Dolphin Cove returns to the ICInsider.com TOP10 list after a very long absence. The company’s half year results show a major upturn in fortunes, with prospects of good full year results. The stock replaces CAC2000 that slipped out of the top list.
Dolphin Cove reported a profit of US$1.24 million in the June quarter or 49 cents in Jamaican currency, thus wiping out the first quarter loss of US$155,000 and seems on target to generate around $3.3 million in profit for the year.
Last week’s number one Main Market stock – RJR, dropped to position 7 this week, with the price jumping to $3.50 from $2.25 last week. It could be out of the TOP10 next week if buying interest continues to come into the market, with the stock gaining 60 percent for the week and a respectable 91 percent for the year to date. That is not a bad performance for a stock sold for $1.10 in December last year and one that not many investors looked at until recent results were released. Interestingly, while many investors looked elsewhere, the smart money was laser focused on the future and the boom in revenues that was to come from growth in various areas of the economy that would increase advertising spend and push quarter profits to record levels. 
The smart money bought 52 million shares on April 6 last year, at an average of $1.33. On April 13, 95.4 million units were picked up and 67.7 million on April 27 at $1.26. The next big buy was August 17th, with 10 million units at $1.30 and 0n October 19 with 20 million units.
Outside the Junior and Main markets TOP10, investors should watch AMG Packaging and Sterling Investments.
After more than a year and a half at the top of the ICTOP10 listing Radio Jamaica finally broke lose this week, with the price hitting new daily 52 weeks’ highs and ended at $3.50 on Friday. The top three Main Market stocks are now headed by Berger Paints, with the potential to gain 277 percent, followed by JMMB Group and Guardian Holdings, with expected gains of 202 to 277 percent for the three, versus last weeks’ 200 to 300 percent.
The top three stocks in the Junior Market are Elite Diagnostic, followed by Stationery and Office Supplies that fell on Friday to $5.75, from $7.43 last week and General Accident, with all three having the potential to gain between 221 percent and 295 percent, compared to 256 and 336 percent, last week.
Last week, a few companies’ profit results were highlighted; one that was not and came out with less than exciting profit numbers is Elite that is top of the Junior Market listing. The company came to the market with much promise but has failed to deliver on its promise. A close assessment of the June results shows an increase in revenue in each quarter in the last fiscal year over the prior quarter, suggesting that if the trend continues, the current fiscal year should see a big rise in revenues and profits. The paying of a dividend that is greater than the reported profit for the last fiscal year is an indication that things are likely to be better in the current year. The other factor is that EBITA is strong with a fairly stable depreciation charge of 20 percent of revenues.
This past week the average gains projected for the Junior Market moved from 193 percent to 207 percent and Main Market stocks from 180 percent to 172 percent.
The Junior Market closed the week with an average PE of 11.4 based on ICInsider.com’s 2021-22 earnings and currently trades well below the target of 20 and the recent historical average of 17 for the period to March this year, based on 2020 earnings.
The JSE Main Market ended the week with an overall PE of 15.6, a little distance from the 19 the market ended at in March, suggesting a 17 percent rise at a PE of 19 and 23 percent at a PE of 20 from now to March 2022. 
The Main Market TOP 10 trades at a PE of 7.6, with a 41 percent discount to the PE of that market, well off the potential of 20.
The TOP10 stocks are not always the best in the market but are likely to be the best winners within a fifteen-month period. IC ranked stocks to filter out the big winners, allowing investors to focus on potentially big winners and help to keep out emotional attachments to stocks.
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 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.
The All Jamaican Composite Index slipped 158.71 points to 454,372.96, the Main Index dropped 804.45 points to settle at 414,361.10 and the JSE Financial Index dipped 0.08 points to end at 102.30.
Trading averaged 2,918,627 units at $27,295,100, compared to 420,806 shares at $3,500,435 on Thursday. Month to date Trading averages 576,923 units at $8,797,046, in contrast to 376,542 units at $7,214,159 on Thursday. July ended with an average of 322,932 units at $15,201,099.
PanJam Investment advanced $3.18 to $65 with the swapping of 1,559 units, Portland JSX dived $2.20 to $7, with 4,824 stocks crossing the market, Proven Investments declined $3.97 to end at a 52 weeks’ low of $30.05 with an exchange of 56,205 shares. Pulse Investments shed 21 cents to close at a 52 weeks’ low of $3.09 in trading 628,045 stocks, Radio Jamaica rose 7 cents to end at a 52 week’s closing high of $3.57 in trading 2,732,191 units, Scotia Group shed 90 cents to $38.80 in trading 7,235 stock units. Seprod popped $6.80 to $68 with the swapping of 52,385 shares, Stanley Motta rose 67 cents to $5.90 in switching ownership of 2,079 units, Sygnus Credit Investments lost 93 cents to end at $14.02 in an exchange of 56,400 stocks and Victoria Mutual Investments rallied 41 cents to $5.76 after exchanging 13,647 stock units.
The All Jamaican Composite Index lost 916.98 points to settle at 454,531.67, the JSE Main Index shed 587.19 points to 415,165.55 and the JSE Financial Index added 0.19 points to end at 102.38.
Investor’s Choice bid-offer indicator reading has 12 stocks ending with bids higher than their last selling prices and six with lower offers.
Radio Jamaica spiked 52 cents to end at 52 weeks’ closing high of $3.50, after hitting a new intraday high of $3.85 in the morning session, in completing an exchange of 669,972 stock units, Salada Foods rallied 28 cents to $7.39, with 2,552 units crossing the exchange, Scotia Group fell 30 cents to end at $39.70, with an exchange of 261,002 shares. Seprod declined $4.80 in closing at $61.20 in trading 21,923 stocks and Victoria Mutual Investments dipped 35 cents at $5.35 with 126,154 units clearing the market.
A total of 37 securities traded compared to 35 on Wednesday and ended, with 17 rising, 15 declining and five closing unchanged. The Junior Market Index popped 9.02 points to 3,298.84. The PE Ratio, a measure used to compute appropriate stock values averages 11.2 based on ICInsider.com’s 2021-22 earnings forecast.
Investor’s Choice bid-offer indicator shows one stock ending with the bid higher than its last selling price and three with lower offers.
Main Event dropped 50 cents to $4.50 with 85,117 stock units traded, SSL Venture advanced 17 cents to 80 cents with 10,000 units passing through the market and Stationery and Office Supplies rallied 35 cents to $7.40 with 3 shares crossing the exchange.
Market activity led to 35 securities trading compared to 33 on Tuesday and ended, with 10 rising, 17 declining and eight closing unchanged. The PE Ratio, a measure used to compute appropriate stock values, drops to an average of 10.9 from 11.5 on Tuesday, based on ICInsider.com’s 2021-22 earnings forecast.
At the close, Access Financial advanced 36 cents to $21 with 500 shares traded, AMG Packaging rose 6 cents to $1.61 with 2,000 stocks changing hands, Consolidated Bakeries dropped 25 cents to $1.60 with a transfer of 3,121 units after the company posted increased losses for the June quarter compared with the similar period in 2020. Dolphin Cove shed 50 cents to close at $9 with an exchange of 431,935 stock units, Elite Diagnostic spiked 5 cents to $3.08 with 253,468 shares passing through the market, Express Catering dropped $1.19 to $4.96 with 102,013 stocks traded. Fontana advanced 26 cents to $6.08 with 225,655 stock units changing hands, Fosrich fell 32 cents to $8.10 with a transfer of 9,898 units, Future Energy Source gained 28 cents to finish at an all time high of $2.10 with an exchange of a market leading 4,198,648 shares. General Accident fell 14 cents to $5.56 with 228,438 stocks traded, Honey Bun rose 8 cents to a 52 weeks’ high of $8.08 with 67,947 units changing hands, iCreate slipped 7 cents to 80 cents with a transfer of 1,700 stock units. 
Iron Rock Insurance shed $1.09 to finish at $3.10 with investors switching ownership of 14,925 shares, Jamaican Teas dropped 27 cents to $3.53 with an exchange of 287,024 stocks, KLE Group slipped 6 cents to $1.17 with 1,100 stock units traded. Lasco Distributors lost 9 cents to close at $3.95 with 28,000 shares changing hands, Lasco Financial fell 14 cents to $3.01 with a transfer of 34,500 units, Lasco Manufacturing shed 40 cents to end at $4.80 with an exchange of 17,189 stocks. Main Event advanced 20 cents to $5 with 505 stock units passing through the market, Medical Disposables lost 12 cents to end at $4.83 with 18,107 units changing hands, Paramount Trading declined 22 cents to $1.03 with investors switching ownership of 21,372 stocks and SSL Venture dropped 17 cents to 63 cents with 10,800 shares crossing the exchange.
At the close, Barita Investments spiked $7.24 to $90.24 with an exchange of 19,379,347 shares, Berger Paints gained 22 cents in ending at $13.74 after trading 54,600 stock units, Caribbean Cement fell $3.49 to $90.50, with the swapping of 7,931 stocks. Caribbean Producers dipped 36 cents $4.64 in transferring 13,326 units, Eppley rose $1.42 to $41.86 with 4,938 stock units crossing the market, First Rock Capital shed $1.50 to $12 with 29,541 stocks clearing the market, GraceKennedy fell $2 to $101 in switching ownership of 637,615 shares. Guardian Holdings slid $5 to $615 in trading 766 units, Jamaica Broilers lost 26 cents to end at $36.20 with 3,023,439 shares changing hands, Jamaica Producers rallied $1.98 to $23.48 in trading 6,300 stock units. JMMB Group declined $2.25 to $37.75 with 280,003 stocks crossing the exchange after trading at an intraday high of $43.47, Kingston Properties popped 20 cents to $9.50 after exchanging 1,301 stocks, Margaritaville popped $1.67 to $15.27 in an exchange of 5,047 shares, Mayberry Investments rose 45 cents to $6.20 in transferring 64,783 stock units. MPC Caribbean Clean Energy dropped $17.80 to $120 with an exchange of 2,500 units, NCB Financial spiked $7.50 to $139.50 after 35,309 stocks crossed the exchange, PanJam Investment shed 58 cents to $62.42 with 14,151 stock units clearing the market. 
Proven Investments slipped $1.10 to $34.40 in exchanging 16,665 shares, Radio Jamaica gained 36 cents to close at a 52 weeks’ high of $2.61 with the swapping of 1,149,429 shares, Sagicor Group lost 40 cents t close at $57.50 with an exchange of 46,317 stock units, Salada Foods rallied 30 cents to $7.50 with the swapping of 21,230 shares, Scotia Group rose 70 cents to $40.30 with 7,222 stocks crossing the exchange. Seprod advanced $3 to $69 with 6,412 units changing hands, Stanley Motta dipped 58 cents to $5.41 in transferring 4,000 stock units and Supreme Ventures dipped 43 cents to $18.56 with 19,369 shares changing hands.
The bad news is that many persons ignore ICInnsider.com’s forecast of great things to come from the company, with many chasing after it on Friday after the release of the results on Thursday. Some readers bought into the vision but not all. The good news is that, with projected earnings of 45 cents per share, there is much room for this stock to run. The other good news is that there is much more to be gained by owning the stock as the company completes projects that will boost revenues and grow profits in the years to come.
With those strong results and the promise of 45 cents per share to be earned for this year and 80 cents in the next year, one would be forgiven if they felt that RJR should be dislodged from the ICTOP10 listing. Well, the top three Main Market stocks are headed again by Radio Jamaica, but the potential gains rose from 296 percent to 300 percent, even as the price moved up to a 52 weeks’ closing high of $2.25 from $2.02 last week, due to upgrading in the earnings to 45 cents per share or $1.1 billion. RJR is followed by
The PE Ratio of the TOP 10 Junior Market stocks trade at a 44 percent discount to the market average and Main Market stocks 54 percent, indicating the potential gains in these stocks compared with many of those outsides of them.
This past week, the average gains projected for the Junior Market moved from 218 percent to 193 percent and Main Market stocks to 180 percent from 175 percent.
The Junior Market Top 10 stocks average PE is a mere 6.9, just 54 percent of the market average, indicating substantial gains ahead.
Trading averaged 379,470 units at $1,891,724, up from 186,829 shares at $859,293 on Thursday. Trading month to date averages 192,325 units at $1,482,074, in contrast to 167,373 units at $1,427,454 on Thursday. July ended with an average of 322,932 units at $15,201,099.
Pulse Investments fell 40 cents to $3.50 with the swapping of 679,437 shares, Salada Foods lost 59 cents in ending at $7.20 in an exchange of 52,240 stock units, after posting results that exceeded that of 2020 but well below amounts required to support the stock at recently elevated prices, Scotia Group shed 20 cents in closing at $39.60 and trading 72,819 stocks and Seprod fell $2.90 to $66 with 5,713 shares clearing the market.
The top three stocks in the Junior Market, continue to be Elite Diagnostic, followed by Caribbean Assurance Brokers and Medical Disposables, with the potential to gain between 256 percent and 336 percent compared to 221 and 287 percent, last week. Medical Disposables continues the addition of new products to its portfolio that will add revenues and profit going forward. The acquisition of the 60 percent majority ownership in Cornwall Enterprises, will result in economies of scale and an expanded portfolio to market nationally to an expanded clientele.
The Top10 Main Market leader Radio Jamaica continues to enjoy buying interest that is whittling away the supply of stocks on offer in the market. A barrage of new results are due this coming week as the final reporting day for the period will be Saturday this coming week.
The JSE Main Market ended the week with an overall PE of 16.3, a little distance from the 19 the market ended at in March, suggesting a 17 percent rise at a PE of 19 and 23 percent at a PE of 20 from now to March 2022. The Main Market TOP 10 trades at a PE of 7.5, with a 54 percent discount to the PE of that market, well off the potential of 20.
IC ranked stocks to filter out the big winners, allowing investors to focus on potentially big winners and help to keep out emotional attachments to stocks.
The top three stocks in the Junior Market, continue, with Elite Diagnostic, followed by Caribbean Assurance Brokers and Medical Disposables, with the potential to gain between 221 percent and 287 percent compared to 237 and 291 percent, last week. The top three Main Market stocks are Radio Jamaica in the number one spot, followed by JMMB Group and Guardian Holdings, with expected gains of 184 to 296 percent, versus last weeks’ 183 to 292 percent.
The JSE Main Market ended the week with an overall PE of 16.4, a little distance from the 19 the market ended at in March, suggesting just a 17 percent rise at a PE of 19 and 23 percent at a PE of 20 from now to March 2022. The Main Market TOP 10 trades at a PE of 7.6 or 46 percent of the PE of that market, well off the potential of 20.
The TOP10 stocks are not always the best stocks in the market but ones that are most likely to be the best winners within a fifteen months period. IC ranked stocks to filter out the big winners, allowing investors to focus on potentially big winners and help to keep out emotional attachments to stocks.
