Sharechat Logo

Stocks to watch: Diligent, Downer, Goodman

Thursday 12th August 2010

Text too small?

Diligent narrowed its operating loss and sales jumped 70%, Downer EDI has been rated as a 'hold' by Aegis and may look at raising more capital, while Goodman Property's fund manager reduced its holdings in the company by around 1.3%.

Diligent Board Member Services (DIL): The provider of online services to company boards narrowed its first-half operating loss to US$1.45 million from US$2.78 million a year earlier. Sales jumped 70% while costs fell 3%, said chairman David Liptak. The stock traded unchanged yesterday at 64 cents.

Downer EDI (DOW): The departure of former chief executive Geoff Knox reflected his inability to convince the market that the worst is over for the construction industry, said Peter Esho, an analyst at Aegis Equities Research, according to ShareChat. Esho, who rates the stock a ‘hold’, said replacement CEO Grant Fenn may look at raising more capital. The shares trade infrequently on the NZX and were last at A$4.72 on the ASX. 

Goodman Property Trust (GMT): Fund manager ING (NZ) reduced its holdings in Goodman to about 6.1% from 7.4% and trimmed its stake in Property for Industry (PFI) to 4.9% from 5.1%, according to separate filings. Goodman was unchanged at 93 cents and PFI gained 0.9% to $1.13 yesterday. 

Infratil (IFT): The investment management company told shareholders at their annual meeting yesterday that it is growing increasingly confident about its guidance for full year operating earnings of between $390 million and $430 million. The shares climbed 0.6% to $1.63 yesterday.

NZ Farming Systems Uruguay (NZS): The South American dairy operator facing a takeover bid from Singapore’s Olam International rose 1.8% to 56 cents yesterday amid speculation Olam may have to raise its 55 cents-a-share offer.  

Steel & Tube Holdings (STU): Steel & Tube, which supplies steel building products to the construction industry such as reinforcing rods, is set to release its full-year financial results today. Paul Robertshawe, who helps manage $220 million for Tower Asset Management, said the outlook for the company did not look good, and that the market was expecting weaker results. Shares fell 2.2% to $2.22 yesterday.

Themes of the day: Investors fled global equity markets overnight following the Federal Reserve's downgrade of the US economic recovery, with the Dow down 2.5% and the S&P 500 off by 2.8%. Wall Street's ‘fear gauge', the Chicago Board Options Exchange's VIX index, climbed 14% to a three-week high of 25.39 as traders went back to so-called safe havens like the greenback and yen. The uncertain outlook saw the New Zealand dollar drop to a three-week low against the greenback, down to 71.58 US cents from 71.61 cents yesterday.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

VCT - Operational performance for the year ended 30 June 2024
Challenge to banks the way to go
Bigger returns or lower risk?
NPH - Director Appointment
July 19th Morning Report
Wellington International Airport Ltd (“WIA040”) - Maturity
Devon Funds Morning Note - 18 July 2024
CNU - Commerce Commission releases draft Price Quality decision
Precinct FY24 Annual Results and Webcast Details
Scott Technology appoints new CEO