45 per cent to $1.80; and Millennium and Copthorne Hotels New Zealand gained 16c or 7.37 per cent to $2.33.
Another record-breaker Mainfreight romped to $61 after rising $1.15c or 1.92 per cent; a2 Milk was up 12c to $14.50 on trade worth $13.5m; Freightways gained 16c to a new high of $9.54; Ryman Healthcare recovered 28c or 1.95 per cent to $14.61; and Hallenstein Glasson increased 26c or 3.95 per cent to $6.85.
Fletcher Building told shareholders at its annual meeting that it now expects operating earnings for the half year ending December to be nearly $100m ahead of the previous corresponding period. The company wants to build 500 homes a year at the prefab plant in Auckland, and its share price rose another 21c or 3.7 per cent to $5.88.
Wine exporter Delegat Group said at its annual meeting it is planning to grow sales by 17 per cent to $3.84m over the next three years – the primary sales drivers being Oyster Bay in North America, and Barossa Valley Estate globally. Delegat's share price rose 25c to $15.75.
Manuka honey producer Comvita rose 6c or 1.9 per cent to $3.22 after telling the market it was the third highest seller amongst New Zealand brands in Alibaba's big Singles Day sale on November 11. Comvita's sales increased 17 per cent on last year's.
Turners Automotive Group's revenue fell 14 per cent to $147.54m but its net profit increased 25 per cent to $13.41m for the six months ending September. Turners said the used car market had rebounded and it reaffirmed its 2021 gross profit of guidance of $28m-$31m. It is paying an interim dividend of 8c a share, and its share price rose 9c or 3.2 per cent to $2.90.
Plexure Group, which has listed on the Australian ASX market, fell 13c or 9.77 per cent to $1.20. The online marketing firm has issued more than 26,500 new shares worth nearly $32m.