Spur Tree Spices on the second day of trading on the Jamaica Stock Exchange Junior Market closed at a record $1.75 to be up 75 percent from the IPO price, with only a small fraction of the more than 23 million shares that were placed on the bid at $1.72 before trading opened on Monday, or the more than 29.6 million on the bid at a few minutes after 11 o’clock in the morning after 1.37 million shares were traded, at the close the bid ended at $1.75 to purchase 17.2 million shares, with just 24,113 on offer at $1.76.
Market activity ended with 39 securities trading compared to 40 on Friday, with the volume of stocks traded declining 49 percent and the value down by 74 percent from Friday activities. At the close 16 stocks gained, 15 declined and eight traded unchanged.
The Junior Market Index jumped 32.81 points to settle at 3,502.98. The PE Ratio, a measure used to compute appropriate stock values, averages 14.8. The PE ratios stocks in the chart below are based on ICInsider.com earnings forecast for companies with financial year ends up to August 2022.
A total of 10,061,196 shares traded for $32,241,574 down from 19,875,289 units at $123,323,735 on Friday. Future Energy Source led trading with 1.93 million shares for 19.2 percent of total volume followed by Lumber Depot with 1.72 million units for 17.1 percent of the day’s trade and Spur Tree Spices with 1.37 million units for 13.6 percent market share.
Trading averaged 257,979 shares at $826,707 in contrast to 496,882 shares at $3,083,093 on Friday with the month to date, averaging 183,829 units at $819,889, compared to 176,097 units at $819,178 on the previous day of trading. December closed with an average of 409,209 units at $1,318,877.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than their last selling prices and three stocks with lower offers.
At the close, Access Financial rose 75 cents ending at $20.75 with the swapping of 199,203 shares, as some of the long overhanging of selling seem to be easing, AMG Packaging advanced 25 cents in closing at a 52 weeks’ high of $3.65, with 410,066 stocks changing hands after posting an increase of 146 percent in profits for the first quarter to November after trading on Friday. Caribbean Cream lost 59 cents to $5.30 while exchanging 207,038 units as investors reacted negatively to a loss in the company’s November quarterly results. Consolidated Bakeries declined 23 cents to close at $1.10 after 281,574 stock units crossed the market, Dolphin Cove gained 95 cents to end at $20 in trading 130,426 shares, Express Catering climbed 31 cents to $5.51 trading 23,600 stocks. Fontana increased 20 cents to end at $7.60 in exchanging 182,312 stock units, Fosrich dropped 10 cents in closing at $11.89 after 13,625 units changed hands, General Accident shed 30 cents to close at $5.99 in an exchange of 3,300 stocks. Honey Bun popped 20 cents to $9.20, with 30,034 units crossing the exchange, Lasco Distributors rallied 15 cents to close at $3.25 after exchanging 57,411 stock units, Mailpac Group rose 20 cents to $3.30 with an exchange of 274,246 shares. Medical Disposables fell $1.29 to end at $6.11 with 31,057 shares changing hands, Spur Tree Spices rallied 43 cents ending at a 52 weeks’ high of $1.75 as 1,369,946 units traded and Stationery and Office Supplies fell 20 cents in closing at $5.65, with 6,830 stock units clearing the market.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Archives for January 2022
Trading slips and TTSE falters on Monday
Market activity ended on Monday with more securities trading, resulting in 65 percent fewer shares changing hands as 41 percent less than on money entered the market compared to Friday, on the Trinidad and Tobago Stock Exchange and leading to an equal number of stocks rising and falling and in slippage in the market indices.
At the close, 21 securities traded compared to 18 on Friday, with four stocks each rising and declining and 13 traded unchanged.
The Composite Index dipped 1.99 points to close at 1,521.34, the All T&T Index lost 5.76 points to end at 2,128.20 and the Cross-Listed Index increased 0.29 points to settle at 122.21.
Some 126,559 shares traded, for $2,998,201 compared to 358,635 units at $5,091,172 on Friday. An average of 6,027 units traded at $142,721 compared to 19,924 at $282,843 on Friday. Trading month to date averaged 57,724 units at $293,923 versus 63,857 units at $311,856. The average trade for December amounts to 21,703 units at $306,768.
Investor’s Choice bid-offer indicator shows five stocks ended with bids higher than their last selling prices and one stock with a lower offer.
At the close, Agostini’s traded 43 shares at $39, Angostura Holdings shed $2.49 after ending at $18.01 while exchanging 35,347 stock units, Ansa McAl fell 49 cents to $59.50 with 260 units changing hands. Calypso Macro Investment Fund remained at $16.65 in exchanging 709 stocks, Clico Investment Fund closed at $30 with an exchange of 6,798 units, Endeavour Holdings ended unchanged at $7.99 after swapping 4,615 shares. First Citizens Group declined $1 to close at $65 in an exchange of 155 stock units, FirstCaribbean International Bank popped 1 cent to end at $6.15 in trading 4,495 stocks, GraceKennedy finished at $6.20 with the swapping of 27,705 units. Guardian Holdings remained at $30 after 110 shares crossed the market, JMMB Group ended at $2.30, with 7,894 stock units changing hands, Massy Holdings remained at $106 with an exchange of 13,702 stocks. National Enterprises finished trading 2,667 stocks at $3.75, National Flour Mills finished switching of 340 shares at $1.95, NCB Financial Group remained at $8, with 10,474 stock units crossing the market. Prestige Holdings ended at $7.05 after trading 61 units, Republic Financial Holdings gained $1 to end at $141.25, with 10 stocks crossing the exchange, Scotiabank popped 50 cents to close at $70.50 after 399 shares crossed the exchange. Trinidad & Tobago NGL advanced 40 cents ending at $20 with the swapping of 9,904 stock units, Unilever Caribbean finished unchanged at $16 trading 809 units and West Indian Tobacco dropped 50 cents to end at a 52 weeks’ low of $27.50 after trading 62 stocks.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
3 new ICTOP10 listings as Spur Tree exists
The Junior Market ICTOP10 stocks have three new listings in a week that saw Spur Tree Spices trading for the first time on Friday with the price climbing to $1.32 for a rise of 32 percent since the Initial Public offer at the end of 2021, there are no new Main Market listings.
Other stocks that were in the spotlight this past week were ones that lasted off to record new all-time highs and include AMG Packaging, Caribbean Assurance Brokers, Caribbean Producers and Dolphin Cove a TOP10 contender up to the week ending December 2, also hit a 52 weeks’ high of $23.50 this past week to be up more than 100% since it came into the top flight in August last year at $9.86.
With the rise in the price of Spur Tree Spices, the stock is one of four to move out of the TOP10, followed by Medical Disposables that 16 percent for the week and Caribbean Cream that reported terrible third quarter results with a loss being made in the period as revenues climbed 14 percent in the quarter. Coming into the TOP10 are Lumber Depot, Fontana and General Accident.
Junior Market, AMG Packaging rose a strong 45 percent, ahead of the first quarter results to November that showed profit after tax jumping a big 146 percent over 2020. Investors can expect more gains to come this coming week as the stock traded up $3.90 last week. Caribbean Assurance Brokers climbed to a new 52 weeks’ high during the week and closed $3.12 up 26 percent, Access Financial Services continues to seesaw and recovered 17 percent to $20 this past week and Elite Diagnostic gained 8 percent to $3.18.
The sharp price movements in the Junior Market reduced the potential gains markedly, with the average gains projected for the TOP 10 Junior Market stocks now 122 percent versus 148 percent last week.
The top three stocks are Access Financial Services followed by Lasco Distributors and Caribbean Assurance Brokers can gain between 124 and 160 percent, sharply down from 182 and 204 percent, previously.
Major Main Market TOP10 moving stocks are Caribbean Producers up 7 percent, to $15.99 and Radio Jamaica rallying 7 percent to $3.45 as increased buying interest came in for the stock.
The potential gains for Main Market stocks moved from 146 percent to this weeks’ 144 percent this week, with top three Main Market stocks being Guardian Holdings followed by JMMB Group and Radio Jamaica all projected to gain between 161 and 257 percent up from 199 and 258 percent last week.
The Junior Market closed the week, with an average PE of 14.7 based on ICInsider.com’s 2021-22 earnings and is currently well below the target of 20 and the average of 17 at the end of March this year based on 2020 earnings. The TOP 10 stocks trade at a PE of a mere 9.1, with a 38 percent discount to that market’s average.
The Junior Market can gain 36 percent to March this year, based on an average PE of 20 and 16 percent based on an average PE of 17. Eleven stocks representing 26 percent of all Junior Market stocks with positive earnings are trading at or above this level averaging 25.
The average PE for the JSE Main Market is 16.4, just 16 percent less than the PE of 19 at the end of March and 22 percent below the target of 20 to March 2022. The Main Market TOP 10 average PE is 8.5 representing a 48 percent discount to the market and well below the potential of 20. A total of 14 stocks or 30 percent of the market trade at or above a PE of 19, with most over 20, for an average roundabout 25, suggesting that the accepted multiple is between 20 and 25 times the current year’s earnings.
ICTOP10 focuses on likely yearly winners, accordingly, the list may or may not include the best companies in the market. ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
IC TOP10 stocks are likely to deliver the best returns up to March 2022 and ranked in order of potential gains, based on the possible increase for each company, considering the earnings and PE ratios for the current fiscal year. Expected values will change as stock prices fluctuate and result in weekly movements in and out of the lists. Revisions to earnings per share are ongoing, based on receipt of new information.
Persons who compiled this report may have an interest in securities commented on in this report.
Trading picks up on JSE USD market
Trading on Friday, climbed sharply by 105 times Thursday’s trade with 213,364 shares changing hands for US$35,831 in contrast to just 2,031 units at US$355 on Thursday at the close of the Jamaica Stock Exchange US dollar market, after the number of securities trading tripled the number on Thursday.
Nine securities traded, compared to three on Thursday with prices of two rising one declining and six trading unchanged. The JSE US Denominated Equities Index rose 0.83 points to end at 204.72.
The PE Ratio, a measure used to determine stock values, averages 12.7 at the close of trading on Friday. The PE ratio uses ICInsider.com earnings forecasts for companies with the financial year up to August 2022.
Trading averaged 23,707 units at US$3,981, compared to 677 shares at US$188 on Thursday and month to date averages 59,568 shares at US$3,226 versus 66,740 units at US$3,075 on the previous trading day. December averaged 439,975 units for US$68,382.
Investor’s Choice bid-offer indicator shows one stock ended with a bid higher than their last selling prices and no stock with a lower offer.
In Trading, First Rock Capital USD share ended at 6.89 US cents, with 8,750 units trading, Margaritaville closed at 11.5 US cents with 55,150 shares changing hands, MPC Caribbean had an exchange of 27 stock units at $1.242, Proven Investments traded 122,129 units with the price rising 0.07 of a cent to 22.72 US cents. Sygnus Credit Investments lost 0.06 of a cent in closing at 12.4 cents with 4,277 shares changing hands, Sygnus Real Estate finished at 14 US cents trading 679 stock units and Transjamaican Highway traded 22,210 shares at 0.9 US cents.
In the preference segment, Eppley 6% exchanged just 3 units at 98 cents and JMMB Group 5.75% preference share gained 4 cents to close at US$2.14 with 139 shares crossing the market.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Profit surges 146% at AMG Packaging
ICInsider.com TOP15 2022 selection, AMG Packaging released first quarter results to November, with revenues climbing 55 percent to $270 million from $174 million in 2020 and delivered profit before tax of $45.5 million, 187 percent above just $16.4 million in 2020 and profit after tax rose 146 percent to $35 million from $14.3 million in 2020. The company reported profit after tax of $60.6 million or 12 cents per share for the fiscal year to August 2021.
The latest results were helped by a foreign exchange gain of $4.7 million in the quarter from a loss of $6 million in 2020.
Gross profit rose 40 percent from $53 million to $74 million as input cost rose a bit faster than revenues at 61 percent to $196 million from $121 million in 2020.
Administrative and other costs rose modestly from $32.2 million to $33.3 million.
Cash inflows amounted to $52 million up from$23 million in 2020. Working capital needs and acquisition of fixed assets amounting to $18 million resulted in an increase in cash funds of $5 million and ended in cash on hand at $135 million.
Investment in Fixed assets stood at $468 million up from $362 million in 2020, with current assets at $503 million which includes Inventory of $207 million up from $129 million at the end of November 2020. Current liabilities stood at $197 million while long term liabilities were $102 million and shareholders equity at $643 million.
ICInsider.com projects full year earnings at 35 cents as the results for the full year will benefit from increased efficiencies to flow from the new box making machine that is now on site, with installation expected to be completed in February. the new machine will print in multi colours and open up new business opportunities for the company.
The stock closed on the Junior Market of the Jamaica Stock Exchange today at a new closing high of $3.40 and a PE of 9.7.
The stock traded at the beginning of October last year at $1.70 and is up 100 percent since then.