Stocks to watch: HBY, NZO, OGC, RNS, TEL, WHS

Stocks to watch: HBY, NZO, OGC, RNS, TEL, WHS

July 14 (BusinessWire) – The following stocks may be active on the New Zealand exchange after developments since the close of trading in the last session. All prices are in New Zealand dollars unless specified.

Themes of the day: Stocks rallied on Wall Street after chipmaker Intel Corp. posted earnings that beat estimates, stoking optimism for the second-quarter earnings season. Healthy demand at an auction of 1.6 billion euros of Greek government bonds also helped lift investor confidence and appetite for riskier, or higher yielding assets. Retail sales data for May, out today, is forecast to show a return to growth after a decline the previous month. The kiwi dollar pushed above 72 U.S. cents and traded recently at 71.91 cents.

Hellaby Holdings Ltd. (HBY): The diversified investment group us rated a ‘buy’ by Craigs Investment Partners, according to the ShareChat.co.nz website. Benefits from the emerging recovery should help lift earnings and that isn’t currently reflected in the share price, it said. Craigs has a 12-month share price target of $2.24. The shares rose 2 cents to $1.77 yesterday.

New Zealand Oil & Gas (NZO): U.S. crude oil futures climbed almost 3% as better than expected U.S. earnings helped drive up shares on Wall Street. Crude for August delivery rose US$2.20 to US$77.15 a barrel, the highest close since June 28. The shares were unchanged yesterday at $1.27 and have declined 24% this year.

OceanaGold Corp. (OGC): Gold futures rose above US$1,200 an ounce to close at a two-week high as rallying stocks and lingering fears of the flow-on effects of Europe’s debt crisis stoked investors’ appetite for the precious metal. Gold for August delivery rose 1.2%, to US$1,213.50 an ounce and earlier reached $1,216.75. The company rose to its highest level this month on Monday after confirming significant additional gold reserves in the Panel 2 Deeps area of the Frasers underground mine, in Otago. The shares were unchanged at $4.20 yesterday.

Renaissance Corp. (RNS): The computer retailer said revenue climbed 17% in the three months through March, reflected sales at its MagnumMac stores. The company, which is due to release its first-half earnings next month, said it has returned to profit six months earlier than expected as it reined in costs. The shares rose 1 cent to 26 cents yesterday.

Telecom Corp. (TEL): The company said yesterday that its tax expense would increase by about $38 million this year and by up to $30 million in 2011 because of changes to tax rules. Adjusted earnings this year would be at the lower end of a range of $362 million to $402 million, it said. The stock rose 1 cent to $1.96 yesterday.

Warehouse Group Ltd. (WHS): Statistics New Zealand is scheduled to release May retail sales today, with a 0.6% increase forecast, according to a Reuters survey, after a 0.3% decline in the previous month. The shares were unchanged at $3.44 yesterday and have declined almost 16% this year. Briscoe Group Ltd. (BGR) was unchanged yesterday at $1.23.

(BusinessDesk)

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