Caribbean Cement
is the clear leader as the stock to watch for this week, with the company posting blowout first quarter profit of $1.13 billion or $1.33 per share up from only $348 million in 2018.
The sharp rise in profit resulted mainly from the removal of lease of equipment cost and cost of imported cement. The result is a tad below what IC Insider.com forecast of $7 per share for 2019would suggest, but is in keeping with that forecast on the basis of expected pick up in sales as the year rolls on.
The head of one of the country’s largest brokerage houses, advised his team about the results. “Please make sure all CCC on the sell side are cancelled before market opens on Monday. All clients must be informed of the results before any sales orders can be placed.” The coded message here is that the stock price will jump sharply in trading on Monday. Keep on watching this one.
Sagicor Group had buying up to $44 on Friday and should continue to attract investors’ interest. NCB Financial Group came out with a fall in profit for the March quarter and is unlikely to see buying coming in to move the price even if they announce the closure of the Guardian acquisition of majority shares. Supreme Ventures released flat March results that may put pressure on the stock price that is selling close to 30 times 2019 earnings.
Wisynco, most attractively priced main market stock.
Continue to keep an eye on Wisynco that closed at $12 on Friday with increased buying interest during the past week as the company continues to expand the volume of products it represents that augurs well for increased profit going forward. The stock remains one of the most appealing main market buys currently. RJR and Seprod remain attractive buys and continue on the watch list along with Barita Investments that seems set to post very strong second quarter results.
The picture for the Junior Market is unclear but with Caribbean Cream full year results to February, are now due and will provide information in directing the stock price. Added to the list are Honey Bun that holds its annual general meeting on Monday that may provide price sensitive information and Stationery and Office Supplies.
