Following the release of fourth quarter results and faced with a new IPO, investors took profit this past week, resulting in six changes to the ICTOP10 listings as the Junior Market hit a record high during the week at 4,076 points before pulling back 226 points and making some recovery on Friday. That market is caught between two resistance points that seem set to constrain movement beyond peak and the low reached last week.
Focus this coming week will be the response of the market to the latest IPO to hit the market as FJP Limited opens on Monday at $1 per share. The stock is not ICInsider.com BUY RATED, but it should deliver gains to investors, with the possibility of earnings estimated around 7 cents per share.
Entering the Junior Market TOP10 this week are Lasco Manufacturing, Iron Rock, iCreate and Lasco Financial slipped out last week, while 138 Student Living and Sygnus Credit Investments US dollar denominated stock join the Main Market list.
Out goes General Accident, Honey Bun, Medical Disposables and Tropical Battery from the Junior Market list, while VM Investments and Sterling Investments hit a record high on Friday of $3.65 from the Main Market listing.
During the week, the Junior Market TOP10 listed Tropical Battery rose 18 percent to close at $1.79, followed by Lasco Distributors with a gain of 5 percent to $4, while Cargo Handlers fell 11 percent to $7 and General Accident moved down 7 percent to $6.26, following the release of full year’s results, with a small loss reported in the December quarter.
In the Main Market, Sterling Investments rose 13 percent to a record close of $3.50 while JMMB Group added 5 percent to end at $44.30, with technical indicators pointing to a much higher price ahead as the stock is steered higher by a rising trend line.
The Junior Market potential gains for the TOP 10 Junior Market stocks are now at 104 percent and are now much lower than the Main Market at 126 percent. The top three stocks in the Junior Market are Cargo Handlers followed by Caribbean Assurance Brokers and AMG Packaging to gain between 109 and 129 percent, compared to 111 and 124 percent, previously.
The potential gains for Main Market stocks moved from 122 percent last week to this weeks’ 126 percent, with the top three being Guardian Holdings followed by JMMB Group and Sygnus Credit Investments all projected to gain between 165 and 185 percent versus 161 and 186 percent last week.
The average PE for Junior Market has moved to 17.7 based on ICInsider.com’s 2021-22 earnings and is ahead of the JSE Main Market at 16.9. In the process, the Junior Market has surpassed the average of 17 that was achieved at the end of March last year. The TOP 10 stocks trade at a PE of a mere 9.8, with a 45 percent discount to that market’s average. That means there is a lot of room for the TOP10 stocks to run between now and the end of March.
All the stocks in the Junior Market can gain 13 percent to March this year, based on an average PE of 20 that would take the index to 4,700 points. About a third of Junior Market stocks with positive earnings are trading at or above this level, averaging around 23.
The average PE for the JSE Main Market is 16.9 just 12 percent less than the PE of 19 at the end of March and 18 percent below the target of 20 to March this year. The Main Market TOP 10 average PE is 9 representing a 47 percent discount to the market and well below the potential of 20. Around 18 stocks or 35 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.
Six new additions to ICTOP10
JSE trading levels rise – Friday
Trading activity on the main market ended on Friday closed as 25 securities changed hands, leading to trading of 2,638,664 shares valued at $47,864,816, compared to 2,456,156 shares valued at $27,810,830 on Thursday.
Market activities ended with the prices of 7 stocks rising, 8 declining and 10 trading firm. At the close of the market the JSE All Jamaican Composite Index dropped 1,561.89 points to 312,211.91 and the JSE Index fell by 1,423.06 points to 284,460.36.
In main market activity, Berger Paints closed 50 cents higher at $17.50, with 8,805 shares, Cable & Wireless concluded trading at $1.35, with 44,595 units, Carreras finished 1 cent higher at $11.30, with 747,503 shares, Ciboney Group ended trading at 22 cents, with 25,000 shares, Grace Kennedy traded 60 cents higher at $43.10, with 52,300 stock units. 
Jamaica Producers closed with a loss of $1 at $16, with 1,643 shares, Jamaica Stock Exchange ended at $7, with 8,268 shares, JMMB Group concluded trading at $25, with 104,692 shares, Kingston Wharves settled 78 cents higher at $33.50, with 530 units. Mayberry Investments ended trading 15 cents higher at $5.75, with 20,566 shares, NCB Financial Group traded with a loss of 85 cents at $100, with 148,370 shares, 138 Student Living ended at $6, with 4,000 shares, PanJam Investment ended with a loss of 50 cents at $40, with 38,200 units, Pulse Investments finished with a loss of 4 cents at $1.95, with 14,423 shares. Radio Jamaica settled at $1.10, with 10,800 shares, Sagicor Group ended trading 45 cents higher at $35.20, with 42,625 stock units, Sagicor Real Estate Fund ended trading with a loss of 29 cents at $14.20, with 38,692 shares. 
Scotia Group finished trading with a loss of $1.50 at $51, with 168,778 shares, Seprod closed at $29.50, with 2,689 shares. Sterling Investments ended at $13, with 5,200 shares, Supreme Ventures concluded trading with a loss of 5 cents at $11.50, with 62,339 stock units, Victoria Mutual Investments finished 6 cents higher at $4.12, with 788,378 units, Wisynco Group settled with a loss of 50 cents at $10.20, with 295,467 shares and In the main market preference segment, Jamaica Money Market Broker 7.25% ended trading at $2.49, with 2,140 shares and Jamaica Money Market Brokers 7.5% traded at $2, with 2,661 stock units.
Prices of securities trading for the day are those at which the last trade took place. For more details of market activities, see “Main market dropped on Friday.”
JSE records huge gain on Wednesday
D&G gained $10.77 to push JSE index with all-time record gain
The stock exchange main market is now 11,648.72 points or 8 percent away from the record close of 138,917.59 reached on 24th of January 2005. A total of 23 stocks rose, with 3 declining as 36 securities, totalling 11,897,638 units valued at $70,427,255 changing hands, in all market segments. 1 junior market and 2 main market stocks ending at new 52 weeks’ closing highs, 1 trading at a 52 weeks’ intraday high and one closed at an all-time low. The JSE Market Index shot up by 8,692.24 points to 114,815.31, and the JSE combined index jumped 7,728.74 points to end at 119,161.07.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator had a reading of 11 stocks with bids higher than their last selling prices and 4 with offers that were lower.
In trading, Berger Paints traded 899,350 shares at $2.50 and gained 20 cents Cable and Wireless closed with an 8 cents increase with 210,000 shares changing hands to close at 60 cents, Caribbean Cement closed at to $10 with 14,620 shares changing hands, but traded at an intraday 52 weeks’ high of $10.99. Carreras traded 67,666 shares at $51 to gain 40 cents. Desnoes and Geddes stock closed with bids of $25.80 to buy 270,074 shares with an offer only 350 units at $28 with very small volumes above. Grace Kennedy traded with a gain of 1 cent, to close at $64.51 with 118,864 shares, Jamaica Broilers 618,120 shares to close at $6.99, JMMB Group traded 104,600 shares at $8.50 at the close with a gain of 44 cents, Kingston Wharves traded at a new high of $9.20 to add $1.55 with 1,850 shares changing hands. National Commercial Bank closed with a gain of 68 cents with 50,000 shares trading to close at $30.79, the shares of 138 Students Living added 25 cents in closing at $4.40 with 210,000 shares,
Pan Jamaican Investments traded 20,500 shares at the end at $63 with a gain of $1.44. Sagicor Group with 368,858 shares closed 1 cents higher at $13.16, Sagicor Real Estate Fund with 46,000 shares closed 50 cents down to $7.50. Scotia Group ended with 119,753 shares trading at $23.85 after gaining 33 cents, Scotia Investments gained $1.50 and ended at $27.50 with 111,000 shares traded, Seprod traded 4,888 shares at $14.95 for 5 cents loss, Supreme Ventures gained 6 cents and ended at $3.71, with 76,000 units. Proven Investments traded 19,000 ordinary shares at 22 US cents after adding a cent and Jamaica Public Service 9.5% preference share traded 4,932 units at $1125 each.
JSE price changes fluid on Monday
NCB closed down sharply on Monday
Two junior market and 3 main market stocks ended at new 52 weeks’ closing high and 1 junior stock trading at 52 weeks’ intraday high. The main market indices enjoyed another day of decent gains. The JSE Market Index fell 6.27 points to 106,653.25, the JSE All Jamaican Composite index rose 7 points to 118,147.30 and the JSE combined index jumped 594.88 to end at 111,679.90 points.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator had a reading of 13
stocks with bids higher than their last selling prices and 5 with offers that were lower.In trading, Cable and Wireless added 2 cents, with 792,712 shares changing hands to close at 60 cents, Caribbean Cement shot up to $9.90 with 66,761 shares changing hands for a 90 cents increase, Desnoes and Geddes jumped $1.96 to trade at $15.03 with 19,100 shares trading at a new 52 weeks high. Desnoes and Geddes closed with a bid to buy 10,000 units at $17.28, at $2.25 above the last traded price. Grace Kennedy ended with 1,000 shares trading at $64.50, with a gain of 50 cents. Jamaica Broilers closed at $7.10 with 283,284 shares changing ownership, for a gain of 60 cents, Jamaica Producers lost 15 cents in trading 77,628 shares at $18.50, Jamaica Stock Exchange gained 30 cents in closing at $7.50 with 143,900 shares changing hands.
Mayberry Investments traded 15,006 shares at $2.60 at the close with a gain of 25 cents, National Commercial Bank closed with a loss of $2.94 with only 4,025 shares trading to close at $30.05. 138 Students Living lost 20 cents in closing at $4.20 with 15,000 shares, Pan Jamaican Investments traded 8,000 shares at $61 with a loss of 99 cents. Radio Jamaica traded 3,056 shares to close at $4, for an 18 cents decline, Sagicor Group with 20,500 shares closed 9 cents lower at $13.01, Scotia Group ended with 13,099 shares trading at $24 after losing $1.64 and Sterling Investments gained 10 cents in ending at $13 while 8,200 shares traded.
