Weekly Reports | 11:33 AM
A brief look at important company events and economic data releases next week.
For a more comprehensive preview of next week’s events, please refer to “The Monday Report”, published each Monday morning. For all economic data release dates, ex-div dates and times and other relevant information, please refer to the FNArena Calendar.
The week that was in Australian finance:
-The ongoing elusive resolution to the war in the Middle East has translated into a recent pattern of escalation into the weekend before de-escalation ahead of the reopening the following week.
-Markets have been taking their lead from the ebb and flow of negative and positive news, with the more heavily impacted energy-dependent countries like Australia struggling to perform relative to AI-exposed markets.
-Technology and the AI thematic boosted the S&P500 and Nasdaq to new record highs over the week, led by memory chip stocks, following much better-than-expected results from the likes of AMD in the US and an upgrade in hyperscaler spending plans.
-Morgan Stanley was one broker to emphasise the outperformance of price momentum has accelerated since November, and nowhere more so than semiconductors, which have been swept up in the AI trade. The sector is currently three times its weight in the benchmark S&P500 index.
-Back home, the RBA hiked the cash rate by 25bps, as expected, to 4.35%. Less-bad-than-feared central bank commentary boosted sentiment on the day, at least. All eyes are now focused on the Federal Government’s Budget next Tuesday, May 12, with mooted tax changes for investors shaking some nerves.
-Companies have continued with trading and quarterly updates as well as the banks reporting interim results. For more details, check out FNArena’s Corporate Results monitor, which is regularly updated at https://fnarena.com/index.php/reporting_season/
-At the risk of setting a dour tone to start the weekend, the trading pattern on Friday has a ‘Groundhog Day’ feel about it. A sell-off ahead of the weekend brings the ASX200 performance to largely flat on the week and unchanged year-to-date.
-Sectors that performed well over the week included materials, up 4%, information technology up 2% and industrials up 1%. Utilities dragged down -4%, with consumer staples falling some -3.5% and health care remaining under pressure, off -2%.
For more updates on the week ahead, check out the FNArena corporate calendar at https://fnarena.com/index.php/financial-news/calendar/
The team at FNArena wishes everyone a great weekend.
Corporate news in the week that was:
-Firmus delays IPO until September
-NY hedge fund Bleeker Street Research questions Sharon AI’s viability ahead of its ASX listing
-Macquarie Capital ((MQG)) is seeking a JV partner for Qld’s $4bn Bungaban wind farm
-Catch Group founders plan to revive Click Frenzy sales event
-Qantas Airways ((QAN)) extends schedule changes due to high fuel costs and alongside Jetstar have cut capacity due to high fuel costs
-Tesla earns more from batteries than EV sales in Australia
-Coles Group ((COL)) sees rising supplier price increase requests
-Southern Cross Media ((SXL)) faces pressure from activist investors
-Sephora losses deepen despite higher sales
-ANZ bank ((ANZ)) reports strong profit but warns of oil-related risks
-Gina Rinehart rejects royalty restructuring demands
-Craig Laundy plans to expand a new radio network using major brands
-Databricks to invest $416m in Australia over two years highlighting growing AI commitment
-Wyloo Metals considering sale of stake in WA rare earths project
-Chemist Warehouse ((SIG)) expanding into UK via Greenlight Healthcare stake
-Whitehaven Coal ((WHC)) in dispute with key customer in Taiwan over supply terms
-Cbus raising insurance premiums amid higher claims costs
-SPG Global ((SPG)) returning to investors with new equity raising between $60m-$70m.
-Mineral Resources ((MIN)) faces potential -$750m port levy risk linked to Chevron agreement
-Sharon AI denies short seller claims ahead of planned ASX listing
-Sydney Airport rail project delayed due to dispute
-Navigator Global Investments ((NGI)) enters trading halt ahead of acquisition
-Pinnacle Investment Management ((PNI)) raises stake in Metrics to 35%
-CDC Data Centres ((IFT)) has signed the largest data centre contract in Australia’s history; a 555MW deal
-Codan ((CDA)) shares fell nearly -10% after former Codan director and major shareholder Pamela Wall sold around -8m shares worth circa $300m
-Dredge Robotics exploring a potential sale
-Mars Incorporated investing $200m in Australia to boost profits
-Gentrack Group ((GTK)) cuts earnings outlook and announces buyback
-ALS Ltd ((ALQ)) facing cybersecurity-related disruptions
-Magellan Financial ((MFG)) restructures global equity funds
-NZ High Court rules against ANZ Bank ((ANZ)), exposing it to potential penalties
-Wesfarmers ((WES)) commits -$100m to Built Group JV
-Decidr AI Industries ((DAI)) seeks $15m funding
-Waratah Minerals ((WTM)) raises $40m
-Mirvac Group ((MGR)) targeting development turnaround and build-to-rent M&A
-SkinKandy IPO tracking toward top of range
-Qantas Airways ((QAN)) expects fuel prices to remain elevated
-Jardine Matheson evaluating $3b bid for I-MED
-Healius ((HLS)) attracts takeover interest tied to budget outcomes
-FleetPartners ((FPP)) sees rising takeover interest post EV tax clarity
-DigiCo Infrastructure REIT ((DGT)) sells a Chicago data centre for $1b and plans further US asset sales
-Atlas Arteria ((ALX)) rejects IFM Investors’ $7bn hostile takeover bid and appeals to the Takeovers Panel
-JPMorgan appointed to lead Atlas Arteria’s ((ALX)) Chicago Skyway selldown
-EMR Capital’s Ravenswood Gold Mine faces severe financial stress and potential insolvency
-Canva secondary sales lift staff wealth, but may be contributing to early executive exits
-Tanami Gold ((TAM)) launches $70.5m rights issue
-BWP Trust ((BWP)) seeks $228m to fund property pipeline expansion
-BHP Group ((BHP)) signals openness to renminbi-denominated bond issuance after China deals
-Rio Tinto ((RIO)) plans further cost cuts while sharpening focus on copper growth
-Super Retail Group ((SUL)) remains open to acquiring KMD Brands ((KMD))
-Asahi Group leads the race to acquire coconut water brand H2coco
-NextDC ((NXT)) completes a $1.7b hybrid securities offering
-ARN Media ((ARN)) reports a -10% revenue decline following backlash involving Kyle Sandilands and Jackie O Henderson
-SkinKandy increases its IPO size to $160m amid strong investor demand
-Sharon AI increases public engagement efforts amid sector uncertainty
-Palisade Investment Partners markets its livestock exchange business to buyers
-Deloitte commits $1bn to back-office systems as AI automates up to 30% of consulting work
-Credit Corp ((CCP)) nears completion of due diligence on a potential Humm Group ((HUM)) acquisition
Next week’s Corporate Calendar:
For a calendar of earnings result releases and a summary of earnings results to date, refer to FNArena’s Corporate Results Monitor (https://www.fnarena.com/index.php/reporting_season/)
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