The volume and value of stocks trading on Wednesday climbed 17 percent 6 percent respectively over Tuesday’s transactions at the close of the Junior Market of the Jamaica Stock Exchange.
Market activity led to 38 securities trading compared to 40 on Tuesday and ended with 16 rising, 18 declining and four ending unchanged, resulting in the Market Index slipping 8.84 points to 3,327.71 for a second straight day of decline.
The PE Ratio, a measure that determines an appropriate value of each stock, averages 12.8 based on ICInsider.com’s 2021-22 earnings forecast.
Trading ended with 4,997,502 shares for $14,398,973, up from 4,263,733 units at $13,550,854 on Tuesday.
Future Energy Source led trading with 29.7 percent of total volume for 1.49 million shares followed by Mailpac Group with 17.1 percent for 853,883 units and Jamaican Teas with 12.7 percent for 636,843 units.
Trading averaged 131,513 units at $378,920 in contrast to 106,593 at $338,771 on Tuesday. Month to date trading averages 221,140 units at $604,283, compared to 226,854 units at $618,651 on Tuesday. May closed with an average of 318,089 units at $760,337.
Investor’s Choice bid-offer indicator reading shows eight stocks ending with bids higher than their last selling prices and two with lower offers.
At the close, Access Financial dropped $2.40 to $20.09 after exchanging 181 shares, Blue Power dipped 4 cents in closing at $3.61 with an exchange of 17,630 units, Caribbean Cream rallied 3 cents to close at $5.78 in trading 3,353 stocks. Caribbean Producers fell 15 cents to $4.25 after transferring 123,471 stocks, Elite Diagnostic gained 5 cents to settle at $3 with the swapping of 2,449 shares, Express Catering shed 35 cents to end at $6 in switching ownership of 51,517 stock units, Fontana lost 6 cents ending at $6.02 with an exchange of 72,379 units. Fosrich shed 41 cents to close at $8 with 43,105 shares changing hands, Honey Bun slipped 29 cents to $6.70 after exchanging 5,601 stocks, iCreate rose 7 cents to 85 cents with 73,929 units crossing the market. Indies Pharma fell 10 cents to $3.27 after trading 60,669 shares, ISP Finance spiked $2.07 to $19.82, with 493 stock units clearing the market, Jamaican Teas declined 3 cents to $3.96 while exchanging 636,843 units. Knutsford Express spiked $1.15 to $8.75 in exchanging 800 stocks, Lasco Distributors increased 3 cents to $4.10 while exchanging 64,613 units. Lasco Manufacturing rose 24 cents to $5.59 in exchanging 251,431 shares, Limners and Bards fell 4 cents to $3.06, with 325,483 shares crossing the market. 
Lumber Depot lost 4 cents to close at $3.33 in an exchange of 129,259 shares, Mailpac Group gained 12 cents to close at $3.95 after trading 853,883 stock units, Main Event shed 35 cents to settle at $5 with an exchange of 46,090 units. Medical Disposables fell 39 cents to end at $4.61 with 17,104 shares changing hands, Stationery and Office Supplies lost 5 cents to end at $7.55, with 3,152 stocks crossing the market, Tropical Battery gained 5 cents to close at $1.42 after an exchange of 199,735 shares and tTech rose 4 cents to $4.79 in trading 1,011 stocks.
In the preference segment, CAC 2000 9.5% preference share rallied 8 cents to $1.23 after clearing the market with 38,035 stocks.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Market activity led to 40 securities trading, up from 35 on Monday, with prices of 14 rising, 18 declining and eight ending unchanged.
Investor’s Choice bid-offer indicator shows four stocks ending with bids higher than their last selling prices and one with a lower offer.
Medical Disposables spiked 49 cents to finish at $5 with an exchange of 591 shares, Stationery and Office Supplies dropped 40 cents to $7.60 with investors switching ownership of 7,500 stocks, Tropical Battery rose 6 cents to $1.37, with 331,978 units traded and tTech gained 5 cents to close at $4.75 with 5,298 stock units crossing the exchange.
Similar to Friday, 35 securities traded, ending with 16 stocks rising, eight declining and 11 closing unchanged, but price changes were modest in many cases.
Trading averaged 97,355 units at $304,059 compared to 1,174,685 at $2,105,675 on Friday. The month to date averaged 235,506 units at $638,781, compared to 244,787 units at $661,267 on Friday. May closed with an average of 318,089 units at $760,337.
Limners and Bards lost 11 cents to finish at $3.05 with 141,212 shares changing hands, Lumber Depot advanced 11 cents to $3.40 with a transfer of 619,517 stocks, Mailpac Group gained 10 cents to settle at $3.80 with 566,352 shares traded and Tropical Battery slipped 5 cents to $1.31 with 634,705 stocks crossing the exchange.
Scotia Group, along with Caribbean Cream, fell out of the TOP10 based on downward revisions to their earnings for the coming financial year ends. Moving into the Junior Market TOP10 is ISP Finance with the price dropping to $15.60 on Friday and the Main Market listed, Berger Paints moving back in the TOP10 with the price at $13.85 on Friday.
The targeted PE ratio for the market remains an average of 20 based on profits of companies reporting full year’s results up to the second quarter of 2022. Fiscal 2020-21 ended March 2021 with the average PE at 17 for Junior Stocks and 19 times for the Main Market. One reason why the Junior Market stocks have outperformed Main Market ones since last year can be seen from the big difference between the valuations of both markets, with the latter values close to maturity, based on present valuation metrics.
The Junior Market Top 10 stocks average a mere 6.7 at just 51 percent of the market average, indicating substantial gains ahead. The JSE Main Market ended the week with an overall PE of 17.1, a little distance from the 19 the market ended in March, suggesting just an 11 percent rise at a PE of 19 and 17 percent at a PE of 20 from now to March 2022. The Main Market TOP 10 trades at a PE of 7.9 or 46 percent of the PE of that market, well off the potential of 20.
The Market Index added 15.14 points to close at 3,354.91 after moving up to 3,375.79 within six minutes of the opening.
Investor’s Choice bid-offer indicator reading shows three stocks ending with bids higher than their last selling prices and four with lower offers.
Knutsford Express climbed 15 cents to $8.90 with 7,058 units changing hands, Lasco Financial fell 27 cents to $3.22 with an exchange of 504,345 stocks, Limners and Bards advanced 15 cents to $3.15 with investors switching ownership of 49,198 stock units. Lumber Depot fell 11 cents to $3.19 with a transfer of 114,143 shares, Mailpac Group slipped 8 cents to $3.69 with 518,163 units traded, Main Event lost 20 cents to settle at $5 with 7,723 stocks changing hands.Medical Disposables dropped 40 cents to $4.50 with investors switching ownership of 18,945 stock units and Stationery and Office Supplies spiked 65 cents to $8.88 with 10,016 shares crossing the exchange.
Trading occurred in 36 securities down from 39 on Tuesday, with prices of nine stocks rising, 19 declining and eight unchanged.
Trading averaged 181,681 units at $540,799 in contrast to 163,493 at $555,626 on Tuesday. Month to date, trading averages 180,468 units at $573,202, compared to 180,362 units at $576,026 on Tuesday. May closed with an average of 318,089 units at $760,337.
Limners and Bards fell 15 cents to $3 with 239,291 units changing hands, Mailpac Group spiked 18 cents to $3.77 with 593,202 stocks traded, Main Event slipped 5 cents to $5.20 with investors switching ownership of 7,685 shares. SSL Venture rose 7 cents to 64 cents with a transfer of 11,998 units, Tropical Battery slipped 10 cents to $1.40 with 431,620 stocks changing hands and tTech shed 65 cents to close at $4.80 with 30,426 shares crossing the exchange.
Investors ended up trading 39 companies compared to 35 on Monday resulting in prices of 13 rising, 17 declining and nine closing unchanged and sent the prices of four stocks to 52 weeks high, with two of them closing at 52 weeks highs.
Trading averaged 163,493 units at $555,626 up from 130,808 shares at $365,764 on Monday. Month to date trading averages 180,362 units at $576,033, versus 182,121 units at $578,161 on Monday. May closed with an average of 318,089 units at $760,337.
Jamaican Teas picked up 8 cents to end at $4 with an exchange of 479,657 units, Jetcon Corporation fell 11 cents to $1.79 with 526,581 stocks passing through the market. Knutsford Express declined by 45 cents to $8 with 773 stock units traded, Lasco Distributors climbed 19 cents to $4 with a transfer of 140,313 shares, Lasco Financial lost 10 cents to end at $3.50 with an exchange of 76,876 stocks. Limners and Bards increased by 10 cents to finish at $3.15, with 198,295 units changing hands, Lumber Depot fell 12 cents to $3.33 with investors switching ownership of 87,864 shares, Main Event advanced 25 cents to $5.25 with 37,950 units traded after hitting an intraday 52 weeks’ high of $5.45. Medical Disposables slipped 10 cents to $4.90 with a transfer of 88,203 stock units, Stationery and Office Supplies climbed 23 cents to $8.23 with 6,802 units changing hands and Tropical Battery rose 5 cents to close at 52 weeks’ high of $1.50, with 283,760 shares crossing the exchange.
A total of 35 securities traded, up from 33 on Friday, with prices of 15 rising, 10 declining and 10 ending unchanged, with four stocks closing at 52 weeks’ highs.
Trading on Monday, averaged 130,808 units at $365,764 down from 134,936 at $397,703 on Friday. For the Month to date, trading averages 182,121 units at $578,161, down from 187,419 units at $600,090 on Friday. May closed with an average of 318,089 units at $760,337.
Lasco Distributors dropped 19 cents to $3.81 with investors swapping 26,359 shares, Limners and Bards lost 10 cents to finish at $3.05 with 162,984 stocks traded, Main Event fell 26 cents to $5 with 64,116 stock units changing hands. Medical Disposables surged 64 cents to $5 with a transfer of 40 units, Tropical Battery advanced 20 cents to end at a 52 weeks’ high of $1.45 with 825,416 stock units traded and tTech climbed 39 cents to $5.45 with 115 shares crossing the exchange.
Other than Jetcon, prices of other TOP10 stocks had notable increases during the past week; these include; Jamaica Broilers and Grace Kennedy from the main market but Radio Jamaica, PanJam and Scotia Group prices took hits. In the Junior Market, Caribbean Cream, Access and Stationery and Office Supplies had nice gains resulted in the average gains projected slipping from 216 percent last week to 210 percent. The average projected gains for the Main Market stocks inched up last week from 169 to 170 percent.
The JSE All Jamaica Composite Index hit 466,915.58 points during the morning session on Friday, before closing lower at 459,273.23, up from 456,395.73, at the close of the previous week, as the market continues to wrestle with resistance.
This week’s focus: Access Financial Services came out with full year results that reflected increased lending and EPS of 50 cents in the March quarter. ICInsider.com upgraded earnings to just under $3 per share for the current fiscal year. Scotia Group also reported results for the six months to April, with a 12 percent rise in profit for the April quarter over the 2020 same quarter and an 11.4 percent rise for the six months results. The big negative is that the loan portfolio continued its decline into the April quarter. ICInsider.com now projects 2021 earnings at $4 per share.
The targeted PE ratio for the market averages 20 based on companies’ profits reporting full year’s results, up to the second quarter of 2022. Fiscal 2020-21 ended March 2021 with the average PE at 17 for Junior Stocks and 19 times for the Main Market.
IC TOP10 stocks are likely to deliver the best returns up to March 2022 and ranked in order of potential gains, based on likely increase for each company, considering the earnings and PE ratios for the current fiscal year. Expected values will change as stock prices fluctuate, resulting in periodic movements in and out of the lists. Revisions to earnings per share are ongoing, based on receipt of new information.
A mere 33 securities traded on Friday, down from 37 on Thursday and ended with 12 rising, 16 declining and five closing unchanged.
Investor’s Choice bid-offer indicator reading shows no stock ending with the bid higher than the last selling price and four with lower offers.
Jamaican Teas rose 5 cents to $4.05, with 135,367 shares changing hands, Jetcon Corporation increased 4 cents in closing at a 52 weeks’ high of $1.75, after trading 177,520 units, Lasco Financial slipped 7 cents to $3.63 after exchanging 36,904 shares. Limners and Bards rose 15 cents to $3.15 in switching ownership of 124,109 stock units, Medical Disposables fell 49 cents to $4.36 after trading 17,658 units and Stationery and Office Supplies shed $1 to end at $8 in switching ownership of 27,109 stocks.