NZ stocks ride wave of 2026 optimism

The New Zealand sharemarket edged toward record territory, helped by growing expectations that the economy is turning and 2026 could bring better times.

Monday, November 3rd 2025, 6:57PM

by BusinessDesk

After a late dip, the S&P/NZX 50 Index rose 7.98 points, or 0.06%, to 13,556.30 – just shy of the 13,558.19 peak reached on January 8, 2021. That record stood for nearly five years until October 9, 2025, when the index closed at a new all-time high of 13,570.86.

The benchmark has gained more than 3.3% so far this year.

There were 78 gainers and 67 decliners on the main board with 39.51 million shares worth $134.72 million changing hands.

The local market has quietly gone about making steady gains over the last 12 months. At the end of October, the NZX 50 increased 7.2% while the MidCap Index rose 20.1%.

This compares with the S&P/ASX 200 Index up 8.8% over the past 12 months; US S&P 500 gaining 19.9%; Nasdaq Composite rising 31.1%, Japan Nikkei 225 Index increasing 34.1%; and Hong Kong Hang Seng up 27.5%.

'A little bit of candy'

Matt Goodson, managing director of Salt Funds Management, said the local market had been battling a lousy economy, but it was now pricing in an improvement.

“The market has responded to the interest rate cuts with the Reserve Bank making up for lost time following the monetary tightening.

"Next year is the election and a little bit of candy being handed out (by the government), and we can expect a good year for the market. It certainly has room to grow.”

Goodson said the market felt stronger than it was. There was a good breadth as seen by the number of stocks rising on the main board, and it was held back by the larger ones such as Fisher and Paykel Healthcare, Infratil and Ebos Group being flat.

Fisher & Paykel was down 35c to $36.75; Infratil slipped 1c to $12.35; and Ebos eased 3c to $28.87.

Summerset rebounded 25c or 2.16% to $11.85; T&G Global increased 12c or 5.36% to $2.36; Scott Technology was up 10c or 3.25% to $3.18; Foley Wines gained 3c or 5.26% to 60c; and SkyCity added 1.5c or 2.05% to 74.5c.

Turners Automotive was up 14c or 1.92% to $7.45; Hallenstein Glasson gained 14c to $9.99; and Colonial Motor increased 26c or 3.25% to $8.26.

Global marketer a2 Milk was up 12c to $10.92 after confirming the sale of its 75% stake and China Animal Husbandry Group’s 25% shareholding in Mataura Valley Milk to Open Country.

Share price rise for Westpac

Westpac rose $1.65 or 3.77% to $45.40 after reporting full-year net profit of A$6.9 billion, down 1%, and net interest income of A$19.46b, up 3%. The New Zealand business contributed 16% of the net profit.

The trans-Tasman banking group said loans were up 6% to A$851.9b and customer deposits increased 7% to A$723b. There was 22% growth in the agribusiness portfolio, with the majority from existing customers.

In NZ, Westpac has an 18% market share in consumer lending, 17% of deposits and 16% in business lending.

Goodson said Westpac’s share price rise was a surprise reaction to an in-line result that featured a low number of bad debts.

Port of Tauranga was down 18c or 2.29% to $7.68 after setting a new net profit guidance of $137m-$147m.

Goodson said some analysts interpreted this as a soft outlook but the port company has always been conservative in its earnings guidance. “I wouldn’t be too concerned about this – the business is going fine, particularly when they get their new berth extension.”

Other decliners were Gentrack down 20c or 2.19% to $8.95; and Eroad falling 5.5c or 2.82% to $1.895.

Santana Minerals, down 1c to 88c, has lodged the application for consents under the new Fast-Track Approvals Act for the Bendigo-Ophir Gold Project in Central Otago.

The gold miner expects the project to generate 351 direct jobs, contribute $5.8b in gross domestic product and deliver $1.8b in government revenue through taxes and royalties over the initial 13.8-year life of the mine.

Medical cannabis company Rua Bioscience declined 0.004c or 11.43% to 3.1c after telling the market it was raising $2m through a one for three rights issue at 2.5c a share. Rua said the capital raise was expected to fund the business to a self-sustaining position.

Rua has increased its revenue to $1.9m from $322,000 in the 2024 financial year and is expecting to hit $3m by the end of the 2026 financial year.

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