What Happened to AP Eager’s Share Price?
Shares in automotive group AP Eagers [ASX:APE] rose by 5.4% today. The move up put the stock into new all-time highs. This is the stock market pricing in stronger earnings to come for the company. The stock is also moving up alongside the bullish trend of the general market at the moment.
Why Did This Happen to APE Shares?
This morning AP Eagers released a market announcement that it will achieve ‘a record result for the 2014 financial year’. The company expects to report net profit before tax of $106.2 million for 2014. That’s an increase of 22% on the previous year.
What Now for AP Eagers Ltd?
AP Eagers Limited operates motor vehicle dealerships in Australia. AP has a strong presence across the country and a profitable division in second hand cars. The company has a reliable history of dividend growth plus plans for expansion.
AP Eager’s strong profits suggest that the Australian economy is experiencing good consumer demand.
Editor, Markets and Money