The Main and the Junior Markets slipped from the previous week’s close, for a second week, with minimal price changes in the Junior Market ICTOP10, but there were three stocks with notable price changes in the Main Market TOP10 price.
In market activity during the week, the Junior Market ICTOP10 had no stock with a price movement of note, with the highest movement being 4 percent, as Jamaican Teas fell 4 percent to close at $2.40. The Main Market, Margaritaville rose 8 percent to $16.79. Scotia Group dropped 8 percent to $41.50 and Palace Amusement lost 7 percent to close at $1.02.
Jamaican Teas dropped out of the TOP10, following the release of second quarter results that showed improvements but not enough to support the previously projected earnings and Caribbean Producers fell out of the Main Market TOP10, with Jamaica Broilers returning, while Dolphin Cove returns to the Junior Market TOP10 after a long absence.
The average PE for the JSE Main Market ICTOP 10 stands at 5.5, well below the market average of 13.2 and the Junior Market TOP10 sits at 7.4 over half of the market, with an average of 12.6.
The Main Market ICTOP10 is projected to gain an average of 274 percent by May 2025, based on 2024 forecasted earnings, providing better values than the Junior Market with the potential to gain 165 percent over the same period.
In the Main Market ICTOP 10, a total of 16 of the most highly valued stocks representing 31 percent of the Main Market are priced at a PE of 15 to 106, with an average of 31 and 22 excluding the highest PE ratios, and a PE of 24 for the top half and 18 excluding the stocks with overweight values.
In the Junior Market IC TOP10 are 11 stocks, or 24 percent of the market, with PEs ranging from 15 to 45, averaging 21, well above the market’s average. The top half of the market currently has an average PE of 17, possibly the lowest fair value for stocks.
Of great import is that the averages of both markets are now converging around a PE of 20 for close to a third of the market, as the year is coming to a close and with more information available on the full year’s earnings.
ICTOP10 focuses on likely yearly winners, accordingly, the list includes some of the best companies in the market, but this is not always so. 
ICInsider.com ranks stocks based on projected earnings, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely deliver the best returns on or around May 2025 and are ranked in order of potential gains, computed using projected earnings for the current fiscal year. Expected values will change as stock prices fluctuate, resulting in weekly movements in and out of the lists. Revisions to earnings are ongoing, based on receipt of new information.
Persons who compiled this report may have an interest in securities commented on in this report.
Archives for April 2024
Share buy back & dividend at Kingston Properties
Kingston Properties (KPREIT) plans to repurchase up to one half of one percent or 4.42 million shares in issue for up to two years to commence in the later part of May this year.
According to the release, “the Board of Directors sees this use of capital as an opportunity to enhance shareholder value through the purchase, from time to time, of undervalued shares”.
The repurchase of the shares will be done using the Company’s cash flows and will be conducted on the open market through the Company’s stockbrokers. A fixed price for the repurchase will not be set but will be the market price at the time of the repurchase. In keeping with the requirements of the Companies Act of Jamaica, within 30 days of the dates of the repurchase of shares, Kingston Properties will advise its shareholders of the details of the shares purchased.
The company has 884 million issued shares that were last traded at $8.10 on the Main Market of the Jamaica Stock Exchange with a PE of 10 times last year’s earnings and a book value of $8.40.
A total of 7.5 million shares were traded over the past twelve months for a daily average of 30,000 units.
The company has also declared a dividend of 0.0566 US cents per share, payable on June 5 to shareholders on record at May 17 with the ex-dividend date of May 16, 2024.
The company reported a profit of US$4.65 million in 2023 an increase over 2022 with US$3.8 million from operating revenues of US$4 million in 2023 and US$3.5 million in 2022. Profit was boosted by gains from revaluation and gain on sale of properties of US$3 million in 2023 and US$2.4 million in 2022.
Transjamaican dominated Main Market trading
Trading surged on the Jamaica Stock Exchange Main Market on Friday, with a 240 percent surge in the volume of stocks traded following a 417 percent and a jump in value over Thursday, as Transjamaican Highway traded more than 36 million shares with a value of $114 million as the market closed with 62 securities trading compared with 54 on Thursday and resulted in prices of 26stocks rising, 13 declining and 23 ending unchanged.
Trading closed with 49,321,891 shares for $163,817,114 up from 14,522,075 units at just $31,656,097 on Thursday.
Trading averaged 795,514 shares at $2,642,212 compared to 268,927 units at $586,224 on Thursday and month to date, an average of 729,589 units at $3,850,69 compared to 725,808 units at $3,920,010 on the previous day and March with an average of 828,473 units at $2,341,254.
Transjamaican Highway led trading with 36.12 million shares for 73.2 percent of total volume followed by Sagicor Select Financial Fund with 4.29 million units for 8.7 percent of the day’s trade, Wigton Windfarm with 2.72 million units for 5.5 percent market share and Sagicor Select Manufacturing & Distribution Fund with 2.31 million units for 4.7 percent of total volume.
The All Jamaican Composite Index lost 592.66 points to lock up trading at 355,522.73, the JSE Main Index declined 152.35 points to 319,451.54 and the JSE Financial Index sank 0.34 points to lock up trading at 68.06.
The Main Market ended trading with an average PE Ratio of 13.7. The JSE Main and USD Market PE ratios are based on the last traded prices and earnings forecasts by ICInsider.com for companies with financial year, ending around August 2025.
Investor’s Choice bid-offer indicator shows seven stocks ended with bids higher than their last selling prices and two with lower offers.
At the close, AS Bryden rose $1.49 and ended at $38.49, with 86 shares crossing the market, Caribbean Cement climbed $1 to $57 with an exchange of 26,366 stocks, Eppley fell 85 cents in closing at $38 and closed after an exchange of 2,580 shares. First Rock Real Estate rallied 50 cents to finish at $10 with traders dealing in 35,198 stock units, GraceKennedy popped 44 cents to close at $73.94 in switching ownership of 36,032 shares, Jamaica Stock Exchange sank 69 cents to end at $10.54, with 15,178 stock units changing hands. JMMB Group rallied $1.77 to $25.49 in an exchange of 49,184 units, Kingston Properties advanced 35 cents to finish at $8.10 after 105,500 stocks passed through the market, MPC Caribbean Clean Energy gained $4 and ended at $95 with a transfer of 99 units. 
NCB Financial rose $3.49 in closing at $64.49, with 98,273 stocks crossing the exchange, Proven Investments gained 99 cents to end at $20 in trading 20,311 shares, Sagicor Group declined $1.39 to close at $40.01 after a transfer of 20,296 units. Scotia Group shed $1.50 to $41.50 with investors exchanging 275,364 shares, Seprod popped $2.01 to end at $82 in an exchange of 21,585 stocks, Stanley Motta gained 78 cents to close at $6.12 with investors trading 3,286 units. Sygnus Credit Investments climbed 41 cents to close at $10.81 after an exchange of 23,442 stock units and Wisynco Group advanced 48 cents and ended at $21 with investors dealing in 51,699 shares.
In the preference segment, JMMB Group 7% preference share dropped 52 cents to finish at $2.92 after an exchange of 3,470 stock units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
One stock rose on JSE USD market as 7 held firm
The Jamaica Stock Exchange US dollar market closed on Friday, with the volume of stocks traded declining 43 percent having a 23 percent greater value than on Thursday and resulting in eight securities changing hands, similar to Thursday, with prices of one rising, none declining and seven ending unchanged.
The market closed with an exchange of 147,586 shares for US$21,362 compared to 257,793 stock units at US$17,324 on Thursday.
Trading on Friday averaged 18,448 shares at US$2,670 compared with 32,224 stocks at US$2,166 on Thursday, with trading month to date averaging 37,587 shares at US$2,359 compared with 38,643 units at US$2,342 on the previous day and March that ended with an average of 49,394 units for US$3,593.
The US Denominated Equities Index rose 0.34 points to 237.88.
The PE Ratio, a measure used in computing appropriate stock values, averages 9.6. The PE ratio is computed based on the last traded price divided by projected earnings done by ICInsider.com for companies with their financial year ending and or around August 2024.
Investor’s Choice bid-offer indicator shows four stocks ended with bids higher than their last selling prices and two with lower offers.
At the close, Margaritaville ended at 10 US cents in an exchange of 58 shares, Productive Business Solutions remained at US$1.59 with investors trading just two shares, Proven Investments advanced 1.02 cents in closing at 14.67 US cents with an exchange of 44,924 shares.
Sygnus Credit Investments ended at 8.79 US cents with 464 stock units clearing the market and Transjamaican Highway closed at 2.03 US cents after an exchange of 100,000 shares.
In the preference segment, JMMB Group US 8.5% preference share remained at US$1.20 after trading 1,000 stock units, Sygnus Credit Investments US 8% ended at US$10.60 with an exchange of 300 units and Sygnus Credit Investments E8.5% ended at US$10.20 with 838 stocks crossing the market.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Junior Market gains
Stocks mostly rose on the Junior Market of the Jamaica Stock Exchange on Friday, after trading in 45 securities compared with 40 on Thursday and ending with prices of 24 rising, 9 declining and 12 closing unchanged following a 37 percent rise in the volume of stocks traded, with 38 percent greater value than Thursday.
At the close of trading, the Junior Market Index rallied 20.64 points to end the day at 3,781.35.
Trading ended with 4,711,419 shares for $11,198,936 up from 3,441,451 units at $8,137,990 on Thursday.
Trading averaged 104,698 shares at $248,865, up from 86,036 units at $203,450 on Thursday with the month to date, averaging 189,955 units at $422,648 but slightly down from 194,892 stock units at $432,712 on the previous day and March ending with an average of 221,659 units at $464,382.
Fosrich led trading with 859,227 shares for 18.2 percent of total volume followed by ONE on ONE Educational with 662,171 units for 14.1 percent of the day’s trade and Spur Tree Spices with 534,967 units for 11.4 percent market share.
The Junior Market ended trading with an average PE Ratio of 12.9, based on last traded prices in conjunction with earnings projected by ICInsider.com for the financial years ending around August 2025.
Investor’s Choice bid-offer indicator shows none ended with a bid higher than the last selling price and three with lower offers.
At the close, Access Financial gained $1.11 to end at $21.11, after just two stocks passed through the market, Cargo Handlers dipped 10 cents in closing at $13.20 with traders dealing in 596 units, Caribbean Assurance Brokers rose 6 cents to close at $2.26 with 1,975 shares clearing the market. Caribbean Flavours advanced 12 cents to end at $1.70 with investors swapping a mere 6 stock units, Dolphin Cove popped 97 cents to finish at $19.97 with an exchange of just 785 shares, EduFocal rallied 7 cents and ended at 89 cents, with 21 stocks crossing the market. 
Fontana increased 10 cents to $8.93 in an exchange of 70,158 units, Fosrich climbed 9 cents in closing at $2.20 with investors dealing in 859,227 stock units, Honey Bun popped 37 cents to finish at $7.80 in an exchange of 15,561 shares. Jamaican Teas lost 5 cents and ended at $2.40 with investors trading 320,994 stock units, KLE Group increased 20 cents to close at $2.17 after an exchange of 12 stocks, Lasco Financial slipped 33 cents to end at $1.52 with 111,286 units passing through the market. Lumber Depot climbed 20 cents to $2.70 after a transfer of 219,745 shares, ONE on ONE Educational rose 5 cents to finish at 90 cents as investors exchanged 662,171 units and Tropical Battery rallied 14 cents and ended at $2.29 and closed with an exchange of 118,056 stocks.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Rising Jamaica Stock Exchange stocks edged out decliners
Rising stocks just edged out those declining on the Jamaica Stock Exchange on Tuesday and resulted in a decline in all markets at the close and ended with the number and the value of stocks traded climbing over trading on the previous day, with Caribbean Assurance Brokers being the market leader with 9 million units, with trading ending with prices of 41 shares rising and 37 declining.
At the end of trading on Tuesday, the JSE Combined Market Index shed 1,210.14 points to 332,553.00, the All Jamaican Composite Index sank 1,855.81 points to 356,728.41. The JSE Main Index dropped 1,104.98 points to close trading at 319,557.13. The Junior Market Index fell 21.65 points to settle at 3,762.08 and the JSE USD Market Index skidded 0.58 points to 235.79.
At the close of trading, 22,556,104 shares were exchanged in all three markets, up from 14,070,427 units on Monday, with the value of stocks traded on the Junior and Main markets amounted to $105.36 million, compared to $94.57 million on the previous trading day and the JSE USD market closed with an exchange of 111,519 shares for US$25,798 compared to 492,062 units at US$57,344 on Monday.
In Main Market activity, Wigton Windfarm led trading with 2.65 million shares followed by Transjamaican Highway with 1.19 million stocks and QWI Investments with 1.03 million units.
In Junior Market trading, Caribbean Assurance Brokers led trading with 9.03 million shares followed by MFS Capital Partners with 1.96 million stock units and Spur Tree Spices with 960,813 units.
In the preference segment, Jamaica Public Service 7% fell 93 cents to $48 and Sygnus Credit Investments C10.5% dropped $1 to finish at $109.
The market’s PE ratio, the most popular measure used to determine the value of stocks, ended at 22 on 2023-24 earnings and 13.3. times those for 2024-25 at the close of trading. ICInsider.com PE ratio chart and the more detailed daily charts provide investors with regularly updated information to help decision-making.
The PE ratio chart covers all ordinary shares on the Jamaica Stock Exchange, grouped by industry, allowing for easy comparisons within a sector and the overall market. The EPS & PE ratios are based on 2023 and 2024 actual or projected earnings, excluding major one off items.
Pertinent information is required to navigate numerous investment options successfully in the stock market. The ICInsider.com PE ratio chart and the more detailed daily report charts provide investors with regularly updated information to help decision-making.
The chart should be used in making rational decisions when investing in stocks close to the average for the sector, not going too far from it unless there are compelling reasons to do so. This approach helps to remove emotions from investment decisions and place them on fundamentals while at the same time not being too far from the majority of investors.
Investors who buy when the price of a stock is close to the average will find that they are not inclined to overpay for a stock.
The net asset value of each company is reported as a guide for investors to quickly assess the value of stocks based on this measure. The chart also shows daily changes in stock prices and the percentage year to date price movement based on the last traded prices.
Dividends paid or payable and yields for each company are shown in the Main and Junior Markets’ daily report charts, along with the closing volume of the highest bid and the lowest offer for each company.
The value of Pref shares vs ordinary ones
Investors drove up prices of several preference shares on the Jamaica Stock Exchange in 2023 to unrealistic levels that defile logic, while ordinary shares can enjoy unlimited rise driven by growth in profits the same is not the case for preference shares that have limited potential for growth.
Many of those listed on the JSE have limited life spans as they are primarily income generating instruments, with a finite life span. The JMMB preference shares are in this category. The old JPS preference shares that were issued at $2 each have declined in value due to a decline in interest rates but the supply of these are very limited. These seem to have no set date to be repaid.
Investors may be confused about the likely value of Transjamaican 8.5 percent preference shares. Some think the fair value should be closer to $4, but that is not so and will only be the case if market interest rates fall below 8.5 percent, even then the short term nature of these shares makes it unlikely that rational investors would push the price to that level. The Transjamaican preference shares have an 8 year timeline, with annual repayment of principal starting on the 6th anniversary.
The true value of the ordinary shares should be over $4. They currently provide a dividend yield close to where the preference shares trade currently, with expectations that there will be a greater level of dividend payment in the future.
Ordinary shares offer unlimited capital appreciation and the potential for an endless dividend stream depending on the level of profit generated. Preference shares have limited capital upside potential unless they have participative features, allowing them to share in profits over and above the coupon rate.
None of the preference shares listed on the Jamaica Stock Exchange have participation features. Long ago the shares of Jasmaica Livestock that were listed on the local exchange had such a feature. With interest rates on the Bank of Jamaica certificate of deposits just under 11% currently, the prices of the preference shares on the market should have declined to better equate the yields with the CD rates and as these rates fall, the share prices should be rising to reflect the better returns from Preference shares that is possible.
Losing Trinidad stocks bested winners
The Trinidad and Tobago Stock Exchange slipped on Monday, with declining stocks beating out those rising by nearly three to one, even as the volume of stocks traded jumped 235 percent with a 187 percent greater value than on Friday resulting in trading in 21 securities compared with 19 on Friday and ending with prices of three rising, eight declining and 10 remaining unchanged.
The market closed with an exchange of 412,927 shares for $2,309,996 up from 123,443 stock units at $805,947 on Friday.
An average of 19,663 shares were traded at $110,000 compared to 6,497 units at $42,418 on Friday, with trading month to date averaging 17,895 shares at $176,513 compared with 17,789 units at $180,504 on the previous day and an average for March of 28,236 shares at $236,496.
The Composite Index lost 3.64 points to 1,181.26, the All T&T Index slipped 2.04 points to end at 1,781.21, the SME Index remained unchanged at 77.71 and the Cross-Listed Index dipped 0.75 points to settle at 75.47.
Investor’s Choice bid-offer indicator shows 10 stocks ended with bids higher than their last selling prices and two with lower offers.
At the close, Agostini’s advanced 49 cents to $69.50, with 1,053 shares crossing the exchange, Angostura Holdings ended at $22.95 after a transfer of 100 units, Ansa McAl popped 99 cents to $56 with investors trading 2,565 stock. 
First Citizens Group fell 14 cents to $48.16 with 1,829 stocks being traded, FirstCaribbean International Bank ended at $6.95 with investors dealing in 176 shares, Guardian Holdings remained at $18.05 in switching ownership of 2,700 units. JMMB Group ended at $1.40 with investors transferring 149 stocks, L.J. Williams B share increased 5 cents to end at $1.80 in an exchange of 5,000 units, Massy Holdings skidded 3 cents in closing at $4.32 with investors trading 6,400 shares. National Enterprises closed at $3.70 with an exchange of 39,544 units, National Flour Mills ended at $2.20 after 1,500 stocks passed through the market, NCB Financial sank 10 cents to close at $2.90 after an exchange of 239,164 stock units. One Caribbean Media remained at $3.70, with 804 shares crossing the market, Point Lisas ended at $3.90 with a transfer of a mere one stock unit, Prestige Holdings ended at $13 with investors swapping 3,862 units. 
Republic Financial slipped 7 cents and ended at $118.20 with 758 stocks clearing the market, Scotiabank lost 50 cents to close at $67 as investors traded 160 units, Trinidad & Tobago NGL declined 20 cents to finish at $8.30, with 5,308 shares passing through the market. Trinidad Cement ended at $2.55 with traders dealing in 20,596 stock units, Unilever Caribbean shed 5 cents to $11.15 in an exchange of 5,030 stocks and West Indian Tobacco dropped $1.15 in closing at $10, with 76,228 shares changing hands.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Remittance inflows to Jamaica fall
Remittance inflows to Jamaica continue to decline at the start of 2024 following several months of decline last year, with inflows for January 2024 amounting to US$246 million, down a relatively small 1.1 percent compared with US$248.6 in January 2023.
The decline represents the eighth consecutive month of negative inflows since June last year for the country.
Jamaica’s decline of 1.1 percent was in contrast to the growth of 3.8 percent in January last year. Total inflows last year declined by two percent to US$3.37 billion from US$3.44 billion in 2022. Inflows peaked at US$3.497 billion in 2021.
Few Junior Market winners
Winning stocks were hard to come by as trading closed on the Junior Market of the Jamaica Stock Exchange on Thursday, with trading in 40 securities down from 41 on Wednesday and ending with prices of just seven rising, 21 declining and 12 closing unchanged following a moderate rise in the volume and value of stocks that were exchanged on Wednesday.
The market closed with trading of 3,441,451 shares for $8,137,990 up from 3,333,072 units at $7,971,094 on Wednesday.
Trading averaged 86,036 shares at $203,450 compared to 81,294 units at $194,417 on Wednesday, with a month to date average of 194,892 units at $432,712 down from 200,800 stocks at $445,155 on the previous day and March with an average of 221,659 units at $464,382.
Dolla Financial led trading with 1.09 million shares for 31.7 percent of total volume followed by Spur Tree Spices with 789,268 stock units for 22.9 percent of the day’s trade and Fosrich with 589,091 units for 17.1 percent market share.
At the close of trading, the Junior Market Index increased 4.51 points to settle at 3,760.71.
The Junior Market ended trading with an average PE Ratio of 12.3, based on last traded prices in conjunction with earnings projected by ICInsider.com for the financial years ending around August 2025.
Investor’s Choice bid-offer indicator shows two stocks ended with bids higher than their last selling prices and three with lower offers.
At the close, CAC 2000 added 26 cents to finish at $4.50 after 112 shares were traded, Cargo Handlers dropped by 53 cents to $13.30 with investors trading 1,850 stocks, Caribbean Assurance Brokers fell 6 cents to close at $2.20 after investors ended the trading of 307 stock units. Caribbean Flavours fell 12 cents and ended at $1.58 with a transfer of 101 stocks, Dolla Financial rose 5 cents in closing at $2.75 after trading of 1,091,837 shares, Dolphin Cove rallied 40 cents to end at $19 after 83 stocks passed through the market. EduFocal shed 7 cents in closing at a 52 weeks’ low of 82 cents with investors dealing in 278,667 units, Fontana lost 13 cents to end at $8.83 after an exchange of 5,233 stock units, Jetcon Corporation skidded 10 cents to close at 85 cents with just 52 shares crossing the market. 
JFP Ltd sank 5 cents to end at $1.20 with investors trading 28,944 stocks, KLE Group increased 7 cents and ended at $1.97 with an exchange of 400 units, Limners and Bards climbed 33 cents to finish at $1.54 with 30,344 stocks passing through the market. Lumber Depot slipped 5 cents to $2.50 and closed with an exchange of 4,771 shares, Main Event popped 79 cents in closing at $13.80 with traders dealing in 531 stock units, MFS Capital Partners dipped 10 cents and ended at $1.37 in switching ownership of 723 stocks. Paramount Trading sank 22 cents to finish at $1.27 with investors swapping 65,415 units, Spur Tree Spices skidded 5 cents to end at $2.45 in an exchange of 789,268 stocks and Tropical Battery lost 15 cents to close at $2.15 in trading 64,958 units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
