Stocks to watch on the Australian stock exchange on Tuesday:

BBG – BILLABONG INTERNATIONAL LTD – down $1.61 at $2.03

Retail shares have taken a pounding as a profit warning from surfwear giant Billabong International raised fears that what was already expected to be a difficult Christmas could prove even worse.

BEN – BENDIGO AND ADELAIDE BANK LTD – down 60 cents at $8.40

Bendigo and Adelaide Bank increased its capital raising venture to $150 million due to strong demand from institutional investors.

DLX – DULUXGROUP LTD – down 11 cents at $2.88

DuluxGroup says a resilient home renovation market and improved performances from its trade businesses will drive net profit higher in 2012.

ELD – ELDERS LTD – down one cent to 23 cents

Elders Ltd to hold its annual general meeting on Tuesday.

IPL – INCITEC PIVOT LTD – up six cents, or 1.9 per cent, at $3.04

Incitec Pivot Ltd to hold its annual general meeting on Tuesday.

LLA – LIVING AND LEISURE AUSTRALIA GROUP – up 1.3 cents at 4.9 cents

The owner of Victorian ski resorts Hotham and Falls Creek has recommended securityholders accept a $140 million takeover offer from Europe’s Merlin Entertainments Group.

NCM – NEWCREST MINING LTD – down 53 cents at $31.07

Newcrest mining has reduced its full-year gold production guidance by about six per cent because of a production disruptions and lower grades and recoveries.

QAN – QANTAS AIRWAYS LTD – down 4.5 cents at $1.475

The long-running dispute between Qantas and its engineers has ended with the Australian Licenced Aircraft Engineers Association saying it has locked in job security for its members.

WOW – WOOLWORTHS LTD – down 36 cents at $25.90

Woolworths’ hotel group has purchased 31 hotels in NSW from the Laundy, Waugh and De Angelis Groups.

WPL – WOODSIDE PETROLEUM LTD – down $1.06 at $30.24

Woodside Petroleum denies it is having doubts about building a gas processing plant in Western Australia’s north.