A2 director sells; Fletcher overture rebuffed; market falls
The S&P/NZX 50 index dropped 32.64 points, or 0.4 percent, to 9,293.95. Within the index, 24 stocks fell, 19 gained and seven were unchanged. Turnover was $136 million.
A2 led the market lower, falling 2.6 percent to $11.08 after disclosing director Peter Hinton sold 25,000 shares at $11.91 apiece on Sept. 26. The sale came in the wake of CEO Jayne Hrdlicka's share sale, which investors have criticised as being poorly communicated.
"It's a relatively immaterial percentage of his holdings, but it doesn't come out as particularly good coming after CEO Hrdlicka sold all of her shares," said James Lindsay, a senior portfolio manager at Nikko Asset Management.
Today's disclosure comes after Morningstar Research included the stock in its top 10 stock ideas for Australia and New Zealand. It said the recent price decline meant A2 stock was trading at a discount to the analyst's $14.60 fair value estimate.
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