The Australian share market rose at the open and is now tracking 0.1 per cent higher at noon. Bravura Solutions (ASX:BVS) shares are on the up today after they announced they are to acquire FinoComp for $25 million. FinoComp is an Australian software company that builds unique, highly flexible software that supports the UK wealth market. Domino’s Pizza (ASX:DMP) shares are down - hit by UBS’s broker note. Meanwhile, the Infotech sector is leading the way and the Energy sector is falling behind.
The S&P/ASX 200 index is 4 points down at 6,745. On the futures market the SPI is eyeing a lift of 10 points.
UBS has downgraded Domino’s Pizza Enterprises (ASX:DMP) from a Neutral to a buy, with a 12-month price target of $50.00 from $48.50. UBS saw Domino's FY20 to date trading update as mixed, with network sales in line with consensus but new store growth as soft. Shares in Domino’s Pizza Enterprises (ASX:DMP) is 3.5 per cent lower at $49.00
Agribusiness Elders (ASX:ELD) is thrilled the Federal Court of Australia has today made orders approving the scheme of arrangement for the proposed acquisition of Australian Independent Rural Retailers. It is expected that an office copy of the Court's orders will be lodged with the Australian Securities and Investments Commission (ASIC) tomorrow at which time the Scheme will become legally effective and Elders can acquire 100 per cent of the issued shares in AIRR. Shares in Elders (ASX:ELD) is currently trading 0.3 per cent higher at $5.96.
Bega Cheese (ASX:BGA) shares have taken a dip today after an update showing a tightening in market conditions. They report in addition to the competitive milk supply environment, the last quarter has seen a slowdown in growth in key categories. CEO Paul van Heerwaarden said “While our branded consumer food business is continuing to grow we are seeing softening in demand for products destined for certain export markets which will adversely impact earnings in FY2020.” Shares in Bega Cheese (ASX:BGA) are trading 11.8 per cent lower at $4.00.
Best and worst performers
The best-performing sector is Information Technology, adding 1.7 per cent, while the worst performing sector is Energy, shedding 0.6 per cent.
The best performing stock in the S&P/ASX 200 is Bravura Solutions (ASX:BVS) rising 6.5 per cent to $4.07, followed by shares in SIMS Metal Management (ASX:SGM) and Mineral Resources (ASX:MIN)
The worst performing stock in the S&P/ASX 200 is Bega Cheese (ASX:BGA), dropping 11.8 per cent to $4.00, followed by shares in Resolute Mining (ASX:RSG) and Domino’s Pizza (ASX:DMP).
Commodities and the dollar
Gold is trading at US$1,493 an ounce.
Iron ore price is flat at US$87.98
Iron ore futures are pointing to a fall of 1.8 per cent.
One Australian dollar is buying 68.43 US cents.