The market is down 1. The SFE Futures were up 8 this morning.
Wall Street closed up 29 on Friday and was up 2.3% for the week. Unemployment data for January was mixed with gains in payrolls well below estimates but a significant drop in the unemployment rate as they recalculate population numbers. Egypt’s Mubarak held talks with opposition groups agreeing to jointly pursue democratic reform. The oil price was down $1.51 to $89.03. The A$ was down to 101.18c from 101.54c.
Today’s main stories…
- JB Hi-Fi (JBH) — Solid Interim Result — Net profit came in at $87.9m, up 16% on last year. Sales reached $1.683bn (up 8.3%) and declared an interim dividend of 48c (up from 33c last year) — representing a payout ratio of 60%. JBH up 1.7%.
- AGL Energy (AGK) — Profit Downgrade — Announced that recent weather events have knocked $30m-$35m off its bottom line. Now expects FY11 underlying net profit to fall between $415m-$440m, compared to previous guidance of $450m-$480m. Expects to pay an interim dividend of around 29c. AGK up 0.3%.
- MYER Ltd (MYR) — Earnings Downgrade — Myer has cut its FY earnings guidance saying profit will be at least 5% lower on last year because of the challenging retail conditions. Sales for the 6 months to Jan 29 were $1.73bn, down 3.5% on last year. Like-for-like sales were down 5.2%. MYR also announced that it will acquire a 65% stake in Sass and Bide for $42.25m. MYR down 12.5% to 330c – they listed at 410c … they are yet to see that price since listing.
- Sonic Healthcare (SHL) has acquired US Central Coast Pathology Consultants. The acquisition was funded from existing debt facilities and will immediately be EPS accretive. SHL down 0.7%.
- Avoca Resources (AVO) MD Rohan Williams has denied that he will move on after last week’s completion of AVO’s $2bn merger with Anatolia Minerals Development. Anatolia’s Ed Dowling will assume the role of CEO of the merged group, now known as Alacer Gold. AVO unchanged at 330c.
- Atlas Iron (AGO) has extended its $828m takeover bid for Giralia Resources (GIR) by two weeks. AGO up 0.8%, GIR up 2.5%.
- Kangaroo Resources (KRL) expects to complete its $277m acquisition of the Pakar thermal coal project in Indonesia despite a delay in due diligence. KRL up 7.4%.
- QBE Insurance Group (QBE) says any substantial acquisitions are unlikely in 2011 after completing the acquisition of Balboa on Friday and the recent Renaissance Re’s US business. Almost all brokers have HOLD recommendations in the research this morning after the 7.4% rally on Friday. QBE up 0.8%.
For a free 5 day obligation FREE TRIAL of the MARCUS TODAY newsletter Click Here. You will receive our renowned and popular Daily email about the stockmarket with all the stuff you need to know ahead of the trading day including:
- Overnight developments, news, comments, rumours, broker recommendations and ideas from Marcus and his Team.
- Our Recommended Portfolio which is actively managed on behalf of subscribers.…no “set & forget”. Everything you need to effortlessly managed your own long term investment portfolio. It includes Income Portfolio recommendations.
- Daily Technical Trading ideas and data, including daily scans of the ASX 300 for stocks changing trend.
- Stock Database — all the numbers with comments on the top 300 stocks and more.
- Educational section — Marcus’s Educational and Entertaining articles.
Crikey is committed to hosting lively discussions. Help us keep the conversation useful, interesting and welcoming. We aim to publish comments quickly in the interest of promoting robust conversation, but we’re a small team and we deploy filters to protect against legal risk. Occasionally your comment may be held up while we review, but we’re working as fast as we can to keep the conversation rolling.
The Crikey comment section is members-only content. Please subscribe to leave a comment.
The Crikey comment section is members-only content. Please login to leave a comment.