The JSE USD Market was the only one of the three markets to record gains at the close of trading on the Jamaica Stock Exchange on Tuesday, with the Junior Market just inching lower while the Main Market indices falling moderately after trading closed with a fall in the volume, with the value of stocks changing hands rising compared to trading on Monday.
Trading ended after the JSE Combined Market Index shed 1,313.21 points to close trading at 346244.39, the All Jamaican Composite Index declined by 831.45 points to 372,174.00, the JSE Main Index dropped 1,387.56 points to conclude trading at 334,661.76, while the Junior Market Index slipped a mere 2.02 points to 3,712.28 and the JSE USD Market Index climbed 6.12 points to close at 240.64.
In the preference segment of the Main Market that is not reflected in the TOP10 graphs, Eppley 7.75 percent rose $3.82 to $20.02.
At the close, investors exchanged 14,512,825 shares in all three markets, down from 15,538,967 units on Monday, with the value of stocks trading amounting to $89.69 million up from $52.4 million on Monday. Trading on the JSE USD market resulted in investors exchanging 69,500 shares for US$4,092 down from 353,880 units at US$40,414 on Monday.
The market’s PE ratio ended at 19.1 on 2022-23 earnings and 12.5 times those for 2023-24 at the close of trading.
Investors need pertinent information to successfully navigate numerous investment options in the local stock market. The ICInsider.com PE ratio chart and the more detailed daily report charts provide investors with regularly updated information to help decision-making.
Investors should use the chart to help make rational decisions when investing in stocks close to the average for the sector and not going too far from it unless there are compelling reasons to do so. This approach helps to remove emotions from investment decisions and put in on fundamentals while at the same time not being too far from the majority of investors. Investors who buy when the price of a stock is close to the average will find that they are not inclined to overpay for a stock.
The ICInsider.com PE Ratio chart covers all ordinary shares on the Jamaica Stock Exchange and shows companies grouped on an industry basis, allowing easy comparisons between the same sector companies and the overall market.
The net asset value of each company is reported as a guide to assess the value of stocks based on this measure quickly. The chart also shows daily changes in stock prices and the percentage year to date price movement based on the last traded prices.
Dividends that are payable and yields for each company are shown in the Main and Junior Markets’ daily report charts that also show the closing volume pertaining to the bids and offers for each company.
The EPS & PE ratios are based on 2021 and 2022 actual or projected earnings, excluding major one off items. The PE Ratio is the most popular measure used to determine the value of stocks.
Volume doubles on JSE USD market
Investors traded more than twice the number of shares changing hands on Thursday but at a fraction of the value as 105,350 shares were traded, for US$9,368 compared to 52,300 units at US$40,981 on Thursday on the Jamaica Stock Exchange US dollar market ended on Friday.
The volume of stocks changing hands rose 101 percent, valued 77 percent lower than on Thursday, resulting from trading in eight securities traded, similar to trading on Thursday with four rising, two declining and two ending unchanged.
Trading averaged 13,169 stock units at US$1,171 compared to 6,538 shares at US$5,123 on Thursday, with the month to date average of 8,869 shares at US$4,137 compared to 6,575 units at US$5,719 on the previous day. February ended with an average of 43,793 units for US$2,015.
The JSE USD Equities Index gained 1.39 points to end at 232.50.
The PE Ratio, a measure used in computing the appropriate value of stocks, currently averages 9.7. The PE ratio uses ICInsider.com earnings forecasts for companies with financial years ending between November 2022 and August 2023.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than the last selling prices and none with a lower offer.
At the close, Margaritaville increased 0.5 of a cent to 12.5 US cents with 33 shares passing through the market, Productive Business Solutions popped 0.9 of a cent in ending at US$1.899 while exchanging just one unit, Proven Investments advanced 0.5 of a cent in closing at 19 US cents with a transfer of 46,799 stocks. 
Sygnus Credit Investments USD share fell 0.01 of a cent to end at 9.99 US cents in switching ownership of 42 stock units and Transjamaican Highway shed 0.05 of a cent to close at 0.9 of one US cent after an exchange of 58,470 stock units.
In the preference segment, Eppley 6% preference share remained at US$1.15 with 2 shares clearing the market, Equityline Mortgage Investment preference share ended at US$1.64 after an exchange of a mere one stock and JMMB Group 6% gained 4 cents to close at US$1.09 in trading 2 units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Fontana lists today
Fontana Waterloo Road
Fontana shares will list on the Junior Market of the Jamaica Stock Exchange and will commence trading on Tuesday.
The shares that were well sort after will be in high demand with the price expected to jump sharply in a few days. A number of investors in the stock are not pleased that the company varied the terms of the allocation of shares to persons in the general pool from the stated treatments included in the prospectus that stated that multiple applications would be merged and treated as one.
Scotia Investments advised that they are currently in the process of disbursing refunds to applicants via transfers to each broker for their clients and expects to complete the majority of refunds during the week of January 7th.
The share issue attracted 2,770 applicants for shares in the company. Fontana brings to 38, companies listed on the Junior Market. In December, Eppley that was listed on the Junior Market moved over to the main market.
IC Insider.com article stings JSE into action
Marlene Street Forrest – General Manager of the JSE is said to have intervened to reset the price Express Catering could trade at on Tuesday.
The article, The stock exchange needs radical overhauling seems to have stung the exchange into action as all the errors that were left unattended for months, are now corrected.
Delisted stocks that were being carried as if they were still listed are now out of the trading sheet. Eppley 7.5% preference share that was recently listed, is now correctly placed in the preference section. Barita Investments 52 weeks’ high is now at $33.50 instead of $60 that was being carried for weeks. Hopefully, the exchange would have corrected all other erroneous highs and lows that resulted from cancellation of trades in the past. Importantly, the errors in the All Jamaica Composite Index for the early days of November are now correctly stated.
The Stock Exchange is to be commended for moving speedily to correct the errors that were brought to their attention. It would also be good in order to better protect their integrity that compensated investors who were firstly advised of an allocation of 16.56 percent of Seprod shares only to see it adjusted down to 16.26 percent. That would be the correct thing to do in the circumstance that prevail that led to the adjustments that took place. The phrase, the customer is right is still a valid principle to operate by.
When all is said and done just correcting the errors IC Insider.com pointed out is only a first step, the exchange needs to put in place quality control mechanisms to prevent such occurrences. It also appears that the exchange needs a qualified lawyer and accountant on board with sufficient securities experience to help police the systems effectively. If they do it could prevent matters such as prospectuses and financial statements being issued with the types of errors that are showing in the public space.
Early recall of Eppley 2019 preference share
Eppley to redeem 2019 preference shares.
Eppley Limited will be making an early redemption Redeemable Preference Shares due 2019 in keeping with an early redemption option the notes carry.
The company gave notice of the redemption in a notice to investors and the Jamaica Stock Exchange.
The redemption will take effect on Wednesday, 31 January 2018, to be paid at the Agreed Rate (which is the higher of the market price as at close of business on the Jamaica Stock Exchange (JSE) on Monday, 23 October 2017, and the issue price plus 1 percent in keeping with the terms of Issue, at a redemption price of J$6.06. A total of 99,998,667 units are involved and carried an interest rate of 9.5 percent the total sum to be paid out will be $605.99 million. The redemption comes against the back ground of interest rates falling local interest rates with Treasury bill rates now under 5 percent and heading lower.
Eppley seeks $317m from right issue
Eppley limited, providers of insurance premium financing, is expected to raise $317 million from its renounceable rights issue of ordinary shares, when it offers 487,703 new ordinary shares priced at $650 to ordinary stockholders this month. The record date for the issue is Friday 6 May and the date for the stock to start trading ex rights, is May 4.
Proceeds from the rights will doubled the company’s existing equity capital of $314 million and improve the debt to equity ratio which is heavily weighted towards medium term redeemable preference shares with total borrowings of $997 million at the end of March, this year.
The company reported a 17.7 percent increase in profit after tax for the first quarter this year, of $10.6 million over the $8.7 million made in the first quarter of 2015. Profit for 2015 financial year ended at $56.5 Million.
Since the company announced plans for the issue, the price moved from $400.01 to $650 in this morning’s trading for an increase of 62.5 percent. The proceeds will allow them to expand their offerings and or pay down debt.
Eppley is listed on the junior market of the Jamaica Stock Exchange, and last traded at $650 with a PE ratio of 8.
