Steel prices fire up Stelco stock while investors respond send share prices down at Real Matters. Here are the past week’s winners and losers
Winners
Stelco Holdings Inc. (STLC.TO) + 8.9%
Increasing steel prices have benefitted Hamilton-based Stelco this week. From market open on Monday to midday Thursday, the benchmark price for hot-rolled steel increased roughly three per cent. Stelco produces and sells a variety of steel products in Canada, the United States and around the world. Stelco's share prices reflected the increase in the benchmark as suggested by an almost seven per cent appreciation in share price by market close Wednesday.
iA Financial Corporation Inc. (IAG.TO) +5.2%
iA Financial reported its second quarter 2021 results on Thursday with total revenues of $5.3 billion, down from $6.7 billion in 2020. Despite this, overall net income is up to $235 million, from $195 million the prior year. Through its subsidiary, Industrial Alliance Insurance and Financial Services Inc, the company offers life and health insurance products in Canada and the United States. Investors were pleased with the news, sending the share price up almost four per cent on Thursday.
Capstone Mining Corp. (CS.TO) +4.5%
Capstone explores and produces base metals in the United States, Mexico, Canada and Chile. While the company explores for copper, molybdenum, silver, zinc, lead, iron and gold, it is focused on copper with an interest in the Pinto Valley, United States and the Cozamin, Mexico. Copper prices on the Comex, the primary futures and options market for metals, hit a one-month high on July 26. Capstone's share price has increased more than five per cent in response to this.
Losers
Real Matters Inc. (REAL.TO) -17.1%
Real Matters provides technology and network management solutions for the mortgage and insurance industries. The company reported third quarter 2021 results on Wednesday with an increase in revenues to $129 million (U.S.), from $118 million in 2020. Net income for the period is down slightly to $5.3 million from $6.3 million the prior year. CEO Brian Lang attributes the increase in revenue to record-breaking revenues in its U.S. Appraisal and Canadian segments, partially offset by a decline in its U.S. Title segment. Investors did not respond well to the results, sending the share price down more than five per cent on Thursday.
First National Financial Corporation (FN.TO) -6.5%
First National released its second quarter 2021 results on Tuesday with an increase in mortgages under administration to $122 billion, from $115 billion at period-end 2020. First National competes in the residential and commercial mortgage industry in Canada. The company reported revenues of $203 million, up from $167 million in 2020 with net profit of $52 million for the period, compared to $51 million the prior year. Despite the revenue growth, investors sent the share price down almost five per cent on Wednesday.
Suncor Energy Inc. (SU.TO) -6.1%
Suncor reported its second quarter 2021 results on Wednesday with total revenues of $9.1 billion, up from $4.2 billion in 2020. The company reported net income of $868 million, up from a $614 million loss the prior year. Suncor is an integrated energy company with a focus on developing petroleum resource basins in Alberta's Athabasca oilsands. Despite the company's strong results, investors expected more, sending the share price down more than three per cent on Thursday.
Chen Liu is a freelance contributor to the Star's Business section. Reach him via email: thestarchenliu@gmail.com