Aristocrat (ASX:ALL) shares down after fall in first half net profit: ASX tracking 0.2% lower at noon

Market Reports

by Rachael Jones

The Australian share market has had a rollercoaster of a morning dipping in midday trade after a rise at the open and is now tracking 0.2 per cent lower at noon. Shares in NRW Holdings (ASX:NWH) are up as are Perenti Global (ASX:PRN). Shares in gambling machine manufacturer, Aristocrat Leisure (ASX:ALL) took a dip today after reporting their first half net profit was down 13 per cent.

The S&P/ASX 200 index is 10 points lower at 5,563. On the futures market the SPI is 0.1 per cent higher.

Broker moves

Citi rates Fletcher Building (ASX:FBU) as a Downgrade to a Neutral from a Buy. While sales improved in May they were still down -10-20 per cent compared with budget. Disruptions in April and May are expected to materially affect profitability, given the fourth quarter is typically 40-45 per cent of full year earnings. Target price has not been assessed. Shares in Fletcher Building (ASX:FBU) are down 2.9 per cent to $2.99.

Company news

The underwritten Share Purchase Plan announced by Breville Group (ASX:BRG) on 13 May 2020 opens today. Eligible shareholders of Breville now have the opportunity to apply for up to approximately $30,000 of new fully paid ordinary shares in Breville without incurring brokerage or transaction costs. The SPP follows Breville’s successfully completed fully underwritten $94 million placement to eligible institutional investors at an issue price of $17.00 per share. The SPP is intended to raise $10 million. Shares in Breville Group (ASX:BRG) are currently down 2.1 per cent $20.86.

Best and worst performers

The best-performing sector is Energy gaining 1.7 per cent, while the worst performing sector is Utilities losing at 1.2 per cent.

The best performing stock in the S&P/ASX 200 is NRW Holdings (ASX:NWH) rising 23.03 per cent to $2.03, followed by shares in Perenti Global (ASX:PRN) and Alumina (ASX:AWC).

The worst performing stock in the S&P/ASX 200 is Pendal Group (ASX:PDL) dropping 5.2 per cent to $6, followed by shares in Aristocrat Leisure (ASX:ALL) and Unibail-Rodamco-Westfield (ASX:URW).

Asian markets

Higher: Japan’s Nikkei is up 0.4 per cent, Hong Kong’s Hang Seng has added 0.1 per cent and China’s Shanghai Composite has added 0.2 per cent.

Commodities and the dollar

Gold is trading at US$1,744 an ounce.
Iron ore price is 1.4per cent lower at US$96.95
Iron ore futures are suggesting a fall of 0.2 per cent.
One Australian dollar is buying 65.63US cents.