Stocks of the Hour: Fisher & Paykel, AMP, CBA & Mosaic Brands

Company News

by Melissa Darmawan

New Zealand medical-maker Fisher & Paykel Healthcare (ASX:FPH) reports its full-year profit soared 82 per cent for the year ended 31 March, thanks to a spike in demand for its respiratory devices to hospitals. The company reported their net profit was a record NZ$524 million with revenue rose 56 per cent from the previous year to NZ$1.97 billion. Despite the positive earnings, the company could not provide a forecast for its next financial year due to ongoing uncertainties of the vaccine roll-out, lockdowns and emerging covid-19 variants as hospitals ‘return to normal’. Shares in Fisher & Paykel Healthcare Corporation (ASX:FPH) are trading 6.02 per cent lower at $27.93.

The Australian Securities and Investments Commission (ASIC) has begun legal proceedings against five subsidiaries of financial giant AMP (ASX:AMP) in the Federal Court of Australia. The corporate watchdog alleged that AMP wrongfully charged deceased customers financial advice and life insurance fees, despite having received notifications of their passing. ASIC scrutinised AMP’s financial advice and insurance operations and detected breaches of financial services’ responsibilities between May 2015 to August 2019. Shares in AMP (ASX:AMP) are trading 5.6 per cent higher at $1.13.

Banking giant Commonwealth Bank (ASX:CBA) has splurged $50 million in a 23 per cent shareholding in online shopping start-up Little Birdie and 25 per cent shareholding in tech-energy retail company Amber. Under their digital banking expansion, customers will access shopping deals and cheaper energy prices on their mobile app which is set to be available soon. Shares in Commonwealth Bank of Australia (ASX:CBA) are trading 0.2 per cent higher at $99.75.

Australia’s largest specialty fashion retailer Mosaic (ASX:MOZ) has been served a $630,000 penalty for misleading consumers into purchasing the company’s coronavirus prevention products. Consumer rights watchdog CHOICE filed a complaint to the ACCC alleging that Mosaic’s retail stores committed false advertising to capitalise on the pandemic conditions. The inquiry’s findings showed that Mosaic misinformed buyers about the effectiveness of its health offerings falsely advertised as “health essentials” in last year’s June quarter. Shares in Mosaic Brands (ASX:MOZ) are trading 1.5 per cent higher at $0.69.

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