5 NZX Blue Chip Stocks Under Spotlight

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Blue-chip companies are well-established big-cap companies, which have been operating for many years and provide investors with stable/consistent returns. They are one of the most popular stocks among investors.

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Amid COVID-19-induced market volatility, the need to add blue-chip stocks to the portfolio has risen even more. Most of the Blue-chip stocks also provide investors with strong dividend yields.

Let’s have a look at 5 NZX-listed blue chip companies.

Westpac Banking Corporation Limited (NZX:WBC, ASX:WBC)

On 12 March, Westpac announced that APRA had concluded its investigation on the bank’s money laundering. APRA began an investigation against Westpac after AUSTRAC had accused the bank of money laundering in December 2019.

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After a detailed review, APRA concluded that Westpac had not breached the Banking Act 1959, including Banking Executive Accountability Regime.

Recently, the bank declared its move to combine the leadership of its Consumer and Business divisions into a new Consumer & Business Banking division. The new division will be led by the present Chief Executive, Consumer, Chris de Bruin.

On 18 March, at the time of writing, Westpac Banking was trading at $26.4, down by 0.19%.

Also Read: A Quick Look At 5 Stocks Turning Heads On NZX- WBC, HGH, ENS, KPG, SKC

Australia and New Zealand Banking Group Limited (NZX:ANZ, ASX:ANZ)

In the first quarter to 31 December 2020, ANZ delivered a solid score against the turbulent trading climate. This showed the advantages of a structured policy implementation as well as a simplified and well-balanced portfolio of companies.

ANZ's net interest margin increased 5 basis points to 1.62% during the time, owing to better asset and liability mix, reduced borrowing rates, and higher retail asset margins, compared to 2H20.

The Group announced dividend of A$1.2228 cps, to be paid on 1 September 2021.

On 18 March, at the time of writing, Australia and New Zealand Banking was trading at $30.75, up by 0.99%.

Telstra Corporation Limited (NZX:TLS)

2021 was a turning point for the company in its T22 journey, through which it plans to simplify its products, reduce costs, increase its network and 5G leadership.

For FY21, Telstra announced an interim dividend of 8cps, which included a 5-cent ordinary dividend and a 3-cent special dividend. The dividend will be paid on 26 March 2021, taking the cumulative dividend for FY21 to 16cps.

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Telstra revised EBITDA guidance from $6.5 billion-$7 billion to $6.6 billion-$6.9 billion for FY21.

On 18 March, at the time of writing, Telstra Corporation was trading at $3.39, up by 0.59%.

Must Read; 3 NZX Telecom Stocks Ready To Hit It Out Of The Park in 2021

Fisher & Paykel Healthcare Corporation Limited (NZX:FPH, ASX:FPH)

Fisher’s operating revenue rose 73% for 9 months ended 31 December 2020. Hospital hardware sales and hospital consumables continued to rise due to superior hospitalisation rates amid COVID-19.

The Group did not provide any guidance for FY21 due to COVID-19-induced uncertainty. FPH expects revenue and net profit after tax for the 2021 financial year to be higher than its previous assumptions.

On 18 March, at the time of writing, Fisher & Paykel was trading at $31.20, up by 0.06%.

Do Read: Why Fisher & Paykel Healthcare (NZX:FPH) stock is on a positive spree?

Meridian Energy Limited (NZX:MEL) 

Meridian reported an increase in net profits for 1H FY21 with a rise in customers. However, MEL’s EBIDTA was affected due to lower New Zealand hydro generation and lower market prices in Australia.

Meridian has declared an interim dividend of 5.7cps for 1H FY21. MEL plans to construct a new Harapaki wind farm to address climate concerns.

On 12 March, MEL announced that it would start the share buyback on-market to buy a maximum of 476,174 shares, in relation to its FY21 LTI scheme.

On 18 March, at the time of writing, Meridian Energy was trading at $5.54, down by 3.32%.

Did You Miss Reading; How are these 3 NZX listed Blue Chip stocks placed for 2021- ATM, FPH, MEL?

(NOTE: Currency is reported in NZ Dollar unless stated otherwise)



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