Australian Stocks: What Happened Today?

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            [5] => ((SXL))
            [6] => ((WOR))
            [7] => ((RMD))
            [8] => ((CRZ))
            [9] => ((GFF))
            [10] => ((PRY))
            [11] => ((SAI))
            [12] => ((MDL))
            [13] => ((SXL))
            [14] => ((AQG))
            [15] => ((CRZ))
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            [22] => ((UGL))
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This story features COMMONWEALTH BANK OF AUSTRALIA, and other companies.
For more info SHARE ANALYSIS: CBA
The company is included in ASX20, ASX50, ASX100, ASX200, ASX300 and ALL-ORDS

By Stephen Hogan, Senior Private Client Adviser, Equities/Derivatives

Australian Market

The Australian market (XJO) closed down -0.3 points or 0.01% to 5157.4 today. There was a sea of corporate earnings released today, throwing the market around to make for a choppy but small ranged day. We only spent a few minutes in positive territory this morning before moving lower. The XJO made its low of 5143.2 at 2:10pm then headed back to close flat. Overnight U.S. markets broke the losing streak with the Dow Jones rose 31.33 points or 0.20% to 15,451.00. The best performing sector was Consumer Discretionary, gaining 1.03% and the worst sector was Information Technology, falling -1.99%.

In economic news, the Westpac/Melbourne Institute consumer sentiment survey of 1200 people has risen 3.5% in August from July. Now the index is up 9.4% from August last year at 105.7, as well as a marked pick up from the previous month and the highest reading since March.

Commonwealth Bank of Australia ((CBA)) has reported a record cash profit of $7.8 billion for FY13. CBA also said that earnings rose 8% for the fiscal year, and so they are raising their final dividend to $2 a share, making the total year dividend $3.64 which is 9% higher than last year. The dividend, which will be fully-franked, will be paid to shareholders on October 3.

Leighton Holdings Limited ((LEI)) posted a net profit of $360.2 million for the first half of the year. LEI has lifted the interim dividend to 45c from 20c paid earlier. Earnings benefitted from a $215 million gain from the sale of its 70% stake in a telecommunications subsidiary.

CSL Limited ((CSL)) reports another record full year profit of U.S. $1.2 billion, an increase of 19%. CSL will pay a final dividend of U.S. 52c per share in October, unfranked for Australian tax purposes.

Computershare Limited ((CPU)) has released its FY13 results with a profit of U.S. $157 million, which has fallen 9.2% from the previous year. CPU will pay a final dividend of 14c in September.

OZ Minerals Limited ((OZL)) has posted a $269 million half year net loss, driven by $231 million in write downs on its assets. Without the writedowns, OZL recorded an underlying loss of $36.1 million. OZL will pay an unfranked dividend of 10c per share.

Southern Cross Media Group Limited ((SXL)) reported a net profit after tax of $96 million, up 1.2% from last report. SXL declared a fully franked final dividend of 4.5c per share, taxed at 30%, in October.

WorleyParsons Limited ((WOR)) reported a full year net profit of $322 million, down 7% on last year. WOR will pay a dividend of 51c in September.

Resmed Inc ((RMD)) reported a net profit of U.S. $307.1 million for FY13, up 20.5% from the previous year.

RMD declared a dividend of U.S. 68c per share. Earlier in the month, RMD reported June quarter revenue of U.S. $414 million.

Carsales.com Limited ((CRZ)) has reported $83.6 million in net profit after for FY13, up 16.8% from the previous year. CRZ will pay a final dividend of 15.6c per share, fully franked, to be paid in September .

Goodman Fielder Limited ((GFF)) released a full year net profit of $102.5 million . GFF will pay shareholders a final dividend of 3c.

Primary Health Care Limited ((PRY)) reported a net profit after tax of $150.1 million for FY13, up 28.7% on the year before. PRY will pay a fully franked dividend for 11c per share, up from 6c per share previously.

SAI Global Limited ((SAI)) reported a net loss after tax of $43.2 million for FY13, after a $42.4 million in the year before. SAI earnings took a dive from a non-cash impairment charges of $86 million after issues with its learning platform. SAI declared a fully franked final dividend of 8.2c per share, paid in September.

AUD is currently trading at $0.9091, down -$0.023 against the USD.

Top Performers

Mineral Deposits Limited ((MDL)) up $0.28 or 13.73% to $2.32

Southern Cross Media Group Limited ((SXL)) up $0.12 or 8.11% to $1.60

Alacer Gold Corp ((AQG)) up $0.19 or 7.12% to $2.86

Carsales.com Limited ((CRZ)) up $0.67 or 6.67% to $10.72

G8 Education Limited ((GEM)) up $0.12 or 4.53% to $2.77

Bottom Performers

G.U.D. Holdings Limited ((GUD)) down -$0.48 or -7.45% to $5.96

Emeco Holdings Limited ((EHL)) down -$0.015 or -6.52% to $0.215

Computershare Limited ((CPU)) down -$0.66 or -6.34% to $9.75

Downer EDI Limited ((DOW)) down -$0.27 or -6.07% to $4.18

Leighton Holdings Limited ((LEI)) down -$1.03 or -5.96% to $16.24

Our Comments

We are seeing some more confidence come back into the mining sector which is also leading the mining services sector higher. There are a couple of things helping this space at the moment but the main contributor to confidence would be the performance of Shanghai and the Iron Ore price. Firstly the iron ore price has traded extremely well in a time when seasonally the iron ore contract price declines and we see Chinese steelmakers draw down on inventories. We are now at current levels of around $135 a tonne when the Roger Montgomerys of this world were talking $60 a tonne no more than 12 months ago. I have been positive on the iron plays albeit underweight, but even we did not expect iron ore to trade as well as it has and be over $130 this time of year. I would have been happy at the $110 level but it seems the so called Chinese economy move to be more services orientated could be a game of cat and mouse on their part to bring down the price.

As recent as yesterday we heard United Group ((UGL)) CEO Richard Leupen signalling the bottom may be near for the contracting industry as the cost cutting cycle for resources coys edges towards completion. The Bradken ((BKN)) result yesterday was solid in ultimately a tough environment which also helped the sector, BKN finished up 7% for the day.

The market is also largely anticipating a Coalition victory and the betting in the election market would suggest they are right.

(For a more comprehensive summary of last night’s market action see FNArena’s Overnight Report.)
 

Re-published with permission. Views expressed are not by association FNArena's (see our disclaimer).

Stephen Hogan is an Authorised Representative of Novus Capital. Authorised Representative No.345411 – http://www.stephenhogan.com.au

Novus Capital Limited ("Novus") is holder of Australian Financial Services Licence No 238 168. Novus, its directors, officers, associates and employees each declare that they, from time to time, may hold interests in financial products and/or earn brokerage, commission, fees or other benefits from financial products mentioned in this e-mail or attached documents. Unless specifically stated within this e-mail or an attached document, any information communicated by this e-mail constitutes unsolicited general financial product advice which has been compiled without regard to any investor's individual objectives, financial situation or needs. It is not specific advice for any particular investor. Before making any decision about the information provided, you need to consider the appropriateness of this information having regard to your individual objectives, financial situation and needs and consult your adviser. Any indicative information and assumptions used here are summarised and also may change without notice to you, particularly if based on past performance or relate to a future matter.

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