Everything Fresh and Guardian Holdings continue to head the ICInsider.com TOP10 in a week when the Main Market fell 2.7 percent and the Junior Market dropped a hefty 7.8 percent and reversed all the gains of the previous week, but the Investors Choice bid-offer Indicator is flashing positive signals for both markets on Monday.
Guardian Holdings has a commanding lead over its next rival by almost 100 points, but Everything Fresh likely gain of 344 percent is just above Caribbean Assurance at 333 percent, but the latter is currently far more appealing, with the stock selling at a PE of a mere 7 times 2022 earnings and 4.6 times 2023. Everything Fresh PE based on 2022 earnings is at a much higher 17 and 4.5 based on projected 2023 earnings.
Earnings season had two companies in ICInsider.com TOP10 reporting very strong results that augur well for a full year’s profit.
Caribbean Assurance Brokers is selling at a PE of just 7 based on historical earnings.
Scotia Group reported a net income of $3.4 billion for the quarter that ended January 2023, an increase of $2.2 billion or 173 percent over the prior year period as loans the primary driver of profits increased a solid 18.8 percent to $237 billion while deposits grew only 7.7 percent to $4.05 billion and resulted in net interest income surging $2.6 billion as interest expenses actually declined. These results suggest ICInsider.com forecast for $5 per share may be a bit light with solid prospects that earnings of $5.50 seem possible. It noted that overall comprehensive profit shows a loss of $1 billion after accounting for pension obligations of $9.5 billion and other items of gains.
Jamaica Broilers continues to churn out strong growth in profits with their nine months results more than double that of the prior year while the January quarter is up 27 percent to $1.5 billion as revenues climbed a solid 20 percent after finance cost nearly doubled. With the tourism industry back to normal the company should get a further boost for the rest of 2023. ICInsider.com forecast for $6 per share for the current fiscal year from continuing operations seem well within reach and could be exceeded making it a solid buy for the long haul.
Scotia Group had a significant increase in profits for the January 2023 quarter.
Performance in the past week was mixed for the Junior Market TOP10 but was far better than the near 8 percent fall by that market, with only three stocks rising of which two rose by 2 percent or less. Iron Rock Insurance gained 15 percent this past week to $2.30 after falling 13 percent the previous week. Lasco Distributors fell 6 percent to $2.64, followed by AMG Packaging and Stationery and Office Supplies which fell by 3 percent to $2.51 and $14.50, respectively.
The Main Market TOP10 performed worse than the overall market with only two stocks gaining and six declining. Jamaica Broilers rose 6 percent to $38 as investors warmed to the stock following release of outstanding results, with the price having a far way to run, while JMMB Group a clear winner for the long term, put on just 2 percent to close at $31.01. Key Insurance fell 7 percent to $2.61 followed by a 5 percent for NCB Financial and 138 Student Living to $72 and $5.20 respectively.
There are no new additions in either market to the ICTOP10 this past week.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.5, well below the market average of 13.3, while the Junior Market Top 10 PE sits at 6.1 compared with the market at 11.3. The differences are important indicators of the level of likely gains of ICTOP10 stocks. The Junior Market is projected to rise by 238 percent and the Main Market TOP10 by an average of 274 percent to May 2024, based on 2023 forecasted earnings.
The Junior Market has 11 stocks representing 23 percent of the market, with PEs from 15 to 25, averaging 19.7, well above the market’s average. The top half of the market has an average PE of 16.
The Main Market 16 highest valued stocks are priced at a PE of 15 to 98, with an average of 30 and 22 excluding the highest valued stocks and 20 for the top half excluding the stocks with the highest valuation.
The above average shows the extent of potential gains for the TOP 10 stocks.
ICTOP10 focuses on likely yearly winners, accordingly, the list includes some of the best companies in the market but not always. ICInsider.com ranks stocks based on projected earnings, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely deliver the best returns up to the end of May 2023 and are ranked in order of potential gains, computed using projected earnings 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 are ongoing, based on receipt of new information.
Persons who compiled this report may have an interest in securities commented on in this report.
At the close, 4,690,775 shares were traded for $17,476,868, compared to 3,501,650 units at $11,545,037 on Wednesday.
The PE Ratio, a measure of computing appropriate stock values, averages 11.3. The PE ratios of Junior Market stocks are calculated using the last traded stock price with ICInsider.com projected earnings for the financial years ending between November 2022 and August 2023.
General Accident dipped 16 cents in closing at $4.69 with 10 units changing hands, Indies Pharma fell 25 cents to end at $2.75 with investors trading 10 stocks, Jamaican Teas lost 8 cents to close at $2.25 in an exchange of 585,074 stocks.KLE Group shed 30 cents ending at a 53 weeks’ low of $1.44 in switching ownership of 61 shares, Knutsford Express fell $1.77 to end at $10.06 after 911 stock units passed through the market, Lasco Distributors dipped 20 cents to $2.60 as investors exchanged 25,828 units. Lumber Depot lost 19 cents ending at $2.20 with a transfer of 16,515 shares, Main Event popped 13 cents to settle at $11.85 after exchanging 447 stock units, Medical Disposables fell 34 cents in closing at $4.80, trading 22,010 units. MFS Capital Partners lost 8 cents to close at $3.62 with 15,055 stocks crossing the exchange, Paramount Trading shed 23 cents to end at $2.15 after a transfer of 1,540 units, 
Regency Petroleum gained 14 cents in closing at $2.19 in switching ownership of 350,435 stocks and Stationery and Office Supplies fell 73 cents ending to $14.25 with an exchange of 1,952 stock units.
A total of 3,501,650 shares were exchanged at $11,545,037 compared with 4,841,834 units at $12,339,863 on Tuesday.
Investor’s Choice bid-offer indicator shows five stocks ending with bids higher than their last selling prices and four with lower offers.
Indies Pharma gained 25 cents while ending at $3 with 200 stock units changing hands, ISP Finance dropped $6.35 to settle at $20 as investors exchanged 720 stocks, Jamaican Teas lost 11 cents to close at $2.33 in switching ownership of 27,915 shares. Lasco Manufacturing rose 35 cents to $4.39 after 2,185 shares cleared the market, Lumber Depot gained 7 cents ending at $2.39 with a transfer of 44,771 stock units, Mailpac Group lost 13 cents in closing at $1.78 in an exchange of 102,098 units. Main Event advanced 72 cents to $11.72 with 8,041 stocks changing hands, 
Tropical Battery rallied 12 cents to close at $2.27 after trading 192,965 units and tTech gained 18 cents ending at $2.59 with investors transferring 717 stocks.
A total of 4,841,834 shares were traded for $12,339,863 versus 6,861,401 units at $18,364,945 on Monday.
The PE ratios of Junior Market stocks incorporate the last traded stock price in conjunction with ICInsider.com projected earnings for the financial years ending between November 2022 and August 2023. Investor’s Choice bid-offer indicator shows three stocks ending with bids higher than their last selling prices and four with lower offers.
Fontana popped 10 cents to close at $8.70 as investors exchanged 50,897 stock units, Future Energy Source gained 10 cents in closing at $4.60 after trading at an intraday 52 weeks’ low of $4.31 after 326,091 shares were traded, Honey Bun rose 60 cents to $7.10 after 7,672 units passed through the market. Iron Rock Insurance gained 30 cents in ending at $2.30 with investors transferring 4,742 stocks, Knutsford Express rose 83 cents to finish at $11.83 with the swapping of 8,727 shares, Lasco Distributors gained 27 cents to settle at $2.80 in exchanging 13,979 stock units. Lasco Manufacturing fell 43 cents to $4.04 with a transfer of 7,893 stocks, Paramount Trading popped 32 cents ending at $2.39 in transferring 400 units, Regency Petroleum dipped 19 cents in closing at $2.01 after clearing the market with 1,403,304 shares. 
Tropical Battery shed 12 cents ending at $2.15 with an exchange of 414,819 stock units and tTech fell 19 cents to $2.41 in trading 30,000 stock units.
A total of 6,861,401 shares were exchanged for $18,364,945 versus 12,468,915 units at $30,380,321 on Friday.
The PE Ratio, a measure of computing appropriate stock values, averages 11.7. The PE ratios of Junior Market stocks are computed using the last traded stock price in conjunction with ICInsider.com projected earnings for companies with their financial year ending between November 2022 and August 2023.
Honey Bun fell 70 cents after ending at $6.50 in an exchange of 288,610 stock units, JFP Ltd lost 10 cents to close at $1.60 after 120,180 units passed through the market, Knutsford Express fell 80 cents to $11 after investors traded 10,000 units. Lasco Distributors dipped 28 cents to $2.53 as investors transferred 31,822 stocks, Lasco Manufacturing rallied 17 cents in closing at $4.47 in trading 73,884 stock units, Lumber Depot lost 9 cents to close at $2.31 in switching ownership of 55,047 shares. Main Event declined $1.39 to end at $11 after a transfer of 44,915 units, Medical Disposables rallied 29 cents to $5.14 after an exchange of 568 shares, MFS Capital Partners rose 20 cents to $3.80 with the swapping of 68,831 stocks. 
Paramount Trading shed 28 cents to finish at $2.07 after an exchange of 30,600 stock units and Regency Petroleum advanced 24 cents to $2.20 with a transfer of 1,860,754 shares.
Price changes resulted in Paramount Trading, 
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.5, well below the market average of 13.9, while the Junior Market Top 10 PE sits at 6.1 compared with the market at 11.8. The differences are important indicators of the level of the undervaluation of the ICTOP10 stocks. The Junior Market is projected to rise by 240 percent and the Main Market TOP10 by an average of 284 percent to May 2024, now that TOP10 stocks earnings are based on 2023 profits.
A total of 12,468,915 shares were exchanged for $30,380,321 compared with 9,243,451 units at $25,870,454 on Thursday.
The PE Ratio, a measure of computing appropriate stock values, averages 11.8. The PE ratios of Junior Market stocks are computed using the last traded stock price in conjunction with ICInsider.com projected earnings for the financial years ending between November 2022 and August 2023.
Honey Bun lost 9 cents in ending at $7.20 with a transfer of 1,649 units, Indies Pharma shed 29 cents in closing at $2.75 with the swapping of 295,573 stock units, Iron Rock Insurance dipped 30 cents to $2 after 10,340 shares passed through the market. ISP Finance climbed $5.35 to $26.35 in switching ownership of 2 stocks, JFP Ltd rallied 10 cents in closing at $1.70 after 20,001 units were traded, Main Event rose 39 cents to close at a 52 weeks’ high of $12.39 in exchanging 66,710 stock units. MFS Capital Partners popped 10 cents to close at $3.60 with a transfer of 19,024 units, Paramount Trading rallied 16 cents to $2.35 after an exchange of 6,451 stocks, Spur Tree Spices lost 10 cents to end at $2.65 with 40,398 stock units changing hands. Stationery and Office Supplies rose 97 cents to $14.95 in switching ownership of 1,904 shares and 
Tropical Battery dipped 16 cents to end at $2.20 trading 126,960 stock units.
A total of 9,243,451 shares were exchanged for $25,870,454 compared with 7,248,801 units at $17,264,479 on Wednesday.
The PE ratios of Junior Market stocks are computed using the last traded stock price in conjunction with ICInsider.com projected earnings for the financial years ending between November 2022 and August 2023.
Future Energy Source fell 15 cents to end at $4.60 in switching ownership of 553,438 shares. Honey Bun lost 11 cents to end at $7.29 with the swapping of 4,888 units, Iron Rock Insurance rose 30 cents to $2.30 with 5 stock units changing hands, JFP Ltd lost 10 cents to close at $1.60 trading 645,983 stock units. Lasco Distributors gained 9 cents in closing at $2.79 with a transfer of 1,200 shares, Lumber Depot popped 18 cents to end at $2.43 after 79,209 units passed through the market, MFS Capital Partners dipped 31 cents to $3.50 in switching ownership of 544,484 stocks. Paramount Trading advanced 14 cents to $2.19 in transferring 2,009 units, 
Stationery and Office Supplies gained 20 cents to close at $13.98 with an exchange of 13,011 stocks and tTech rose 10 cents to $2.65 after 5 shares cleared the market.
A total of 7,248,801 shares were traded for $17,264,479 compared to 15,831,268 units at $44,907,966 on Tuesday.
At the close, Access Financial fell 36 cents to close at $25.59 with 5,228 shares being traded, Cargo Handlers popped 49 cents in closing at $15 after 2,048 stock units cleared the market, Caribbean Cream gained 18 cents to finish at $3.49 following investors trading 76 units. Caribbean Flavours rallied 25 cents to $1.70 with 78 stocks changing hands, Consolidated Bakeries lost 24 cents to end at $2.18 in switching ownership of 5,065 stock units, Dolla Financial shed 11 cents to end at $2.85 in an exchange of 105,206 stocks. Fosrich lost 11 cents ending at $2.99 with the swapping of 882,264 units, General Accident rose 39 cents in closing at $4.99 with 8,097 shares changing hands, Iron Rock Insurance fell 30 cents to $2 after a transfer of 50 shares. ISP Finance gained 51 cents to settle at $21 after switching ownership of 1,500 stocks, JFP Ltd dipped 25 cents to $1.70 in trading 487,595 units, Knutsford Express declined $1.13 to $11.87 after exchanging 7,445 stock units. 
Lasco Distributors lost 9 cents to finish at $2.70 with investors transferring 31,250 stock units, Lasco Financial advanced 28 cents to end at $2.74 in exchanging 750 stocks, Lasco Manufacturing gained 25 cents in closing at $4.22, with investors transferring 16,549 shares. Limners and Bards popped 10 cents to end at $2.75 with the swapping of 5,417 units, Lumber Depot dipped 15 cents to $2.25 after 54,162 stock units were traded, Main Event rose 75 cents to close at $11.95 with an exchange of 51,844 units. Medical Disposables shed 29 cents in closing at $4.85, with 5,300 shares changing hands, Regency Petroleum fell 52 cents to end at $1.91 after investors traded 2,970,829 stocks, following release of full year results, showing higher administrative costs that wiped out increased gross profit and Spur Tree Spices shed 23 cents in closing at $2.75 exchanging 348,494 shares.
In the preference segment, CAC 2000 9.5% preference share gained 8 cents to end at $1.08 with a transfer of 294 units.
A total of 9,033,630 shares were traded for $24,644,140, down from 32,804,091 units at $91,381,630 on Friday.
The PE Ratio, a measure used to compute appropriate stock values, averages 11.6. The PE ratios of Junior Market stocks are computed using the last traded stock price in conjunction with ICInsider.com’s projected earnings for the financial years ending between November 2022 and August 2023.
Elite Diagnostic gained 26 cents to settle at $2.71 after 27,851 units passed through the market, Fosrich rose 10 cents to $3.09 as investors traded 3,395,464 stocks. General Accident shed 38 cents to end at $4.61 with a transfer of 6,100 shares, Honey Bun gained 27 cents to finish at $7.37 in exchanging 878 stock units, iCreate lost 8 cents to close at $1.71 in switching ownership of 66,005 stocks. Indies Pharma rallied 11 cents in closing at $2.90 with the swapping of 20,635 units, JFP Ltd gained 12 cents to close at $1.72 in an exchange of 554,074 stock units, Knutsford Express declined $1 to $10.10 in trading just 505 shares. Lasco Distributors popped 10 cents in ending at $2.70 with an exchange of 216,724 stock units, Lasco Financial lost 29 cents in closing at $2.46 with investors transferring 95,902 stocks, Main Event advanced $1.04 to $11.84 with 1,558 shares changing hands. 
Regency Petroleum gained 24 cents in ending at a record $2.19 after 1,116,676 units passed through the market, Stationery and Office Supplies dipped 30 cents to end at $13.70 in switching ownership of 1,093 stocks and Tropical Battery lost 8 cents in closing at $2.22 while trading 132,449 stock units.
