Why should you look at the top-5 NZX listed stocks by price movements

Summary

• The NZX 50 Index surged moved up ~2.79% over the past one year as on October 18, 2023.
• Renewable energy stocks have been the star performers during the year including Infratil, Meridian Energy and Contact Energy.
• On a yearly basis, Sky Network (NZX: SKT) rose by 26.15% as per Wednesday’s close, surpassing the gains of all NZX-listed stocks.

The NZX 50 Index has largely been on a slow decline since August this year, with periods of intermittent recovery. Meanwhile, on a yearly basis the index was around 4% higher at Wednesday’s closing price.

Here is a closer look at why these 5 stocks have performed during the past year:

Price action of NZX’s top yearly performers

Network provider Sky Network Television (NZX: SKT) saw yearly price gains of 26.15% at Wednesday’s closing price of NZ$ 2.75.

SKT Price Chart; Powered By: TradingView

In July 2023, the company renewed its multi-year agreement with Warner Bros, securing its position in New Zealand as the provider of globally renowned programming channels like HBO and Max Originals.

The company also announced a modification to its agreement with Optus, ensuring that Sky will have a guaranteed satellite capacity supply until November 2031.

Additionally, Sky received a preliminary expression of interest from a third party to purchase all the company’s shares. The company commenced engagement with the potential acquirer, albeit discussions remain at an early stage.

Sky expects continued growth in consumers and revenues in FY24, with revenue guidance for the period ranging from NZ$765 to NZ$795 million.

Infratil (NZX: IFT), a renewable-energy-based infrastructure company, also moved in positive this year. At Wednesday’s close, the stock gained 26.14% on a yearly basis. Meanwhile, the stock was also higher on an intraday basis by 1.28%.

IFT Price Chart; Powered By: TradingView

IFT has a dividend yield of 1.9%. Meanwhile, the stock’s 5-year gains stand at a noticeable 200%.

The company reported that the independent valuation of its investment in CDC Data Centres on September 30, 2023, showed a significant increase of AU$448 million over the past six months compared to the valuation done on March 31, 2023.

In June this year, Infratil raised NZ$850 million in equity raising, at a discounted price of NZ$10.10. Meanwhile, for FY23, IFT’s net parent surplus from continuing operations amounted to NZ$643.1 million.

Additionally, Infratil’s Retail Share Offer closed oversubscribed in June this year. The equity raising effort ultimately generated a total of NZ$935 million in funds.

Another renewable energy company on the list is Meridian Energy Limited (NZX: MEL), an electricity generating firm. The power company saw its share price rising by 12.28% on a yearly basis. Based on Wednesday’s closing price of NZ$5.075, the stock has a dividend yield of 3.48%.

MEL Price Chart; Powered By: TradingView

In September 2023, Meridian's retail sales volumes experienced a 1.3% increase compared to September 2022. Its September 2023 monthly total inflows amounted to 160% of historical average.

Maintaining its commitment to expanding its renewable project portfolio, Meridian doubled its potential project pipeline to 4.7 gigawatts (11.1 terawatt-hours), with 3.2 gigawatts of this figure being in advanced development stages.

Contact Energy Limited (NZX: CEN) also reported stock price gains this year. The company is engaged in the provision of electricity, natural gas, and LPG products. CEN stock price rose by 9.24% on a yearly basis to NZ$7.92 on Wednesday.

CEN Price Chart; Powered By: TradingView

In the month of September 2023, the company generated net revenue of NZ$127.96/MWh from its electricity and steam segments. Meanwhile, the financial performance in the full year 2023 was also positive for the firm. Contact Energy generated an underlying profit of NZ$211 million in FY23, a 16% increase over FY22.

CEN signed new agreements with Microsoft and NZ Steel, both centered around renewable energy provision. Earlier this year, Christchurch Airport chose Contact Energy to develop a solar farm on its renewable energy precinct.

Fisher & Paykel Healthcare Corp. (NZX: FPH), a healthcare company engaged in respiratory wellness, also saw yearly stock price gains of 9.13% at Wednesday’s market close. On an intraday basis the stock was higher by 1.2% on Wednesday.

FPH Price Chart; Powered By: TradingView

The company recently launched a mask for sleep apnea in New Zealand and Australia on October 16, 2023. The healthcare provider has also appointed a New Future Director, Charlotte Walshe, with effect from January 1, 2024.

The company also received approval for the acquisition of a 105-hectare site in Karaka from the Overseas Investment Office (OIO). The acquisition of the Karaka land will be financed through a blend of operating cash flow and borrowing facilities. Over the past few months, the company has obtained additional debt funding from several prominent banks. As of March 31, 2023, the company had a total of NZ$ 704 million in committed debt funding available, with approximately NZ$ 620 million still untapped.