- The ASX 200 traded higher on Friday, buoyed by energy and banking stocks.
- The domestic equity benchmark also gained as US inflation-related concerns eased and bond yields softened.
- Whitehaven Coal, Treasury Wines and Perenti Global were the top gainers.
After falling in the last three consecutive sessions, the ASX 200 traded higher on Friday, buoyed by energy and banking stocks. The domestic equity benchmark also gained as US inflation-related concerns eased and bond yields softened, with Wall Street settling higher overnight.
Cloud accounting software Xero tumbled after it reported a marginal revenue fall on per user basis, with ARPU (average revenue per user) coming in at AU$29.30. Lithium miner Pilbara Minerals was under pressure after Citi Research on Tuesday maintained sell rating on the stock, reflecting its concerns around underlying lithium price volatility. Earlier this week, food & beverages company Graincorp reported a fall in statutory profit in the fiscal first half because of one-time items.
Source: © Sadeq68 | Megapixl.com
Having talked about the laggards, let us now turn to the winners. Here are the top five market gainers of the day:
Whitehaven Coal Ltd (ASX:WHC)
The stock of the coking coal explorer rose by 9.5% to the day’s high of AU$1.38. The stock has gained due to a rise in coal prices since early April, underpinned by Chinese demand and some tightening of global supply. The end-users in China have been actively replenishing coking coal recently amid healthy coking margins or surging prices of finished steel.
Treasury Wine Estates Ltd (ASX:TWE)
The share price of Treasury Wine Estates climbed just over 7% to AU$10.98. The food & beverages firm on Thursday said that it expected FY21 earnings before interest and tax (EBIT) to be AU$495 million. The numbers beat the current market expectations.
Perenti Global (ASX:PRN)
The shares of the mining company surged nearly 6% to the intra-day high of AU$0.73. The stock gained after global brokerages said that the supportive economic environment and the company’s strong balance sheet will support its growth ambitions in the medium term. Even as Jefferies cut the stock’s target price to AU$1.10 from AU$1.55 due to tighter labour market, it maintained ‘buy’ rating. According to Refinitiv data, while three of five analysts rated the stock ‘buy’ or higher, two gave ‘hold’ rating.
Source: © Ymgerman | Megapixl.com
Jefferies has raised Treasury Wine Estates' price target to AU$13 from AU$12.00 and retained ‘buy’ rating after its financial update on Thursday. The brokerage said that the company’s FY21 upgrade was ‘pleasing’ and that the outlook was even better. Jefferies expects the company to benefit from COVID-19 recovery as high margin on-trade, cellar door and travel retail sales return.
Champion Iron Ltd (ASX:CIA)
The stock of the mining firm rose above 4% to the day’s high of AU$7.30. The stock surged on rising iron ore prices, which rocketed to new records during the week to reach around $US240 a tonne.
Clinuvel Pharmaceuticals Ltd (ASX:CUV)
The share price of the healthcare firm surged above 4% to AU$29.41. The stock has gained despite no major update by the company today. The stock may have surged after the Australian Federal Budget earlier this week proposed several measures targeting investment in the healthcare sector.