Market close: NZ shares end week on high note

Fletcher Building chief executive Ross Taylor. Photo / Supplied

The New Zealand sharemarket finished the week on a positive note with a half per cent gain, and a reinvigorated Fletcher Building led the way by reaching a new high.

The memories of a tumultuous May are fast disappearing as the S&P/NZX 50 Index picked up 66.28 points or 0.53 per cent to 12,496.27 – and the index has risen more than 2.5 per cent over the past five trading days after reaching a low of 12,182.25 last month.

There were 83 gainers and 52 decliners over the whole market on steady volume of 37.26 million share transactions worth $173.37 million.

Nigel Scott, investment adviser with Craigs Investment Partners, said there has been selective buying in large cap stocks and the market has consolidated.

"There is limited choice and the market is relatively priced, and people have concentrated on solid cyclical stocks such as Fletcher Building. We've also seen relief rallies in a2 Milk and Synlait.

"There's still excess cash in the market and I think the bulls are still running," Scott said.

Fletcher Building reached a new two-year peak of $7.85, up 19c or 2.48 per cent, after telling the market it will next week begin its on-market shares buy-back, which may take up to 12 months to complete. Fletcher plans to buy up to 41.2m shares worth no more than $300m on the NZX and ASX markets.

Core portfolio stocks making headway were Chorus, up 10c to $6.48; Contact Energy gaining 20c or 2.55 per cent to $8.03; Meridian increasing 6.5c to $5.325; Trustpower collecting 12c to $8.70; and Infratil rising 13.5c to $7.825.

Market leader Fisher and Paykel Healthcare bounced back 13c to $29; and strong dividend stock Spark had a break-out week, after increasing 5.5c to $4.66. Spark sat around $4.50 for a long time and has risen more than 16c this week.

Synlait climbed a further 22c or 6.25 per cent to $3.48, while a2 Milk was down 3c to $6.07 but is now solidifying over the $6 mark.

Reopening stocks SkyCity Entertainment rose 9c or 2.52 per cent to $3.66, and Tourism Holdings was up 3c to $2.55.

Z Energy, which produced its first Modern Slavery Statement, gained 7c or 2.71 per cent to $2.65; Restaurant Brands rose 39c or 2.89 per cent to $13.90; apple exporter Scales Corporation increased 11c or 2.3 per cent to $4.89; and kiwifruit grower and packer Seeka was up 10c or 2.08 per cent to $4.90.

In the retirement village sector, which has some question marks over it, Summerset Group Holdings gained 35c or 2.79 per cent to $12.90, Oceania Healthcare increased 4.1c or 2.93 to $1.44, and Ryman Healthcare was down 17c to $12.80, having slipped from $14.95 on May 12.

New Zealand King Salmon Investments, which reported small fish sizes, recovered 3c or 1.97 per cent to $1.55. Gentrack picked up another 5c or 2.38 per cent to $2.15; AMP rose 4c or 3.39 per cent to $1.22; Accordant Group was up 4c or 2.72 per cent to $1.51; and marketing firm Solution Dynamics increased 6c or 1.94 per cent to $3.15.

Ebos Group, another core stock, was down 37c to $33.25; Freightways slipped 10c to $12.15 after a strong run; Fonterra Shareholders' Fund declined 12c or 2.99 per cent to $3.90; Kathmandu Holdings declined 4c or 2.41 per cent to $1.62; and Hallenstein Glasson, with 13 stores in lockdown in Melbourne, fell 6c to $7.31.

The port companies Marsden Maritime Holdings decreased 15c or 2.44 per cent to $6; South Port New Zealand was down 10c to $8.51; and Napier Port declined 5c to $3.32. EROAD climbed another 11c or 1.96 per cent to $5.71, and personal lender Harmoney recovered 3c or 1.97 per cent to $1.55.

Meal kit company My Food Bag continues to fall out of favour, down 3c or 2.05 per cent to $1.43.

Dual-listed DGL Group is beginning an expansion programme by building a new chemicals storage warehouse at its Auckland Mount Wellington facility for a cost of $4.5m. DGL's share price was unchanged at $1.40.