The JSE Main market surged sharply in the past week.
While the Main and Junior Markets rebounded sharply during last week, ICTOP10 stocks ended with varying movements, with gains and losses in both markets hitting 16 percent. It was an interesting week in which the main market gained over 18,000 points for the week with all days closing with gains including the Friday of the previous week, but it sits at a resistance level and is a signal worth watching.
The Junior Market put on 200 points since Thursday, March 23 and had one minor negative trading day during the period, however, the last day accounted for nearly half of the above gains.
While Bank of Jamaica held their overnight rates at 7 percent, their CD rate that fell 16 percent in the previous week to an average of 8.85 percent from over 10 percent where it stood for several months, BOJ offered a huge $35 billion this past week, but the average rate fell to 8.49 percent after $70 billion chased the amount offered. Importantly, the central bank cut the stock of CDS it holds from a peak of $109.5 billion on March 3, but at the latest auction, it amounted to $88.85 billion, marginally up from $82 billion on the 17th.
At the end of the past week, in the Junior Market TOP10 four stocks gained and five declined. KLE Group jumped 16 percent to $1.69 and Tropical Battery rose 7 percent to close at $2.08. General Accident dropped 16 percent to $5 and Everything Fresh fell 6 percent to close at $1.45.
The Main Market TOP10 JMMB Group climbed 15 percent to $33.25, Jamaica Broilers gained 12 percent to $37.10, Caribbean Producers popped 7 percent to $9.70 and NCB Financial with a rise of 6 percent to $75. Berger Paints fell 10 percent to $8.20 and 138 Student Living with a fall of 6 percent to $5.05.
The Junior Market has a long term pattern, with the market starting to rise around a month before quarterly results are due and declining shortly after results are released. This is a pattern worth noting that can be built into investment decisions that can improve returns.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.6, well below the market average of 14.2, while the Junior Market Top 10 PE sits at 5.8 compared with the market at 11.4. The differences are important indicators of the level of likely gains for ICTOP10 stocks. The Junior Market is projected to rise by 248 percent and the Main MarketTOP10 by an average of 267 percent, by May 2024, based on 2023 forecasted earnings.
The Junior Market has 11 stocks representing 23 percent of the market, with PEs from 15 to 28, averaging 20.4, well above the average of the market. The top half of the market has an average PE of 16, suggesting that this may be a logical value for junior market stocks currently.
The Main Market 19 highest valued stocks are priced at a PE of 15 to 115, with an average of 29 and 21 excluding the most valued stocks and 20.5 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 are likely to 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.
A total of 24,564,536 shares were traded for $579,763,758, compared with 13,390,755 units at $105,351,603 on Thursday.
The PE Ratio, a formula used to compute appropriate stock values, averages 14.2 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasted by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Kingston Wharves advanced 49 cents to $34.49, with 21,599 units crossing the market, Mayberry Investments shed 40 cents to end at $8 in an exchange of 10,912 stocks, Mayberry Jamaican Equities rose 50 cents to $13, with investors exchanging 777,262 stock units. NCB Financial rallied 50 cents to $75, with 2,429,581 shares crossing the exchange, Proven Investments popped 49 cents to end at $27.49 in an exchange of 2,131 stock units, Radio Jamaica rallied 51 cents to close at $2.26 as investors exchanged 1,084,937 stocks. Sagicor Group gained $3 to $53 with 975,343 shares clearing the market, Scotia Group increased 98 cents after ending at $34.98 with the swapping of 19,486 units, Seprod advanced $7.50 to $77.50 while 73,607 stock units passed through the market. Stanley Motta popped 66 cents to end at $6 with a transfer of 1,282,680 units, Supreme Ventures dropped 50 cents to close at $30.50 after an exchange of 4,249,866 shares, Sygnus Real Estate Finance dropped 66 cents to $9.30 with 508 stocks changing hands and Wisynco Group rose 40 cents after ending at $17.40 and 82,849 shares crossed through the market.
In the preference segment, Productive Business 10.50% preference share rallied $58 to end at $1258 in an exchange of 6 units, Jamaica Public Service 7% fell $55.90 in closing at $164.10, with 58 stocks clearing the market and Jamaica Public Service 9.5% gained $98 after ending at $2998 as investors exchanged 6 stock units.
A total of 13,390,755 shares were traded for $105,410,403 compared to 60,107,710 units at $290,707,932 on Wednesday.
The PE Ratio, a formula used to compute appropriate stock values, averages 13.6 for the Main Market. The JSE Main and USD Market PE ratios incorporate ICInsider.com’s earnings forecasts for companies with the financial year ending between November 2022 and August 2023.
Kingston Wharves advanced $1.10 in closing at $34 with an exchange of 22,177 stock units. Massy Holdings increased $8.11 to end at $89.11 in trading 1,002 stocks, NCB Financial shed 48 cents to $74.50, with 10,681 units crossing the market, Proven Investments gained 50 cents to end at $27 and closed with 3,803 shares changing hands. Sagicor Group advanced $3 after ending at $50 in trading 109,283 stocks, Scotia Group dropped 94 cents in closing at $34, with 124,974 shares changing hands, Seprod popped $3 to close at $70 while exchanging 24,463 units. Supreme Ventures rose $3.18 to end at $31 as 1,148,754 stock units passed through the market and Sygnus Real Estate Finance climbed 66 cents in closing at $9.96 in an exchange of 465 stocks.
In the preference segment, Jamaica Public Service 7% fell $43.39 in ending at $220, with 26 shares crossing the market, Jamaica Public Service 9.5% declined $98 to $2900 with a transfer of 2 stock units and Productive Business Solutions 9.75% preference share dropped $16.05 to close at $90.95 in an exchange of 62 units.
A total of 60,107,710 shares were traded for $290,707,932, up from 17,081,333 units at $87,212,275 on Tuesday.
The All Jamaican Composite Index surged 3,756.40 points to 368,992.59, the JSE Main Index popped 976.04 points to finish at 326,722.53 and the JSE Financial Index rallied 0.68 points to 76.15.
GraceKennedy dipped $2.50 in ending at $80 as 270,948 units passed through the market, Guardian Holdings dropped $4 to close at $490 in an exchange of 25 units, JMMB Group gained 45 cents to close at $30 after trading 88,644 shares. Massy Holdings declined $8 to end at $81 after trading 500,481 stock units, Mayberry Jamaican Equities increased $1 in closing at $12.50 with the swapping of 7,309 stocks, NCB Financial popped 98 cents to close at $74.98 after exchanging 11,726 stock units. Proven Investments rallied 50 cents after ending at $26.50 with investors transferring 1,144 stocks, Seprod shed $2.88 after finishing at $67 with a transfer of 21,165 shares, Stanley Motta rose 54 cents to $5.34, with 190,246 units changing hands. Supreme Ventures advanced 82 cents to end at $27.82, with 1,194,866 stocks crossing the market, 
Sygnus Real Estate Finance declined 67 cents to close at $9.30, with 1,600 stock units clearing the market and Wisynco Group climbed 40 cents to $16.70 while exchanging 206,419 shares.
A total of 17,081,333 shares were exchanged for $87,212,275 versus 83,621,528 units at $169,448,467 on Monday.
The PE Ratio, a formula to ascertain appropriate stock values, averages 13.7 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasts by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Mayberry Jamaican Equities lost $1.05 to end at $11.50 with 1,209,652 shares crossing the exchange, NCB Financial shed 99 cents in closing at $74, with 30,174 stocks changing hands, PanJam Investment climbed $1 to end at $54 after 14,552 units passed through the market. Portland JSX increased $1.57 after ending at $11.27 with 103 units changing hands, Proven Investments lost 50 cents to $26 in an exchange of 24,024 stock units, Sagicor Group rallied 45 cents to close at $47 in trading 5,002 shares. Scotia Group popped 88 cents to $34.94 with 129,877 stocks clearing the market, Seprod rose $8.87 to end at $69.88 while exchanging 21,814 stock units and Supreme Ventures advanced $1.50 to close at $27 in trading 358,872 stocks.
In the preference segment, Jamaica Public Service 7% declined by $94.99 after ending at $305 in switching ownership of 226 shares and Jamaica Public Service 9.5% increased by $200 in closing at $2,900 with an exchange of one unit.
A total of 83,621,528 shares were exchanged for $169,448,467 versus 9,662,580 units at $65,850,660 on Friday.
The PE Ratio, a formula used to ascertain appropriate stock values, averages 13.4 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasted by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Guardian Holdings dropped $25 to close at a 52 weeks’ low of $470 with 1,890 stocks clearing the market, Jamaica Producers gained 75 cents to end at $21.75 after an exchange of 6,547 shares, Jamaica Stock Exchange rallied 86 cents to $13.86, with 774 stock units crossing the exchange. JMMB Group advanced $1.01 in closing at $30.01 after 50,284 stocks changed hands, Kingston Wharves gained $1 after ending at $33, with 1,413 units crossing the market, Massy Holdings climbed $2 to end at $82 after an exchange of 1,950 shares. NCB Financial rose $3.99 to close at $74.99, with 29,173 stocks crossing the market, PanJam Investment rallied 51 cents to $53 in an exchange of 696 units, Proven Investments lost $1.35 in closing at $26.50 with the swapping of 3,354 shares. Sagicor Group declined 45 cents to $46.55 with investors transferring 3,778 stock units, Scotia Group shed 89 cents to end at $34.06 in an exchange of 7,082 stocks, Seprod declined $5.41 after ending at $61.01 while exchanging 196,078 shares and Supreme Ventures advanced $1.25 to close at $25.50 and closed with 57,785 units changing hands.
In the preference segment, Eppley 7.50% preference share popped 47 cents in closing at $7.97 in switching ownership of 1,801 stock units, Jamaica Public Service 9.5% dropped $300 to close at $2700 in trading one stock and 138 Student Living preference share increased $7.43 in closing at $77.43 with investors transferring 30 shares.
The Main Market TOP10 saw the highest gaining stock rising just 34 percent, after Key Insurance jumped to $3.50 and was followed by 138 Student Living with an 8 percent rise to $5.40, but Caribbean Producers dropped 8 percent to $9.07. All other movements were 3 percent or less.
The Main Market 16 most valued stocks are priced at a PE of 15 to 100, with an average of 29 and 19 excluding the highest valued stocks and 18 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.
A total of 9,662,580 shares were exchanged for $65,850,660 versus 5,709,003 units at $49,903,876 on Thursday.
The PE Ratio, a formula used to ascertain appropriate stock values, averages 13.2 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasted by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Jamaica Stock Exchange fell 89 cents to $13 after exchanging 773 units, Kingston Wharves dropped $1.29 to $32 as investors exchanged 404 stocks. Margaritaville popped 64 cents to close at $17.64 in trading 66 shares, Massy Holdings shed $10 to close at $80, with 300,443 stock units changing hands, 138 Student Living rose 34 cents to $5.40 with an exchange of 4 units. PanJam Investment fell $1.51 to $52.49, with 464 shares crossing the market, Proven Investments shed 38 cents to end at $27.85, with 6,000 stock units passing through the exchange, Scotia Group gained 89 cents in closing at $34.95 after 8,027 units changed hands. Seprod declined 40 cents to close at $66.42 while exchanging 4,448 stocks, Sterling Investments dipped 31 cents to $2.65 in switching ownership of 850 units and Wisynco Group dropped 30 cents to $16.30 after a transfer of 48,199 stock units.
In the preference segment, Eppley 7.50% preference share lost 45 cents in closing at $7.50 in an exchange of 100 shares and Jamaica Public Service 7% gained $50 to a record high of $400 with the swapping of 1,295 stocks.
A total of 5,709,003 shares were traded for $49,903,876 versus 15,400,994 units at $41,503,503 on Wednesday.
The PE Ratio, a formula used to ascertain appropriate stock values, averages 13.3 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasted by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Key Insurance gained 50 cents in closing at $3.50, with 70,472 units crossing the market. Kingston Properties dipped 62 cents to $6.30, with an exchange of 133,315 stock units, Kingston Wharves increased $2.24 to $33.29 after a transfer of 5,235 stocks, Massy Holdings popped $10 in closing at $90 with an exchange of 35,865 shares. NCB Financial shed $1.50 to close at $71 with the swapping of 12,507 stock units, Portland JSX fell $1.59 to $9.90 with an exchange of 13,434 shares, Proven Investments climbed $1.73 to end at $28.23 while exchanging 907 stocks. Scotia Group dipped 88 cents to end at $34.06, with 13,977 units clearing the market, Seprod advanced $2.79 to close at $66.82, with 176,511 stocks changing hands, Sterling Investments increased 44 cents in ending at $2.96 after trading 13,068 units. Supreme Ventures lost 75 cents in closing at $24.25 in an exchange of 91,005 shares and Sygnus Real Estate Finance gained 77 cents to end at $9.97 with just one unit passed through the market.
In the preference segment, Jamaica Public Service 7% climbed $56.46 ending at another record high of $350 with a transfer of 2,037 stocks and Jamaica Public Service 9.5% popped $450 in closing at $3000 with the swapping of 3 units.
A total of 15,400,994 shares were traded for $41,503,503 down from 47,132,067 units at $105,575,678 on Tuesday.
The PE Ratio, a formula used to ascertain appropriate stock values, averages 13.3 for the Main Market. The JSE Main and USD Market PE ratios incorporate earnings forecasted by ICInsider.com for companies with the financial year ending between November 2022 and August 2023.
Jamaica Producers advanced 76 cents to $21.75 after an exchange of 13,940 units, Kingston Wharves declined $3.43 to close at $31.05 with investors trading 12,000 stock units, Margaritaville dropped 64 cents to $17 with investors transferring 168 stocks. NCB Financial gained $4.50 to end at $72.50 after investors traded 214,024 stock units, PanJam Investment rallied $1.99 to end at $53.99, trading 12,261 units, Proven Investments dipped $1.87 to close at $26.50, with 1,529 shares clearing the market, Radio Jamaica closed at a 52 weeks closing low of $1.64 after falling 6 cents in trading 3,500 shares, Scotia Group climbed 94 cents to $34.94 with the swapping of 5,635 stock units, Seprod fell $3.85 to $64.03 with a transfer of 160 stocks and Sterling Investments shed 44 cents in ending at $2.52 with 5,086 units changing hands.
In the preference segment, Jamaica Public Service 7% popped $43.54 to close at a new record high of $293.54 in an exchange of 502 shares.