--- title: "Assessing Spark New Zealand’s Valuation After Half Year Earnings And Dividend Update" type: "News" locale: "en" url: "https://longbridge.com/en/news/276883389.md" description: "Spark New Zealand (NZSE:SPK) reported half-year earnings of NZ$64 million and declared a semi-annual dividend of NZ$0.08705882 per share. The share price is currently NZ$2.26, with a recent 6.1% increase in short-term momentum. Analysts suggest the stock is undervalued, with a fair value estimate of NZ$2.88, driven by strong revenue from mobile and broadband services. However, risks include potential competition and economic pressures in New Zealand. Investors are encouraged to explore additional opportunities in income and infrastructure stocks." datetime: "2026-02-25T12:01:23.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/276883389.md) - [en](https://longbridge.com/en/news/276883389.md) - [zh-HK](https://longbridge.com/zh-HK/news/276883389.md) generator: "portal-rs" --- # Assessing Spark New Zealand’s Valuation After Half Year Earnings And Dividend Update ## Earnings snapshot and why it matters Spark New Zealand (NZSE:SPK) has just reported half year earnings to 31 December 2025, with net income at NZ$64 million and a declared semi annual dividend of NZ$0.08705882 per share. For investors, this update links recent profit performance with Spark New Zealand's stated focus on cloud, IT services, and 5G investment, along with guidance on maintaining disciplined capital returns through its dividend framework. See our latest analysis for Spark New Zealand. At a share price of NZ$2.26, Spark New Zealand has seen short term momentum pick up with a 6.1% 7 day share price return. The 1 year total shareholder return of 13.7% contrasts with weaker 3 and 5 year outcomes, which hints that sentiment has only recently started to improve around its 5G and cloud spend, as well as the latest dividend update. If Spark’s earnings and dividend news has you thinking about where else income and infrastructure themes might intersect, take a look at 24 power grid technology and infrastructure stocks as a next set of ideas. With earnings per share at NZ$0.034 for the half, a semi annual dividend declared, and the share price sitting at NZ$2.26, the main question is whether Spark looks undervalued or if the market already reflects its future growth in the current price. ## Most Popular Narrative: 21.4% Undervalued Based on the most followed narrative, Spark New Zealand’s fair value of NZ$2.88 sits above the last close at NZ$2.26, which puts the current price against a more optimistic long term view. > *Refocus on core connectivity, with 70% of revenue and 80% of gross margin already coming from mobile, broadband and business connectivity, should support more disciplined capital allocation and may lift group EBITDAI and returns over time.* *Read the complete narrative.* Want to see what sits behind that NZ$2.88 fair value? The narrative leans heavily on future margins, steady top line and a richer earnings multiple. Curious how those pieces fit together to justify that price target without assuming rapid growth? The full breakdown shows exactly which assumptions do the heavy lifting. **Result: Fair Value of NZ$2.88 (UNDERVALUED)** Have a read of the narrative in full and understand what's behind the forecasts. However, there is still a risk that weaker New Zealand spending, or tougher mobile and broadband price competition, could limit revenue progress and keep margins under pressure. Find out about the key risks to this Spark New Zealand narrative. ## Next Steps If this mix of optimism and caution around Spark New Zealand has your attention, act while the details are fresh and weigh the trade offs yourself with 2 key rewards and 2 important warning signs. ## Looking for more investment ideas? Before you move on, give yourself a shot at finding stronger opportunities by lining up a few fresh ideas alongside what you have just seen with Spark. - Spot potential mispriced opportunities early by scanning our screener containing 569 high quality undiscovered gems and see which names deserve a closer look beside your current watchlist. - Strengthen the foundation of your portfolio with companies highlighted in our solid balance sheet and fundamentals stocks screener (368 results), where financial resilience is front and center. - Put income at the heart of your plan with 441 dividend fortresses, focusing on shares that pair higher yields with a clear commitment to returning cash to investors. *This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.* ### **New:** Manage All Your Stock Portfolios in One Place We've created the **ultimate portfolio companion** for stock investors, **and it's free.** • Connect an unlimited number of Portfolios and see your total in one currency • Be alerted to new Warning Signs or Risks via email or mobile • Track the Fair Value of your stocks Try a Demo Portfolio for Free ### Related Stocks - [SPK.AU](https://longbridge.com/en/quote/SPK.AU.md) ## Related News & Research - [Spark FY26 reported NPAT more than doubles to $499 million; revenue rises 6% to $3,949 million](https://longbridge.com/en/news/296412125.md) - [Jarden Keeps Their Hold Rating on Medibank Private (MDBPF)](https://longbridge.com/en/news/296674761.md) - [RBC Capital Keeps Their Sell Rating on Auckland International Airport (ACKDF)](https://longbridge.com/en/news/296662214.md) - [Innova Captab Revises FY26 Accounts and Clears Baddi Plant Expansion](https://longbridge.com/en/news/296661728.md) - [Inside Coca-Cola’s secretive innovation labs: How the beverage giant wants to automate dirty soda and refreshers](https://longbridge.com/en/news/296681725.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**