Market activity on the Main Market of the Jamaica Stock Exchange ended on Friday, with the volume of stocks traded declining 58 percent with an 81 percent lower value than on Thursday, with 56 securities trading compared to 57 on Thursday, with 25 rising, 20 declining and 11 ending unchanged. A total of 13,235,143 shares were traded for $77,577,657 versus 31,634,499 units at $412,915,308 on Thursday. Trading averaged 236,342 units at $1,385,315 versus 554,991 shares at $7,244,128 on Thursday and month to date, an average of 397,076 units at $4,340,646, compared to 554,991 units at $7,244,128 on the previous trading day. August closed with an average of 738,534 units at $5,975,613.
Sagicor Select Financial Fund led trading with 3.80 million shares for 28.7 percent of total volume followed by Wigton Windfarm with 2.27 million units for 17.2 percent of the day’s trade, Sagicor Select Manufacturing & Distribution Fund with 2.25 million units for 17 percent market share and Transjamaican Highway with 1.07 million units for 8.1 percent of the day‘s trades.
The All Jamaican Composite Index dropped 347.86 points to 408,596.23, the JSE Main Index fell 720.30 points to 360,038.82 and the JSE Financial Index increased 0.08 points to settle at 85.59.
The PE Ratio, a formula to ascertain appropriate stock values, averages 13.5 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 and August 2023.
Investor’s Choice bid-offer indicator shows ten stocks ended with bids higher than their last selling prices and three with lower offers.
At the close, Caribbean Cement dropped $3.45 in ending at $60.50 with investors transferring 9,711 shares, Caribbean Producers shed 45 cents to end at $14.45 after exchanging 111,480 stock units, Eppley Caribbean Property Fund climbed $2.40 to close at $44 with an exchange of 575 stocks. First Rock Real Estate advanced 87 cents to $12.37 with 346 units clearing the market, GraceKennedy popped $3.30 in closing at $96 after exchanging 26,732 stocks, Guardian Holdings dived $41 to $506 after trading just 11 stock units. Jamaica Broilers rallied 93 cents in closing at $28.93 with an exchange of 12,421 shares, Margaritaville fell $1.05 to $26.50 in switching ownership of 69 units, Mayberry Investments dipped 43 cents to close at $7.95 with an exchange of 66,452 stocks. NCB Financial dropped $1 to $89, with 76,146 units changing hands, 138 Student Living gained $1.34 in ending at $6.64 with the exchange of 4,215 shares, Palace Amusement dropped $51.13 in closing at $798.87 while swapping 3 stock units. PanJam Investment increased 47 cents to close at $60, with a mere seven units crossing the market, Portland JSX declined $2.10 to $9.90 in exchanging 600 shares, Sagicor Group dipped 55 cents to end at $53.95 in trading 193,172 stock units. Scotia Group rose $2.55 to $33.50 with a transfer of 987,581 stocks and Seprod rose $1.95 to close at $71, with 700 units crossing the market.
In the preference segment, Eppley 7.50% preference share dropped $1.54 to $5.95 in an exchange of 5,714 stocks. JMMB Group 7.25% preference share shed 47 cents to end at $2.50 as investors exchanged 1,976 shares and 138 Student Living preference share rallied $7.76 in closing at $59.51 after a transfer of 284 stock units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Increased trading for the JSE USD market
Trading on the Jamaica Stock Exchange US dollar market ended on Friday, with the volume of stocks exchanged rising 177 percent, with 32 percent less value than on Thursday, resulting in seven securities trading, compared to 11 on Thursday with one rising, one declining and five ending unchanged.
A total of 398,402 shares were traded for US$16,693 versus 143,667 units at US$24,695 on Thursday. Trading averaged 56,915 units at US$2,385 compared to 13,061 shares at US$2,245 on Thursday, with a month to date average of 30,115 shares at US$2,299. August ended with an average of 53,206 units for US$7,288.
The JSE US Denominated Equities Index inched 0.04 points higher to end at 213.86.
The PE Ratio, a measure used in computing appropriate stock values, averages 8.3. The PE ratio uses ICInsider.com earnings forecasts for companies with financial years ending between November and August 2023.
Investor’s Choice bid-offer indicator shows one price of one stock ending with a bid higher than the last selling price and one with a lower offer.
At the close, First Rock Real Estate USD share ended at 4 US cents with investors transferring 394,539 shares, MPC Caribbean Clean Energy ended at US$1.10, with just one share changing hands, Productive Business Solutions ended at US$1.321 after exchanging one stock unit. Proven Investments remained at 22 US cents, with 3,617 stock units crossing the market and Sygnus Credit Investments USD share shed 0.02 of a cent to 12.98 US cents with the swapping of 200 units.
In the preference segment, JMMB Group 5.75% climbed 26.5 cents to close at a 52 weeks’ high of US$2 after a transfer of 41 stocks and JMMB Group 6% ended unchanged at US$1.10 as investors exchanged 3 shares.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Volume falls on JSE USD market
Trading on the Jamaica Stock Exchange US dollar market ended on Thursday, with the volume of stocks exchanged declining 64 percent, but valued 286 percent more than on Wednesday, resulting in 11 securities changing hands, compared to seven on Wednesday with three rising, four declining and four closed unchanged.
A total of 143,667 shares were traded, for US$24,695 compared to 403,042 units at US$6,401 on Wednesday. Trading averaged 13,061 units at US$2,245, versus 57,577 shares at US$914 on Wednesday. August ended with an average of 53,206 units for US$7,288.
The JSE US Denominated Equities Index climbed 8.22 points to end at 213.78.
The PE Ratio, a measure used in computing appropriate stock values, averages 8.3. The PE ratio uses ICInsider.com earnings forecasts for companies with financial years ending between November and August 2023.
Investor’s Choice bid-offer indicator shows two ended with bids higher than the last selling prices and one with a lower offer.
At the close, First Rock Real Estate USD share ended unchanged at 4 US cents with a transfer of 115,000 shares, MPC Caribbean Clean Energy remained at US$1.10, with one stock changing hands, Productive Business Solutions dipped 0.15 of a cent to end at US$1.321, with 3 stock units clearing the market. Proven Investments advanced 2 cents to 22 US cents after a transfer of 307 stocks, Sterling Investments ended at 2.09 US cents in exchanging 411 stock units, Sygnus Credit Investments J$ share ended at 13.23 US cents after an exchange of 10 shares. Sygnus Credit Investments USD share popped 0.9 of a cent in ending at 13 US cents while exchanging 374 stocks, Sygnus Real Estate Finance USD share shed 0.01 of one cent to close at 12.44 US cents with investors transferring 69 units and Transjamaican Highway rallied 0.1 of a cent to end at 0.9 of a US cent with 16,486 stocks in crossing the exchange.
In the preference segment, JMMB Group 5.75% lost 10 cents in closing at US$1.80, with 11,000 units changing hands and JMMB Group 6% remained at US$1.10 with an exchange of 6 shares.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
ONEonONE up 32% on debut
The Jamaica Stock exchange welcomed its 100 company listing on Thursday, with OneOnOne Educational listed on the Junior Market with the price rising 32 percent on its opening day to close at $1.32 the maximum permitted for the day but the stock closed with strong demand at the closing price and little selling under $2.
At the close of trading, the JSE Combined Index, a measure of the overall market, rose 1,153.03 points to 374,578.03. The All Jamaican Composite Index popped 561.84 points to 408,944.09, the JSE Main Index rallied 1,464.43 points to 360,759.12, the Junior Market Index slipped 23.69 points to 4,144.36 and the JSE USD Market Index rose 8.22 points to 213.78.
Trading ended with 50,351,650 shares changing hands with a value of $504.95 million, versus $1.1 billion, with 96,932,851 shares traded in the overall market on Wednesday. The JSE USD market ended with the value of stocks traded at US$24,695 and US$6,401 on the previous trading day.
The market’s PE ratio ended at 23.2 based on 2021-22 earnings and 12.4 times those for 2022-23 at the close of trading.
Investors need pertinent information to successfully navigate many 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 investment decisions by 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. It 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 payable and yields for each company are shown in the Main and Junior Markets’ daily report charts that show the closing volume for the bids and offers.
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.
Heavy demand for ONE on ONE
OneonOne Education Services is now listed with heavy demand at $1.30 currently from 302 bids total bids at $1.30 for 15.8 million shares.
The bids are now at $1.30, the maximum it can trade at in the first hour of trading and after that $1.32 the maximum for the day, offers are effectively in at $1.30 and over
The stocks appear to be heading for the $2 range by early next week as buyers jostle to pick up stocks. The stocks went to market in early August to sell 380 million units up to $1 each and the issue was heavily oversubscribed.
Trading will commence at 9:30 and trading in the stocks will be suspended immediately after opening and will resume an hour time after.
After the trading commenced investors exchanged just 14,238 shares at $1.30 leaving 16.58 million units on the bid at $1.30 with trading in the stocks halted until 10.30 am.
Sales jump 31% in Fontana’s Q4
Fontana is quietly making significant headways in a Jamaican economy that suffered over the last twelve months to June with various dislocations resulting from measures implemented to control the spread of the Covid19 virus. In the financial year to June 2022, revenues climbed a respectable 23 percent to $6.34 billion, from $5.15 billion in 2021 and delivered a 19 percent rise in profit to $606 million.
Sales rose a robust 31 percent in the fourth quarter, well ahead of the nine months’ inflows of 21 percent, but the cost of sales grew even faster at 41 percent, resulting in gross profit rising 16 percent, similar to the increase in the nine months. Profit margin fell and remained in the region of 35.8 percent for the June Quarter and for the year to March but is well down on the 40.5 percent achieved in the June quarter last year.
In an interview with the company’s chairman, Kevin O’Brien Chang suggests that sales would have been affected by specials in the period and the inability to recover increased costs associated with logistical dislocation of sourcing and receiving goods.
“We are very pleased with the trend in sales currently”, Chang informed ICInsider.com in response to whether they could maintain the 31 percent fourth quarter revenue growth in the future for the current fiscal year.
Profit in the fourth quarter rose a substantial 32 percent to $192 million from $146 million, while the full year results increased 18 percent to $606 million from $512 million in 2021.
Administrative and other expenses rose 20 percent in the fourth quarter to $380 million and 15 percent for the fiscal year, to $1.4 billion. Marketing and sales expenses slipped 7 percent in the final quarter and rose 14 percent to $64 million for the year. Finance costs climbed 12 percent in the quarter to $204 million from $182 million in 2021 and rose 17 percent from $648 million to $761 million for the year.
The company continues to be in a financially healthy position. Gross cash flow brought in $840 million, up from $713 million in 2021. Working capital needs and acquisition of fixed assets utilised $204 million. Dividend payment used up $250 million. Loans and lease payments consumed $320 million, but the proceeds of a $492 million bond resulted in an increase of $632 million in cash.
Shareholders’ equity rose to $2.16 billion from $1.8 billion at the end of June 2021. Long term borrowings ended at $1.5 billion and short term borrowings at $143 million at the end of June this year. Current assets ended the period at $2.7 billion, including inventories of $992 million compared to $836 million in 2021, trade and other receivables of $195 million and cash and bank balances of $1.5 million. Current liabilities ended the period at $830 million. Net current assets ended at $1.86 billion.
The Portmore store is estimated to be around 20,000 square feet, with an opening around the end of the June 2023 quarter, Chang advised ICInsider.com. The store will be leased as is the case of most stores the company operates.
Earnings per share came out at 49 cents for the 2022 fiscal year. ICInsider.com forecasts 80 cents per share for the fiscal year ending June 2023, with a PE of 11 times the current year’s earnings based on the price of $9.06 the stock traded at on the Jamaica Stock Exchange Junior Market. Net asset value is $1.49, with the stock selling at six times book value.
Fontana owns and operates a chain of pharmacies in Kingston, Montego Bay, Mandeville and Och Rios. Fontana is one of the 10 Junior Market ICInsider.com stocks to hold for 10 years.