Australian sharemarket breaks closing, intraday records as company reports impress investors amid more M&A

The Australian sharemarket hit another fresh record high on the back of continued positive earnings reports, and mergers and acquisitions action.

The benchmark S&P/ASX200 index finished 0.5 per cent stronger at 7431.4 while the All Ordinaries Index rose 0.44 per cent to 7704.

OMG chief executive Ivan Tchourilov noted the S&P/ASX 200 also reached an all-time intraday high of 7447.9.

It comes after fresh record closing highs on Thursday and Friday.

According to CommSec, the S&P/ASX 200 index has been gaining ground for 10 straight months, up 12.8 per cent this calendar year and up 1.6 per cent in July.

The mining sector was yet again a big contributor to the gains.

“The common theme of the earnings reporting season so far has been strong performance in the materials sector,” Mr Tchourilov said.

“Oz Minerals, BlueScope and BHP were among the big leaders today, with international demand for iron and steel outweighing a slowdown in domestic construction work due to Covid lockdowns.”

OZ Minerals surged 6.53 per cent to $23.48 after its June quarter report showed a rise in both gold and copper production, while costs fell.

Australian sharemarket breaks closing, intraday records as company reports impress investors amid more M&A

Camera IconOZ Minerals’ Prominent Hill mine in South Australia. Credit: Supplied

BlueScope leapt 6.4 per cent to $24.43 after booking a record preliminary unaudited second half result, with earnings beating its guidance.

BHP gained 2.79 per cent to $53.36 while rival Rio Tinto appreciated 1.8 per cent to $132.47.

“The materials sector performance was eclipsed today, however, by monumental gains in aged care companies such as Japara Healthcare, Regis Healthcare and Estia Healthcare,” Mr Tchourilov said.

Japara rocketed 18.46 per cent to $1.38 after backing an improved takeover offer of $1.40 cash per share by Calvary, also known as the Little Company of Mary Health Care.

“This represents a significant premium on yesterday’s close at $1.165,” Mr Tchourilov said.

“Shareholders of closely correlated peers Estia and Regis Healthcare have been direct beneficiaries of Calvary’s show of confidence in the aged care industry.”

Estia advanced 8.64 per cent to $2.39 while Regis soared 12.57 per cent to $2.15.

Imugene, which is developing therapies that seek to activate the immune systems of cancer patients to treat and eradicate tumours, went into a trading halt pending an announcement about a capital raising.

Australian sharemarket breaks closing, intraday records as company reports impress investors amid more M&A

Camera IconThere were big gains among healthcare stocks. Credit: istock

Takeover target Oil Search dipped 0.5 per cent to $3.93 despite its second quarter report showing it was on track to deliver full-year production and capex guidance.

The report made no mention of suitor Santos, which last week revealed its merger proposal had been spurned by the Oil Search board.

RBC Capital Markets maintained its outperform rating for Oil Search, which oil and gas analyst Gordon Ramsay said had a standout long-term growth profile in the Australian energy sector, partly driven by its proposed Pikka oil development in Alaska.

Ord Minnett said the report showed a strong quarter with production, sales and revenue all above its expectations.

Santos lifted 1.39 per cent to $6.55.

Furniture and homewares e-tailer Temple & Webster booked a record full-year result, with earnings before interest and tax up a whopping 141 per cent.

This financial year is off to a strong start for the company, with revenue up almost 40 per cent for the first 24 days of this month, and the retailer says its growth goes beyond the pandemic-sparked online shopping and home sprucing boom.

Australian sharemarket breaks closing, intraday records as company reports impress investors amid more M&A

Camera IconTemple & Webster has been a big beneficiary of the online shopping and home sprucing boom, booking a record full-year result. Supplied via NCA NewsWire Credit: Supplied

Temple & Webster shares rose as high as $13.33 in early trade before closing 7.4 per cent higher at $12.47.

Mining services company Aquirian made a stellar ASX debut, surging 20 per cent to 24 cents after raising $8m in a significantly oversubscribed IPO.

Bank stocks contributed a big boost to the market, with ANZ putting on 0.87 per cent to $27.91, Commonwealth Bank gaining 1.58 per cent to $100.71, National Australia Bank edging 0.15 per cent higher to $25.98 and Westpac improving 0.69 per cent to $24.79.

The travel sector was in the green despite NSW recording its biggest spike in new locally acquired Covid-19 cases since the Delta outbreak began last month – 172, plus two more deaths – but Victoria announced the lifting of its fifth lockdown.

Flight Centre added 0.76 per cent to $14.52, Qantas rose 1.96 per cent to $4.69 and Webjet firmed 0.83 per cent to $4.88.

Mr Tchourilov said A2 Milk Company was among this week’s biggest losers, spilling 30 cents to $6 on Tuesday without any release of information to the market.

“Maybe there’s no point crying over it, but it’s worth noting that a number of recent divestments from substantial holders and the prospect of an extended lockdown have dampened its recent gains,” he said.

The Aussie dollar was buying 73.66 US cents, 53.3 British pence and 62.45 Euro cents in afternoon trade.

News Related


Gainers & Losers: 10 stocks that moved the most on September 15

The Sensex and the Nifty ended at record closing highs on September 15, supported by across-the-board buying as risk appetite of investors improved after the US inflation numbers soothed concerns ... Read more »

L&T share price at 52-week high as global brokerages retain 'buy'

Larsen & Toubro (L&T) share price added a percent in intraday trade on September 15. The Mumbai-headquartered engineering and construction conglomerate was in focus as global brokerages maintained a “buy” call ... Read more »

September 2021 Moneycontrol Market Sentiment Survey | Equities remain preferred asset class among investors

When it comes to the stock markets, just like cricket, Bollywood, or even politics, everyone has an opinion. But the market opinions that matter the most belong to the people ... Read more »

Naver, Kakao facing uncertainty amid forthcoming regulations

Kim Beom-su, the founder and chairman of Kakao, delivers a speech at the Startup Campus in Pangyo, Gyeonggi Province, May 26, 2016. Yonhap Big tech firms hit by increased short-selling ... Read more »

Korean firms' interim dividends surge to record high

This 2020 August file photo shows office buildings of Samsung Group in Seoul. Yonhap South Korean listed companies’ half-year dividends surged to a record high this year as their businesses ... Read more »

Fears surrounding short selling escalate again

An electronic board in Hana Bank’s dealing room in Seoul shows a slight gain of the benchmark KOSPI, Tuesday morning. Yonhap KOSPI unlikely to regain momentum for rally By Lee ... Read more »

Mirae Asset, KB join RE100

KB Financial Group Chairman Yoon Jong-kyoo Korea Times file By Lee Kyung-min Mirae Asset and KB Financial Group have joined “RE100,” the global initiative led by the international non-profit Climate ... Read more »

Kakao Mobility faces delay in IPO process

Kakao Mobility’s minivans are parked in Seoul in this file photo. Yonhap By Park Jae-hyuk Kakao Mobility abruptly delayed the selection of an underwriter for its listing on the benchmark ... Read more »

Kakao's plan to acquire SM Entertainment facing uncertainties

Corporate logos of Kakao and SM Entertainment / Courtesy of each firm By Lee Min-hyung Kakao founder Kim Beom-su The Fair Trade Commission’s anti-trust investigation into Kakao is feared to ... Read more »

Fractional trading of Korean stocks to be allowed from late 2022

gettyimagesbank By Anna J. Park Fractional trading of Korean shares will be possible from the second half of 2022. Fractional share trading means an investor owns a fraction or a ... Read more »

Goldman Sachs, Morgan Stanley reportedly handling Yanolja's US listing

Yanolja’s headquarters in Seoul / Courtesy of Yanolja Mirae Asset, Samsung Securities likely to lose underwriter status By Park Jae-hyuk Goldman Sachs and Morgan Stanley have reportedly been selected as ... Read more »

Foreign hedge funds pose little threat to Hanssem, SK

Hanssem headquarters in Seoul / Courtesy of Hanssem By Park Jae-hyuk Recent shareholder actions taken by foreign hedge funds against SK Chemicals and Hanssem are expected to have a limited ... Read more »

GM's expanded recall plan hit LG stocks

By Kim Yoo-chul Shares of LG Chem, LG Electronics and LG Corp. dropped aggressively on Monday amid concerns about the grave financial impact on the group’s top three affiliates from ... Read more »

'Sell Korea' continues amid weakening growth momentum in Asia

gettyimagesbank By Anna J. Park Foreign investors’ selling spree of Korean stocks has been continuing this year, as the combined amount of their net-selling of local stocks so far this ... Read more »

Hana to invest W30 bil. in AI asset platform operator

Hana Financial Investment headquarters in Seoul / Yonhap By Lee Min-hyung Hana Financial Investment plans to invest 30 billion won ($25.57 million) in Fount, a Seoul-based artificial intelligence (AI) asset ... Read more »

Hotel booking app ordered to compensate rival for alleged info theft

South Korea’s biggest accommodation booking app Yanolja has defeated its industry rival Good Choice in a civil suit launched over an alleged leak of confidential company information, judicial officials said ... Read more »

Seoul stocks dip nearly 2 percent on US tapering jitters

Dealers busily work at the dealing room of Hana Bank’s headquarters located in Seoul, Aug. 19, as the benchmark KOSPI closed at 3,097.83 points. Yonhap South Korean stocks tumbled nearly ... Read more »

Electric vehicle partnership between NH, Daechang

NH Capital CEO Park Tae-sun, left, poses with Daechang Motors CEO Oh Choung-kee, center, after signing a partnership on expanding the nation’s electric vehicle infrastructure, at the former’s headquarters in ... Read more »

Weakening won burdening Korean equity market

An electronic board set up at Hana Bank headquarters in Seoul shows the movement of the benchmark KOPSI and the won-dollar exchange rate, on Wednesday morning. Yonhap KOSPI bounces back ... Read more »

Popeyes' comeback may hasten KL&P's exit from Mom's Touch

The previous Korean website for Popeyes. Screen captured from Popeyes website By Park Jae-hyuk The recently announced return of Popeyes to the Korean market has prompted investors to anticipate KL&Partners’ ... Read more »

Centroid PE sees complication in TaylorMade apparel business deal

Promotional product image of TaylorMade Apparel / Courtesy of Hansung F.I Local PEF’s inexperience with huge M&A deals is partially blamed By Anna J. ParkLocal private equity firm (PEF) Centroid’s ... Read more »

Carbon-free stocks enjoy bullish run

gettyimagesbank By Anna J. Park Stocks related to carbon neutrality have been enjoying upward movements in the latter half of the year. EcoProHN, a local business affiliate focusing on developing ... Read more »

Financial regulator asked to intervene in 'Mergepoint' saga

Angry customers flock to the headquarters of Mergepoint in Seoul, demanding refunds of their pre-paid money, Friday. Yonhap FSS criticized for inadvertent response that triggers the ‘bank-run’ situation By Anna ... Read more »

Regulators thwart Korean version of WallStreetBets

The GameStop logo in front of the Reddit logo in a February 2021 file photo. Reuters-Yonhap Anti-short-selling campaign nearly ends in failure By Park Jae-hyuk A group of retail investors ... Read more »

Banks expanding earnings from crypto commission returns

gettyimagesbank By Lee Min-hyung Korean banks are expanding their commission profits by offering real-name bank accounts for their affiliated crypto exchanges. With large-cap cryptocurrencies showing signs of a strong rebound, ... Read more »

A 2017 deja vu?

The Goldman Sachs logo is seen in the company’s space on the floor of the New York Stock Exchange in this 2018 file photo. Reuters-Yonhap Experts remain optimistic about Korean ... Read more »

Korea to rationalize cryptocurrency market

Binance’s notification of the suspension of its Korean service / Screen capture from Binance’s homepage By Lee Min-hyung Korea’s cryptocurrency market is undergoing a major reorganization to shift focus onto ... Read more »

Samsung Electronics' market presence at lowest in 23 months

Samsung Electronics building in Seocho-dong, southern Seoul / Yonhap Giant chipmaker Samsung Electronics saw its presence on the main bourse drop to the lowest in 23 months in terms of ... Read more »

NPS invests 27.5 tril. won in PEF

The headquarters of National Pension Service (NPS) located in Jeonju, Jeolla Province. / Courtesy of NPS By Anna J. Park The National Pension Service (NPS), with assets under management (AUM) ... Read more »

Australian sharemarket barely changed after investors digest bumper day of corporate earnings reports

The Australian sharemarket pulled back slightly from record highs as investors digested a jam-packed day of earnings reports, with a major miner and bank weighing on the bourse, while a ... Read more »

MSCI Korea Index's quarterly review includes SK Bioscience, SKIET, EcoProBM

MSCI logo / Reuters-Yonhap By Anna J. Park SK Bioscience, SKIET and EcoProBM have been newly added to the Morgan Stanley Capital International (MSCI) Korea index in its quarterly review ... Read more »

Asian shares fall as Delta fears dominate

Asian shares have failed to follow a strong close on Wall Street as fears about the spread of the Delta variant of the coronavirus weighed on sentiment even as tame ... Read more »

Yet another record close for Australian sharemarket, benchmark index cracks 7600 points for first time

The Australian sharemarket keeps surging to fresh record highs despite ongoing east coast Covid-19 lockdowns and worrying case numbers. The benchmark S&P/ASX200 index cracked 7600 points for the first time ... Read more »

U.S. infrastructure bill benefits local cyclical stocks

U.S. President Joe Biden, left, listens as Vice President Kamala Harris speaks about the infrastructure bill passed by the Senate in the East Room of the White House in Washington, ... Read more »

Lotte Insurance on track to normalize 2021 earnings

Lotte Insurance headquarters in Seoul / Yonhap By Lee Min-hyung Lotte Insurance CEO Lee Myung-jae Lotte Insurance is on track to achieve an eye-catching earnings rebound this year on continued ... Read more »

Australian sharemarket surges to fresh record high yet again, tech stocks the top performers

The Australian sharemarket has rallied to its fourth record closing high in the past five trading sessions, with tech stocks the top performers. The benchmark S&P/ASX200 index closed 0.32 per ... Read more »

Krafton becomes the largest market cap game company on KOSPI

Krafton ranked 20th largest market cap company on KOSPI By Anna J. Park Despite rather lukewarm movement of Krafton’s stock price on Tuesday, the developer of the global mega-hit game, ... Read more »