NZ shares up; Comvita and Kathmandu rally while Fisher & Paykel drops

Kathmandu Holdings stock has risen 18.4 per cent since Monday. Photo / Supplied

New Zealand shares rose, led higher by Comvita and Kathmandu Holdings, while Fisher and Paykel Healthcare Corp and Trade Me Group fell.

The S&P/NZX50 Index gained 2.27 points, or 0.03 per cent, to 8,998.79. Within the index, 32 stocks rose, 12 fell and six were unchanged. Turnover was $142.8 million.

"The market has again shrugged off quite a weak lead from offshore markets, not paying a great deal of attention as support continues for a number of high-growth names," said Matt Goodson, managing director at Salt Funds Management.

Comvita led the index, up 3.2 per cent to $5.85.

Kathmandu Holdings rose 2.8 per cent to $2.96. The stock has risen 18.4 per cent since Monday, when it said it expects to increase profit this year on higher sales and better margins. It's forecasting net profit of $48m to $52m in the year ending July 31, from $38m last year.

"It has a very high dependence on three annual major sales, which can make it difficult for investors to forecast, but this year they really do seem to have the house well and truly in order," Goodson said. "It has occurred against a retail backdrop that hasn't been hugely easy. It is a brand owner as well as a retailer, but they've certainly managed to defy general weakness."

Sky Network Television gained 2.8 per cent to $2.60, Fonterra Shareholders Fund rose 2.5 per cent to $5.35, and Port of Tauranga was up 2.4 per cent to $5.20.

Z Energy gained 0.3 per cent to $7.51. After the market closed yesterday, it said its customer database for the Z card online was breached due to a security flaw and has advised affected customers and the Privacy Commissioner of the failing.

Fisher and Paykel Healthcare was the worst performer, down 2.4 per cent to $14.90. Shares in FPH, which is New Zealand's biggest listed healthcare company, have risen 11.6 per cent since the company announced its earnings at the end of May. In that result, it delivered annual profit of $190.2m, at the top end of its forecast range, and forecast 2019 profit at $210m.

"It has received quite extraordinary offshore buying interest following what was a bit of a soft result, so somewhat surprising that it has rallied a couple of dollars since that result despite some modest earnings downgrades on it," Goodson said.

Trade Me dropped 1.7 per cent to $4.72, Air New Zealand fell 1.4 per cent to $3.175, and Tourism Holdings declined 1.2 per cent to $6.72.