Prices remained under pressure on the Trinidad & Tobago Stock Exchange, Friday. Trading activity resulted in 17 securities changing hands compared to 18 on Thursday and declining stocks had the upper-hand over advancers by a 3 to 1 margin.
At the close, 2 stocks advanced, 6 declined and 9 were unchanged with a total of 255,656 shares changing hands at a value of $5,727,353 compared to Thursday’s 687,180 shares valued at $7,029,562.
The Composite Index fell 2.57 points to 1,218.77, the All T&T Index gained 0.07 points to 1,798.63 and the Cross Listed Index lost 0.71 points to close at 85.65
IC bid-offer Indicator| The Investor’s Choice bid-offer ended with 3 stocks with bids higher than last selling prices and 5 with lower offers.
Gains| Angostura Holdings closed at $15.01, with a 1 cent gain in exchanging 60 shares and Guardian Holdings gained 20 cents to close at $16, trading 81,234 shares valued at $1,299,354.
Losses| Ansa McAL closed at $66.39, with a loss of 11 cents trading 4,156 shares, First Citizens lost 14 cents, closing at $31.85 with 81,000 shares exchanged at a value of $2,579,850. First Caribbean International closed at $7.76, after losing 24 cents with 50,051 shares valued at $388,396 trading. Sagicor Financial traded 1 cent lower to close at $9.01, with an exchange of 5,176 shares, Trinidad & Tobago NGL lost 1 cent to close at $21.99, with an exchange of 306 shares and West Indian Tobacco closed at $126.48, with a loss of 1 cent trading 1,257 shares.
Firm Trades| Clico Investment traded 12,011 shares at $22.50, JMMB Group closed at $1.30, with an exchange of 1,500 shares and Massy Holdings remained at $51.48, with an exchange of 1,950 shares. L.J. Williams 8% preference share exchanged 12 shares at $3.30, NCB Financial Group traded 1,000 shares at $4 and Point Lisas closed at $4 trading 1,000 shares. Prestige Holdings exchanged 2,359 shares at $10.90, Scotiabank held firm at $58, with trades of 9,584 shares valued at $556,142 and Scotia Investments was unchanged at $2.69, with 3,000 changing hands.
Falling prices dominate TTSE – Friday
TTSE trading up prices mostly down
Trading levels rose on the Trinidad & Tobago Stock Exchange on Thursday with 18 securities changing hands but with 3 trading 3 shares or less. Trading levels on Thursday compares to 11 securities on Wednesday.
Ansa McAL and NCB Financial Group were the leading trades as 2 stocks advanced, 6 declined and 10 were unchanged. Trading closed with 687,180 shares trading at a value of $7,029,562 in contrast to Wednesday’s 40,355 shares valued at $222,744.
The Composite Index fell 2.13 points to 1,221.34, the All T&T Index declined 4.17 points to 1,798.56 and the Cross Listed Index lost 0.01 points to close at 86.36.
IC bid-offer Indicator| The Investor’s Choice bid-offer ended with 5 stocks with bids higher than last selling prices and 2 with lower offers.
Gains| NCB Financial Group gained 5 cents to close at $4 trading 537,154 shares valued at $2,123,908 and Prestige Holdings closed at $10.90, with gains of 9 cents in exchanging 1,400 shares.
Losses| Ansa McAL traded $1 lower to close at $66.50, with 50,493 shares valued at $3,357,787, changing owners, Clico Investment traded 1 cent lower to close at $22.50 exchanging 1,800 shares and First Citizens lost 1 cent, closing at $31.99 with only 3 shares traded. National Flour Mills closed at $2.40, losing 7 cents with trades of 18,210 shares, Scotia Investments was down 1 cent to close at $2.69, with an exchange of 350 shares, and Unilever Caribbean closed at $53, with a loss of 51 cents trading 479 shares.
Firm Trades| Ansa Merchant Bank traded 8,000 shares at $40, Guardian Holdings closed at $15.80, with an exchange of 34,915 shares valued at $551,048 and JMMB Group exchanged 11,489 shares at $1.30. Massy Holdings traded 5,102 shares at $51.48, National Enterprises closed at $10.50 trading 350 shares, Point Lisas remained at $4, with an exchange of 6,954 shares, Readymix closed at $11, with trades of 7,794 shares. Republic Financial Holdings traded a mere 2 shares at $101.85, Scotiabank held firm at $58 exchanging 2,682 shares and West Indian Tobacco exchange only 3 shares at $126.49.
Jamaican stock in big mid-morning drop
Prices mostly retreated in mid-morning trading on Thursday on the Jamaica Stock Exchange main and Junior Market in early trading on Thursday.
The main market all Jamaica Composite index dropped by 3,661.69 points, at 10:45 AM the index hit 260,586.44 points and the main market index dived 3,336.22 to 237,423.75, the composite index fell 3,614.82 points to 254295.16 and the junior market Index dived 50.59 points to trade at 3,318.39.
In the Junior Market, Blue Power climbed to $45 from $39 with 1,000 shares but ISP Finance fell back to $30 from $35 with 3,476 shares trading. Caribbean Producers traded 1,300,064 units at $3.85 while Jetcon Corporation traded 152,103 units at $15 and Paramount Trading had 219,523 units changing hands at $3.05.
In the main market, Berger fell to $20 from $23.50, Jamaica Broilers traded down to $18, while Sagicor Group traded 2,274,978 shares down to $30.01 from $33.50.
Jamaica’s exports surged 31%
Jamaica’s exports earnings grew by a strong 31 percent or US$27 million to US$114 million in January this year at a faster pace than 25 percent jump in imports as the country’s trade deficit increasing by US61 million or 23.3 percent to US$323 million.
Imports rose US$88 million to US$437 million compared to US$349 million in January last year. For the period, imports of Mineral Fuels, increased of US$41.8 million or 76.6 percent to US$96 million, due to higher imports of Petroleum, Oils, Bunker C fuel, Automotive Diesel Oil, Motor Spirit, Propane and Butane. Imports of Machinery and Transport Equipment rose by 46.7 percent or US$40 million to US$125 million due to higher imports of motor vehicles. Manufactured Goods increased by US$11 million to US$53 million, mainly due to more iron and steel being imports. Miscellaneous Manufactured Articles increased by US$6 million to US$42 million. Beverages & Tobacco imports grew 41 percent increased to US$7 million.
Traditional Domestic Exports climbed 20.3 percent or US$10 million to US$61 million, above the comparable 2016 period, as all commodity groups recorded increases. Traditional Domestic Exports accounted for 56.2 percent of total Domestic Exports during the 2016 review period. Non– Traditional Domestic Exports jumped 56.4 percent by US$17 million to US$47 million.
Taxes push Jamaica’s April inflation
Increased taxation on fuel, cigarettes and pure alcohol and increase motor vehicle license were mostly responsible for the 0.3 percent increase in Jamaica’s inflation for April as measured by the Consumer Price Index.
The calendar year-to-date inflation amounts 1.3 percent, while inflation rate since April 2016 is 4.8 percent.
This upward movement was mainly due to the divisions, Transport recording an increase of 1.7 percent and the highest weighted division Food and Non-Alcoholic Beverages moving up by 0.1 percent. The upward movement in the Transport division was due mainly to the increase in the Special Consumption Tax levied on petrol. While increased consumption tax pushed inflation by of 0.9 percent in the Alcoholic Beverages and Tobacco division.
The overall inflation rate was tempered by the decline of 0.2 percent in the division Housing, Water, Electricity, Gas and Other Fuels, due to lower rates for electricity, resulting in a fall of 0.5 percent for the group Electricity, Gas and Other Fuels.
Knutsford Express riding high
Knutsford Express last traded in 2016 at $20, today its up 240 percent to $68, thanks to a combination of factors, chief amongst them is a scarcity of supply and a proposed 5 for 1 stock split.
A 33 percent rise in revenues to $203 million in the February quarter and a 63 percent rise in operating profit show the company in a pretty strong growth path.
Earnings per share closed the nine months period at $1.20 after the third quarter delivered 54 cents.
“We had a strong third quarter”, Oliver Townsend told IC Insider.com, in response to the question, “can this growth continue,” Townsend answered in the affirmative. With our Montego Bay transport hub coming on stream by June this year, we should see continued growth as the company expect increased business as a result of having the hub located at the Sangster International Airport. The convenience of persons flying in and out of the airport being able to have easy and ready access to the Knutsford facility will see more persons patronizing the service, Townsend advised this publication. Ocho Rios is to have a new hub in which meals and drinks will be sold and thus enhance customers’ experience.
“We are also going directly from Kingston to Port Antonio using smaller buses via the Junction Road, the company’s Chief Executive said.
New buses added to replace older ones will reduce operating cost. The February results got a boost of $8.5 million realized from sales of buses, helping to push net profit up 94 percent to $53.7 million. For the nine months, revenues climbed 28.5 percent to $429.7 million while net profit moved higher by 35 percent to $120 million.
Knutsford does not break out its cost into direct operating expenses, marketing and administrative and other expenses so that readers can fully glean how the company is really doing, from an operational standpoint. Data compiled by IC Insider.com show an improving level of efficiency as business expands. Net profit as a percentage of revenues climbed to 24.7 percent and is up from 20 percent in the third quarter of 2016 and ended at 22.34 percent for the nine months compared to 23.2 percent in 2016.
Depreciation charges rose 54 percent to $39 million well ahead of the growth in revenues, but the newer buses should reduce repairs and maintenance as well as the possibility that there could be fuel savings.
Knutsford generated gross cash flows of $159 million To February, up from $114 million in 2016, dividends of $24 million paid and $87 million spent of acquiring fixed assets left the company with $103 million in funds at bank or in cash. Shareholders’ Equity stands at $432 million with borrowings of just $68 million and cash and short term investments of $123 million. Current assets amounted to $180 million and current liabilities at a low $35 million.
The Company is listed on the Jamaica Stock Exchange and last traded at $68 for a PE of 25 based on estimated earnings for 2018 fiscal year’s estimated earnings of $2.75. The stock could be considered a bit pricey, with the market average at 13 times this year earning. With a 5 to 1 stock split days away, who knows what investors may do in light of the limited supply of the stock. At least profit seems to be on the rise at an attractive pace, as such investors with a long term time horizon may well enjoy gains sometime in the future, based on the growth path that the company is enjoying.