The main index rose as far as 7076.0, and a break above last week’s peak of 7077.1 would have been the highest since early June. The index has shed 5 per cent so far this year, after climbing a 13 per cent jump in 2021.
Nine of the index’s 11 categories posted gains with real estate charging ahead.
Shares in aerial imaging company Nearmap exploded 24.8 per cent higher to $1.89 after receiving a $1 billion takeover proposal from software investment firm Thomas Bravo to acquire all the shares at $2.10 cash apiece, representing an 83 per cent premium. The share price had not traded that high since November.
But oil and gas producer Beach Energy was the biggest laggard after investors were disappointed by its lower-than-expected production outlook. Its shares tumbled 11.1 per cent to $1.65 in the biggest daily fall in over a year, eclipsing a 13 per cent jump in revenue to $1.8 billion.
Gordon Ramsay, a market analyst at RBC Capital Markets is upbeat on the stock. “A robust balance sheet, growing free cash flow, and a stable production platform outlook place the company in a strong position to explore value-added capital management options (increased dividend) or undertake M&A.” RBC assigned a $2.0 target price.
Regional lender Bendigo and Adelaide Bank took a beating after it said its net profit fell 7 per cent and as it flagged a “bumpy” outlook because of the impact of rising rates on property market valuations. Its shares dropped 8.3 per cent to $9.88, even as it posted a 9.4 per cent increase in full-year cash profit to $500 million.
Westpac shares retreated 1 per cent to $22.43 after it reported a weaker capital position in a June-quarter market update. The other major banks had a better session, with NAB edging 0.1 per cent higher to $30.81, CBA also adding 0.1 per cent to $100.46, while ANZ was unchanged at $24.03.
Retailer JB Hi-Fi dropped 1 per cent to $45.10 after it avoided any full-year 2023 guidance because of a “shaky” consumer outlook. However, it enjoyed record sales and earnings on high demand for electronics and home appliances. JB Hi-Fi also lifted gross margins to near-record levels in the second half of the financial year.
Shares in BlueScope Steel rallied 3.9 per cent to $17.55 after the country’s largest steel producer said its net profit more than doubled to $2.81 billion in the year ended June 30. Chief executive Mark Vassella said steel prices were now coming off after hitting unsustainable levels in the US, suggesting “hesitancy” on new orders because customers were wary in a falling price environment.
Shares in heavyweights BHP Group rose 0.2 per cent to $38.92, Rio Tinto eased 0.1 per cent to $95.27, and Fortescue Metals’ shares advanced 1 per cent to $19.13.
Shares in toilet and tap maker GWA jumped 1 per cent after pushing through its biggest price increases in years, in the latest example of inflationary pressures in the economy.
Shares in Carsales.com firmed 5.8 per cent to $22.99 after the online auto classifieds company reported record full-year results, buoyed by a surge in ads, and as it lifted its final dividend.
