MARKET WRAP: NZ shares fall as A2 drops
New Zealand shares fell today after A2 Milk's share price fell despite it saying today it's beat its forecasted annual sales guidance.
The NZX50 index dropped 15.92 points to 8,985.47, on turnover of $76 million.
A2 Milk led the market lower, sinking 41c to $11.36.
The company today said sales for the year ended June will have come in about $922m, a 68% increase on the previous year.
In May, it estimated annual sales would be $900-920m.
“Overall the stock price has run, as it does quite often, in a range between 20-50c on any given day, so the story still looks intact but we’ll wait for the full result in August,” says Craigs Investment Partners senior investment adviser Nigel Scott.
A2’s supplier, Synlait Milk, fell 10c to $11.13.
Sky TV was the worst performer, sinking 9c to $2.61.
Fisher & Paykel Healthcare gained 21c to $14.97.
“That’s maybe in response to the slightly lower US dollar, given that the tariff wars that have been going on that’s just knocking those commodity type currencies and helping our exporters,” says Mr Scott.
Spark rose 4c to $3.81, while Kathmandu jumped 11c to $3.02.
Westpac climbed 72c to $32.60 and NZME went up 2c to 83c.
Gentrack fell 10c to $6.95.
Mr Scott says on Friday the market will be watching Oceania Healthcare, which is posting a result. In January the rest home owner reported first-half profit up 93% on the back on property revaluations, and said it expects to meet initial public offer forecasts for the full year.