tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Tuesday, August 16th, 8:42AM

Investments

rss
The Markets

Eroad shares fall to all-time low

New Zealand’s benchmark index dipped today as fleet management company Eroad tumbled to a record low.

Thursday, June 30th 2022, 6:08PM

by BusinessDesk

The S&P/NZX 50 Index fell 90.1 points, or 0.82%, to 10,868.70. Turnover was $185.9 million.

Brad Gordon, a director at Hobson Wealth Partners, said it had been a “drifting” market over the day.

He said the business confidence data from the latest ANZ Business Outlook that was released today didn’t help – but at the same time, with interest rates coming off, it provided a level of support.

ANZ’s data revealed that 62.6% of respondents said they expected economic conditions to worsen over the next 12 months, versus a net 55.6% that were negative in May.

Gordon said the market was also reaching “confession season” given that a smallish reporting season is coming up.

“But there haven't been any confessions yet which is positive given how tough the environment is,” he said.

One of the index’s most heavily sold stocks in recent months – fleet management company Eroad – was down again today. The stock fell 3.4% to $1.42, bringing the company’s share price decline over the past year to 77%.

This is the lowest the share price has fallen since October 2016 when the stock was $1.45 per share.

Gordon said Eroad was an example of when key talent within a company was lost, the company itself could lose its way.

He said there was “potentially an overhang” from previous chief executive Steven Newman’s sudden exit from the company in April.

“Until they get some results and traction, the market is probably just going to stand back and see,” he said.

“It's probably just more about surprise.”

CMC analyst Tina Teng said the S&P/NZX 50 fell 0.23% in the first half hour of trading this morning.

Auckland International Airport, electric utility company Vector, and Fisher & Paykel Healthcare had led the loss while Air New Zealand, Skellerup Holdings and Pushpay had been among the biggest gainers at the market’s opening.

By the end of the day, Vector shares were still down 1.2% to $4.17, Fisher & Paykel Healthcare was up 0.5% to $19.98 and Auckland International Airport fell 2.7% to $7.18.

Church management software company Pushpay also dropped 1.6% to $1.27, manufacturer Skellerup Holdings 1.5% to $5.29 and Air NZ up 0.9% to 57 cents.

New Zealand King Salmon shares were flat at 19.5 cents per share after the company rejected media “speculation” this morning that it was seeking buyers.

The salmon buyer told the NZX that it wasn’t in talks with any potential suitors and hadn’t been approached by anyone with an offer.

Gordon said the news swirling around King Salmon’s possible sale was “interesting” and could be feasible because The Australian newspaper seemed to have some detail.

He said it was possible that major shareholders were looking for an exit, but it was “obviously at early stages and a work in progress”.

Chatham Rock Phosphate zoomed up to the top of the index by the end of the day, up 15.6% to 37 cents.

Medicinal cannabis company Greenfern Industries also had a good day and was up 11.1% to 16 cents but Cannasouth – the first medicinal cannabis company to list on the NZX – was down 2.6% to 37 cents.

Personal lender Harmony had the biggest fall on the index today, dropping 8.9% to 82 cents.

The NZ dollar was trading at 62.13 US cents at 3pm in Wellington, down from 62.51 cents yesterday.

Teng said the Kiwi dollar’s fall against the US dollar followed US negative GDP data and central banks’ “determination” to rein in inflation by aggressive rate hikes sparking renewed recession fears – along with recent weakened commodity prices.

Tags: Market Close

« NZ shares fall as market rally evaporatesNZ stock market finishes first half of 2022 down 18% »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
Subscribe Now

AM Update - Your morning business news update

Previous News
Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AIA 6.35 5.25 5.45 5.99
ANZ 6.34 5.59 6.05 6.29
ANZ Blueprint to Build - - - -
ANZ Special - 4.99 5.45 5.69
ASB Bank 6.35 ▼4.99 5.45 5.69
Avanti Finance 6.65 - - -
Basecorp Finance 7.25 - - -
Bluestone 6.89 - - -
BNZ - Classic - 4.95 5.39 5.69
BNZ - Mortgage One 6.39 - - -
BNZ - Rapid Repay 6.39 - - -
Lender Flt 1yr 2yr 3yr
BNZ - Std, FlyBuys 6.39 5.55 5.99 6.29
BNZ - TotalMoney 6.39 - - -
CFML Loans 7.25 - - -
China Construction Bank - 5.35 5.80 5.99
China Construction Bank Special - - - -
Co-operative Bank - First Home Special - 4.89 - -
Co-operative Bank - Owner Occ 6.25 4.99 5.39 ▼5.69
Co-operative Bank - Standard 6.25 5.49 5.89 ▼6.19
Credit Union Auckland 5.95 - - -
First Credit Union Special 5.85 5.35 5.85 -
Heartland Bank - Online 4.60 ▼4.79 ▼5.15 ▼5.14
Lender Flt 1yr 2yr 3yr
Heretaunga Building Society 6.50 5.60 6.00 -
HSBC Premier 6.34 5.09 5.34 5.59
HSBC Premier LVR > 80% - - - -
HSBC Special - - - -
ICBC 6.00 ▼4.79 5.15 ▼5.69
Kainga Ora 5.85 5.31 5.58 5.97
Kainga Ora - First Home Buyer Special - - - -
Kiwibank 6.00 5.95 6.45 ▼6.59
Kiwibank - Offset 6.00 - - -
Kiwibank Special - 4.95 5.45 ▼5.69
Liberty 4.84 - - -
Lender Flt 1yr 2yr 3yr
Nelson Building Society ▲6.95 5.55 6.15 -
Pepper Money 5.29 - - -
Resimac 5.59 6.54 6.44 6.98
SBS Bank 6.29 ▼5.39 ▼5.79 5.99
SBS Bank Special - ▼4.89 ▼5.29 5.49
Select Home Loans 6.89 - - -
TSB Bank 7.05 5.65 6.09 6.39
TSB Special 6.25 4.85 5.29 5.59
Unity 5.65 4.95 5.55 -
Wairarapa Building Society 6.49 5.55 6.15 -
Westforce credit union - Special - 5.35 5.85 -
Lender Flt 1yr 2yr 3yr
Westforce credit union - Standard 5.85 6.05 6.55 -
Westpac 6.39 5.55 6.05 6.29
Westpac - Offset 6.39 - - -
Westpac Special - 4.95 5.45 5.69
Median 6.34 5.33 5.79 5.83

Last updated: 15 August 2022 8:19am

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com