junior market — Page 130

2 weeks’ of robust gains for IC TOP 10

April 11, 2020 by IC Insider.com

The IC Insider.com TOP 10 stocks have put substantial gains since the posting at the end of March. The selections based on projected 2020/21 earnings, included robust increases of 73 percent from Elite Diagnostic, followed by Lasco Manufacturing with a gain of 56 percent and Access Financial 55 percent.

Elite Diagnostics surged 73% on the Junior Market since the end of March.

Other outstanding Junior Market gains came from Caribbean Producers that enjoyed a rise of 33 percent in closing at $3 but traded up to $3.51 on Thursday, with an increase of 56 percent since the end of March. KLE Group rose 36 percent and Lasco Financial ended with a 30 percent increase. In the Main Market, Eppley leads with a 45 percent gain, Wisynco Group rose 43 percent and Radio Jamaica 24 percent.
The gains came from a strong recovery of stock prices on the Jamaica Stock Exchange after falling by record levels in March.
Following the rise in prices of TOP 10 stocks, there are five new entrants for the coming week. These are General Accident, CAC 2000 and Stationery and Office Supplies in the Junior Market and in the Main Market, Sygnus Credit Investments and Caribbean Cement.
Stocks that dropped from the TOP 10 are Access Financial, Elite Diagnostic and Medical Disposables from the Junior Market and Eppley and Wisynco Group from the Main Market.
The current IC Insider.com TOP 10 list is based on the profit of companies reporting full year’s results for the financial year ending after 2020 second quarter and up to the second quarter in 2021.
Many local stocks made a strong recovery over the past two weeks, but major uncertainties still exist and it is not possible to determine the exact impact on company earnings. Actual earnings could vary materially from IC Insider.com’s forecast. Looking beyond the immediate fallout or benefits can provide a useful investment guide for above-average gains in the months ahead.
The three top Junior Market selections are Caribbean Producers, KLE Group and Lasco Financial with the potential to gain between 270 to 533 percent by 2021. In the Main Market, Berger Paints leads the pact followed by Radio Jamaica and then Carreras with projected gains of 146 to 170 percent.
The targeted average PE ratio of the market is 20. Both the Junior and Main markets are currently trading well below this level. The JSE Main Market ended the week, with an overall PE of 13.3 and the Junior Market a mere 9.7, based on current 2020/21 earnings. The PE ratio for Junior Market Top 10 stocks averages a just 5.7 with the Main Market at 8.8.
The TOP 10 stocks now trade at a discount of 41 percent of the average for Junior Market and Main Market stocks trade at a discount of 34 percent to the overall market. The average projected gain for the IC TOP 10 stocks is 278 percent from 312 percent last week and down from 377 percent at the close of the prior week for the Junior Market and 139 percent from 153 percent last week for the JSE Main Market, based on 2020/21 earnings.
IC TOP 10 stocks are likely to deliver the best returns to March 2021. Forecasted earnings and PE ratio for the current fiscal year are in determining potential gains. The ranking of stocks is in order of likely increases, with the highest-ranked, being the most attractive. Expected values will change as stock prices fluctuate and will result in movements of the selection in and out of the lists for most weeks. Earnings per share are revised on an ongoing basis as new information is received that can result in changes in and out of the list.

Persons who compiled this report may have an interest in securities commented on in this report.

Filed Under: Buy Rated Tagged With: Berger Paints, CAC2000, Caribbean Assurance Brokers, Caribbean Cement, Caribbean Flavours, Caribbean Producers, Carreras, Daily Trading, Emerging markets, General Accident, Grace Kennedy, Jamaica Broilers, Jamaican Stock Exchange, Jamaican stocks, Jamaican Teas, junior market, Laco Distributors, Lasco Financial, Lumber Depot, Medical Disposables, PANJAM Investment, Radio Jamaica, Scotia Group, Seprod, Stationery and Office Supplies, Stocks to Watch, Sygnus Credit Investments, TOP 10 stocks, Trading Activity

6 IC TOP 10 stocks up 25-50% last week

April 6, 2020 by IC Insider.com

Three of IC Insider.com TOP 10 stocks gained between 25 and 33 percent during the past week and dropped out of the TOP 10 as the Jamaica Stock Exchange recorded all-round gains after falling by record levels in March.
Stocks leaving the TOP are Lasco Manufacturing with a gain of 33 percent after the stock rose from $2.75 the previous week to close at $3.65. General Accident moved from $4.50 to $5.71 to record a 27 percent rise and Sygnus US dollar-based stock gained 25 percent to close at 15 US cents and left the main market TOP 10. Eppley rose 31 percent for the week in closing at $16 and Elite Diagnostic is up a stunning 50 percent but remains in the TOP 10. Access Financial closed the prior week at $18.35 and is now up 33 percent to $24.50.> Some of the gains in the market arose from oversold conditions as well as funds returning to investors last week from the refund of the Trans Jamaica Highway IPO.
Current IC Insider.com TOP 10 listings are based on profits of companies reporting full year’s results for the financial year ending after this year’s second quarter and up to the second quarter in 2021.
While local stocks make a strong recovery this past week, thanks no doubt to some of the IPO refund coming back into the market. Investors must not lose sight that significant uncertainties abound about the local and global economy and how each company may be affected. It is not possible to determine the exact fallout and benefits from the crisis and the impact on company earnings. Actual earnings could vary materially from IC Insider.com’s forecast.
Investors should be looking beyond just the immediate situation and identify companies that are financially strong to withstand the current cut in revenues but will make a strong recovery by 2021. There are, however, cases where companies will benefit from the crisis, with signs that some companies’ sales increased sharply.
The three top Junior Market selections are Caribbean Producers, KLE Group and Caribbean Assurance Brokers with the potential to gain between 268 to 600 percent by 2021. Caribbean Producers’ price was struck, with the stock falling to a low of $2 in March, but is now trading at $2.50, as the company was poised to have their best yearly results. Closure of hotels and restaurants derailed the trend. The company had the best performance to December last year, with sales rising 10.7 percent to US$59 million, with a profit of US$525,000 versus a loss of $1.2 million in 2018. The expectations are for the company to return to normality for the 2021 fiscal year that ends in June 2021 that will give buyers of the stock around current prices a big payday.
In the Main Market, Radio Jamaica leads the pact followed by Berger Paints then Carreras with projected gains of 205 to 253 percent. RJR had its best Nine months period last year since 2014, while Berger suffered from poor sales in the second half of the year, which management attribute to weather-related disruptions. The company stands to benefit from lower raw material prices with a fall in the price of oil on the world market as well as lower energy prices.
The Jamaica stock market suffered sustained pressure during March, leading to one of the most rapid falls in stock prices in the history of the market and leaving many stocks severely undervalued.
Some companies with early 2020 year-ends will not have experienced the same impact from the fall out of sales on reported results and stock prices, as will others.
With the tourism industry virtually closed, companies heavily dependent on the industry will have little or no sales for a while from March. The Group consists of Caribbean Producers, Dolphin Cove, Everything Fresh and Express Catering. Entertainment company Main Event and restaurant operator KLE Group will be hurt from patrons staying home as well as fewer tourists visiting Montego Bay and patronizing the restaurant in that town. Once this period of disruption has passed, KLE should benefit from economies of scale with the full ownership of the additional restaurant.
The results of some companies will be hit by falling stock and bond prices. The results for the 2020 first quarter will show the impact of the recent market decline locally and overseas. The latter includes JMMB Group, Proven, NCB Financial Group, Barita Investments, VMBS Investments, Jamaican Teas, QWI Investments and Sagicor Group. Banks may have to increase loan loss provisions as businesses encounter cash flow problems and defaulting on loan payments.
The targeted average PE ratio is 20, with both the Junior and Main markets currently trading well below this level. The JSE Main Market ended the week, with an overall PE of 12 and the Junior Market a mere 9.2, based on current 2020 earnings. The PE ratio for Junior Market Top 10 stocks averages 5.5 with the Main Market at 8.5.
The TOP 10 stocks now trade at a discount of 40 percent of the average for Junior Market and Main Market stocks trade at a discount of 29 percent to the overall market. The average projected gain for the IC TOP 10 stocks is 312 percent down from 377 percent last week for the Junior Market and 139 percent from 153 percent for the JSE Main Market, based mostly on 2020 earnings.
IC TOP 10 stocks are likely to deliver the best returns to March 2021. Forecasted earnings and PE ratio for the current fiscal year are in determining potential gains. The ranking of stocks is in order of likely increases, with the highest-ranked, being the most attractive. Expected values will change as stock prices fluctuate and will result in movements of the selection in and out of the lists for most weeks. Earnings per share are revised on an ongoing basis as new information is received that can result in changes in and out of the list.

Persons who compiled this report may have an interest in securities commented on in this report.

Filed Under: Buy Rated Tagged With: Berger Paints, Caribbean Assurance Brokers, Caribbean Producers, Carreras, Daily Trading, Emerging markets, General Accident, Grace Kennedy, Jamaican Stock Exchange, Jamaican stocks, Jamaican Teas, junior market, Lasco Financial, Lumber Depot, Medical Disposables, PANJAM Investment, Radio Jamaica, Scotia Group, Seprod, Stocks to Watch, Sygnus Credit Investments, TOP 10 stocks, Trading Activity

Carib Producers & RJR lead IC TOP 10

March 30, 2020 by IC Insider.com

The IC Insider.com TOP 10 stocks return, with earnings per share based on the profit of companies reporting full year’s results for the new financial year that ends after the second quarter of this year up to the second quarter in 2021.
Major uncertainties abound about the local and global economy and how each company may be affected. It is not possible to determine the exact fall out from the crisis and the impact on company earnings. Accordingly, actual earnings could vary materially from IC Insider.com’s forecast. In this regard, investors need to be alert to new information that will come to the fore on an ongoing basis and be prepared to adjust their investment decisions as time passes.
Where there are major uncertainties, there is the possibility of outlandish gains accordingly. Investors should be looking beyond just the immediate situation and identify companies that are financially strong to withstand the current cut in revenues but will make a strong recovery by 2021. The three top Junior Market selections are Caribbean Producers, KLE Group and Lasco Financial with the potential to gain between 320 to 600 percent by 2021. In the Main Market, Radio Jamaica leads the pact followed by Berger Paints then Eppley with projected gains of 149 to 200 percent.
The Jamaica stock market suffered sustained pressure during March, leading to one of the most rapid falls in stock prices in the history of the market. In the past week, prices have bounced with the Main Market putting in strong gains on Thursday and Friday, but the market index is down by a sizeable 29.5 percent year to date.
The market suffered from a large amount of money that went towards buying shares in Trans Jamaica Highway. At the same time, investors were concerned about the effects the Coronavirus could have on the economy and stocks in particular. Finally, prices fell so far that lenders make margin calls on investors who borrowed money on margin, resulting in selling shares to cover the shortfall at low prices to realize cash to pay down loans.
Trans Jamaica Highway shares were listed on the market on Tuesday. That gave some investors the opportunity to raise over $223 million in cash to reinvest in the market along with refunds from the oversubscription in the IPO.
The current year has changed markedly as the Corona Virus impact on countries worldwide has been significantly disruptive, inflicting significant damage to the individuals, businesses and economies. With the wipeout of fiscal deficits and debt to GDP set to be below 90 percent, the Jamaican economy is in a far better place than at the time of the 2008 crisis that severely tested the country and led to many measures that severely affected the economy from then until 2016.
The current situation of job losses worldwide will lead to lower inflows of export earnings for Jamaica from goods and services. Currently, the tourist industry is at a standstill. There are no clear indications when operations resume and what will the level of support be from guests. The effect of the downturn in the economy will affect companies to differing degrees. Some companies with early 2020 year-ends will not have the same impact on reported results and stock prices. With prices having fallen sharply, investors have an excellent opportunity to get back in and make a bundle in the next two years or so. The key to coming out big winners is to understand how the effects on each company and the timeframe.
With the tourism industry virtually closed, companies heavily dependent on the industry will have little or no sales for a while from March. The Group consists of Caribbean Producers, Dolphin Cove, Everything Fresh and Express Catering. Entertainment company Main Event and restaurant operator KLE Group will be hurt from patrons staying home as well as fewer tourists visiting Montego Bay and patronizing the restaurant in that town. Some major contributors to the tourism market are Grace, Jamaica Broilers and Wisynco. The results for some companies are hit by falling stock and bond prices. The results for the 2020 first quarter will show the impact of the recent market decline. The latter includes JMMB Group, Proven, NCB Financial Group, Barita Investments, VMBS Investments, Jamaican Teas, QWI Investments and Sagicor Group. Banks may have to increase loan loss provisions as businesses encounter cash flow problems and defaulting on loan payments.
The targeted average PE ratio is 20, with both the Junior and Main markets currently trading well below this level. The JSE Main Market ended the week, with an overall PE of 8 and the Junior Market a mere 8.5, based on current 2020 earnings. The PE ratio for Junior Market Top 10 stocks averages 4.7 with the Main Market at 8.
The TOP 10 stocks now trade at a discount of 45 percent of the average for Junior Market and Main Market stocks trade at a discount of 33 percent to the overall market. The average projected gain for the IC TOP 10 stocks is 377 percent for the Junior Market and 153 percent for the JSE Main Market, based mostly on 2020 earnings.
IC TOP 10 stocks are likely to deliver the best returns to March 2021. Forecasted earnings and PE ratio for the current fiscal year are in determining potential gains. The ranking of stocks is in order of likely increases, with the highest-ranked, being the most attractive. Expected values will change as stock prices fluctuate and will result in movements of the selection in and out of the lists for most weeks. Earnings per share are revised on an ongoing basis as new information is received that can result in changes in and out of the list.

Persons who compiled this report may have an interest in securities commented on in this report.

Filed Under: Buy Rated Tagged With: Berger Paints, Caribbean Flavours, Caribbean Producers, Carreras, Daily Trading, Dolphin Cove, Emerging markets, General Accident, Grace Kennedy, Jamaica Broilers, Jamaican Stock Exchange, Jamaican stocks, Jamaican Teas, junior market, Lasco Financial, Lumber Depot, Main Event, Medical Disposables, PANJAM Investment, Radio Jamaica, Scotia Group, Seprod, Stanley Motta, Stocks to Watch, Sygnus Credit Investments, TOP 10 stocks, Trading Activity, Trans Jamaica Highway

Jamaican stocks set for 2020 growth

February 23, 2020 by IC Insider.com

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The Jamaica Stock Exchange saw divergent movement in the three markets it operates, in 2019. While the major focus was on the Main Market performance with 34 percent gain, the US dollar market actually outdid it with gains of 40 percent but the Junior Market was nowhere to be found.

Almost clear skies for the Jamaica Stock Exchange

The Junior Market had its worse performance in three years, with an increase of just 3.4 percent. Last year was the fifth year of annual gains for the Jamaica Stock Exchange. In the past, the five-year mark meant that the market had peaked and was due for a major correction. Technical and fundamental indicators are not pointing in this direction currently.
Technically, the Main Market has 900,000 plus points on its radar, 60 percent away for the All Jamaica Composite index from the start of the year. The market is being steered by an upward sloping support line. There is no indication of any major resistance until it passes the 900,000 points mark.
The PE for the Main Market based on 2020 earnings is down to 16 times, 25 percent below the 2019 PE at the end of 2019 of 20. NCB Financial performance is going be crucial to the performance of the market index as it controls so much of the market capitalization. In the end, the index is just a barometer of the movement in the value of all the companies listed and investors would be well advised to focus on the quality of stocks that will provide good returns. IC Insider.com forecast shows 13 to 15 companies that could double in price during the next 15 months in the Main Market starting in January.
The Junior Market is poised to move much higher on improved profits for 2019 and 2020, even as some 2019 results were disappointing and did not stimulate investors to acquire these stocks in increasing volumes with many of them still undervalued relative to values in the Main market. Improvement in profitability will convince investors that there are excellent values in this segment of the market.
There are 28 Junior Market stocks with the potential to deliver gains between 100 to 600 percent in 2020 and up to March 2021. The major reason for the large group is the lack of performance in the market in 2019. Investors placed a major focus on the Main Market, driving the PE ration to 21 compared to 14 for the Junior Market. At the end of 2018, both markets were trading around 17 times 2018 earnings. This divergence, suggests that there are good opportunities to profit from in 2020, as investors move to take advantage of undervalued stocks when
The forecast assumes that economic growth will continue during the year around the 2 percent level and that interest rates will remain close to current levels with Treasury bills rates staying under 2 percent. A major factor, that is important in viewing the market is the number of companies that are enjoying strong growth in sales as well as those that are expanding or likely to do so. Such developments bode well for major gains in profit going forward.
Investors should not ignore companies that performed poorly in 2019 but could enjoy a strong turnaround in 2020. The Investors’ Choice 80:20 rule based on 40 years of data, shows more stocks rising form the bottom 10 worse performers in a year and surge into the TOP 10 the following year, while an average of 80 percent of those in the TOP 10 fail to repeat in the following year and since 2016 the average is just one.
With the likelihood of twenty IPOs planned for 2020, investors can look for a series of disruptions in the upward trajectory of the market. For the past two years, there were signs that on each occasion of popular initial public offers, prices of existing stocks came under pressure. The most recent were the three issues for 2020 to date. This phenomenon is most pronounced in the Junior Market that is far less liquid than the Main Market. The pullback of prices caused by the sell-off to fund IPOs also provides opportunities for investors who may want to pick up existing listed stocks at bargain prices.

Filed Under: Feature Stories, Investment 2024, JSE Combined, Stock Market Tagged With: Emerging markets, Jamaica Stock Exchange, Jamaican Stock, junior market

Caribbean Assurance oversubscribed

February 18, 2020 by IC Insider.com

Caribbean Assurance Brokers Initial Public Offer of shares to the public closed shortly after opening on Tuesday, February 18, with the issue oversubscribed, Mayberry Investments, brokers for the issue announced.
Caribbean Assurance Brokers offered 52.5 million ordinary shares at the price of $1.91 per share to the general public and selected group of subscribers. Mayberry will advise Applicants of the preliminary basis of allotment of the shares by Friday, February 21, under the Junior Market Rules of the Jamaica Stock Exchange (“JSE”). The Company has made an application to list the shares on the Junior Market of the JSE.
The stock is attractively priced and is likely to surge sharply after the issue opens for trading.

Filed Under: Breaking News, Initial Public Offers Tagged With: Caribbean Assurance Brokers, Emerging markets, Jamaica Stock Exchange, junior market

Sweet River delisted from Junior Market

February 10, 2020 by IC Insider.com

Sweet River Abattoir and Supplies became the first Junior Market company to have its shares delisted from the Junior Market of the Jamaica Stock Exchange.
The delisting is effective on Monday, February 10, 2020. According to the Jamaica Stock Exchange, “the delisting is in accordance with Junior Market Rule 505 (14) (a) (i) and the Company’s failure to remedy Board Level and financial requirements breaches.
Sweet River was listed in2014 and the shares were undersubscribed, leaving the company short of critical working capital to function properly, as it embarked on building out a new abattoir. The targeted in the IPO was to raise $180 million from the sale of 46.6 million shares to the public, but subscribers only applied for approximately 30.6 million shares amounting to $118 million. Recently, the company’s land and buildings were auctioned off and acquired by the purchaser for far less than the more than $300 million they are recorded on the books.
Sweat River ran up losses of $124 million up to June 2019, according to the last interim report the company released to the JSE and had a net worth of just $19 million.

Filed Under: Breaking News, Company News, General Business News Tagged With: Emerging markets, Jamaica Stock Exchange, Jamaican Stock, Jamaican stocks, junior market, Sweet River Abattoir

Caribbean Assurance IPO details out

February 7, 2020 by IC Insider.com

Caribbean Assurance Brokers are offering just 52.5 million ordinary shares for sale at the subscription price of $1.91 with a minuscule amount allocated for the general public.
The offer includes 44.36 million units for Reserved Share Applicants, including 5.25 million for Mayberry Investments’ clients with just 8.14 million units available to the general public.
Earnings for the past three years to 2018 have been almost flat, but results to September 2019 show a steep rise putting pretax profit to $71 million compared with $43 million for the full year in 2018. Based on the 2019 results, annualized earnings on 263 million shares that will be in issue after the IPO will translate to earnings of 36 cents per share, with a PE around, five which is well below the Junior Market level.
The company intends to use the net proceeds of the IPO to (i) pay IPO & Listing Expenses, (ii) expand its brokerage operations to other Caribbean territories, (iii) extend the Company’s solar photovoltaic system and for working capital purposes.
The issue opens on February 18 and scheduled to close on March 3, subject to early closure. Investors fortunate to get a good volume will enjoy a nice payday, with the limited supply, the general public will have to be satisfied with the usual dribblings.
The company acts as brokers for International, general and individual Life Insurance and employee benefits.
The directors of the company are Raymond H. Walker, Chairman Chief Executive Officer. Non-executive directors are, Rion B. Hall, Norman Minott, Jennifer Rajpat, Barrington Whyte, Tania Waldron-Gooden, Carlton Barclay and Janice P. Holness.

Filed Under: Breaking News, Initial Public Offers, Stock Market Tagged With: Caribbean Assurance Brokers, Emerging markets, Jamaica Stock Exchange, Jamaican Stock, junior market

Growing Lasco Manufacturing profits

February 7, 2020 by IC Insider.com

Profit at Lasco Manufacturing rose 10.5 percent in the December quarter, to $218 million from $197 million in 2018. For the nine months to December, profit increased by 11 percent to $781 million from $701 million in 2018.
The company’s net results rose modestly, this is due to a hike in its tax bill from $28 million in the 2018 quarter to $71 million in 2019 and from $129 million for the nine months to December 2018, to $169 million in 2019. Before the increased tax charge, the latest quarter results were up a robust 28 percent to $289 million and 14.5 percent for the year to December at $949 million.
The improved profit flowed from a rise in sales revenues of 10 percent for the quarter to $2 billion from $1.8 billion in 2018 and 4 percent for the year to date to $5.9 billion from $5.6 billion in 2018.
The gains in 2019, following on from the March 2018 fiscal year when profit moved from $561 in 2017 to $1.07 billion. The 2017 bene was off sharply from $826 million generated in 2016 and $612 million in 2015. The current fiscal year should see the company surpassing the $1m mark in profits for the second time.
Improvement in profit margin, in the first half of the year, continued into the December quarter with 36 percent from 34 percent in 2018 and for the year to date period, from 34 percent in 2018 to 37 percent this year. Input cost rose 6 percent in the December quarter, to $1.28 billion, compared to $1.2 billion in 2018, and was virtually flat for the year to date period at $3.7 billion versus $3.68 billion. The rise in revenues and containment of cost below the growth in revenues resulted in operating profit rising 18 percent in the quarter to $719 million from $611 million and almost 11 percent for the year to date to $2.14 billion from $1.9 billion in 2018.

Lasco’s ICool drinks.

Administrative and Other operating expenses rose 7 percent to $393 million in the quarter and 9 percent in the nine months to $1.1 billion. Finance cost declined in the quarter, to $21 million from $26 million in 2018 and $90 million to $75 million for the nine months.
The company continues to expand its capacity. According to James Rawle, Managing Director, “Capital investments were primarily focused on the expansion of the dry plant at White Marl facility and is expected to be completed by the end of the financial year.”
Gross cash flow brought in $975 million, but funds were used to finance a number of items, with $314 million going into stock market investments, funding of a rise in receivables and inventories. Addition to fixed assets absorbed $166 million, while $220 million in loan net of inflows was repaid, with $250 million going into dividend payment. At the end of December, shareholders’ equity stood at $6.5 billion, with borrowings at just $1 billion inclusive of $484 million that will is payable within a year. Net current assets ended the period at $2.4 billion inclusive of trade and other receivables of $2 million, cash and bank balances of $719 million. Current liabilities ended the period at $1.6 billion.
Earnings per share came out at 5 cents for the quarter and 19 cents for the nine months. IC Insider.com is forecasting 30 cents per share for the year to March and 45 cents for the 2021 fiscal year.
The stock traded at $4.25 on the Junior Market of the Jamaica Stock Exchange with a PE ratio of 14 times earnings for 2020 and just seven times that of 2021. Net asset value is $1.57, with the stock selling at 2.5 times book value. At prices around the current level, the stock is a buy.

Filed Under: Company News, Company Results Tagged With: Emerging markets, Jamaica Stock Exchange, Jamaican Stock, junior market, Lasco Manufacturing

Carreras & Medical Disposable lead TOP 10

January 19, 2020 by IC Insider.com

The past week saw significant fluctuations in prices of several stocks, leading to notable declines in the market indices of the Junior and Main Market and resulting in some changes in the TOP 10 stocks.
The Junior Market lost General Accident and Lasco Distributors and welcomed back Jetcon Corporation and Dolphin Cove. In the JSE Main Market, the price of NCB Financial fell to $190, with the stock edging out Pulse Investments in the process.
The JSE Main Market ended the week, with an overall PE of 21.1 and the Junior Market 14.2, based on current 2019 earnings. The PE ratio for Junior Market Top 10 stocks averages 9.2 with the Main Market at 11.1.
The targeted average PE ratio is 25, with several stocks trading at that level or just under, in 22 times region, currently. The TOP 10 shares now trade at a discount of 35 percent of the average for Junior Market and Main Market stocks trade at a discount of 47 percent to the overall market.
The average projected gain for the IC TOP 10 stocks is 177 percent for the Junior Market and 129 percent for the JSE Main Market, based mostly on 2019 earnings.
The top three Junior Market stocks are Medical Disposables with projected gains of 257 percent, followed by Main Event with 232 percent and Jamaican Teas is in the third spot with 187 percent likely capital gain, with the price pulling back from $7.40 at the start of the week to $6.98 at the close. During the week, Jamaican Teas announced a three for one stock split, subject to approval by shareholders.
During the week, Sygnus Credit Investments US dollar-based stock that surged to number one spot on the Jamaican Stock Exchange Main Market at the end of the prior week climbed to 18 US cents and moved to the sixth position. Carreras now leads the TOP 10 Main Market stocks with projected gains with 176 percent, followed by Radio Jamaica in the number two spot, with 166 percent and Berger Paints with 152 percent.
IC TOP 10 stocks are likely to deliver the best returns to March this year. Forecasted earnings and PE ratio for the current fiscal year are in determining potential gains. The stocks are ranked in the order of likely increases, with the highest-ranked, being the most attractive. Expected values will change as stock prices fluctuate and will result in movements of the selection in and out of the lists for most weeks. Earnings per share are revised on an ongoing basis as new information is received that can result in changes in and out of the list.

Persons who compiled this report may have an interest in securities commented on.

Main Event & Sygnus lead IC TOP 10

January 12, 2020 by IC Insider.com

Main Event revenues are growing strongly.

Entertainment event planners, Main Event and Sygnus Credit Investments US dollar-based stock surged to number one spot on the Junior and Main markets of the Jamaican Stock Exchange in a week with just one change to the TOP 10 lists.
Dolphin Cove’s price moved to $11.90 and the stock moved out of the Junior Market TOP 10 and is replaced by General Accident with the stock price falling to $6.45.
The Jamaica Stock Exchange got some price changing news during the past week. Jamaican Teas announced that the directors would be meeting to consider increasing the share capital and a sub-division of the companies issued shares. That news created added interest in the stock, driving the price from $6.58 to close the week at $7.40. Pulse Investments announced expansion into residential real estate development for sales and the retention of some units. The stock was added to the Main Market TOP 10 in 2019 and is on the verge of moving out, with increased buying interest. KLE Group announced the buy-out of the Tacks and Records restaurant in Montego Bay that will add significantly to revenues and boost profitability. KLE is one to watch. Proven Investments announced another stock offering, this time to the wider public. The move with help to boost broader interest in the stock as it pulls in new shareholders.
The JSE Main Market ended the week, with an overall PE of 21.2 and the Junior Market 14.4, based on current 2019 earnings. The PE ratio for Junior Market Top 10 stocks averages 8.9 with the Main Market at 10.9.
The targeted average PE ratio is 25, with several stocks trading at that level or just under, in 22 times region, currently. The TOP 10 companies now trade at a discount of 38 percent of the average for Junior Market and Main Market stocks trade at a discount of 49 percent to the overall market.
The average projected gain for the IC TOP 10 stocks is 187 percent for the Junior Market and 135 percent for JSE Main Market, based mostly on 2019 earnings.
The top three Junior Market stocks currently are by Main Event with projected gains of 305 percent, followed by Medical Disposables with 257 percent and CAC 2000, with 188 percent likely capital growth.
Sygnus US dollar-denominated stock, holds on to the lead of Main Market stocks with projected gains with 186 percent, followed by Carreras in the number two spot, with 171 percent and Berger Paints with 165 percent.
IC TOP 10 stocks are likely to deliver the best returns to March this year. Forecasted earnings and PE ratio for the current fiscal year are in determining potential gains. Possible gains for each stock are ranked, with highest-ranked being the most attractive. Expected values will change as stock prices fluctuate and will result in movements of the selection in and out of the lists for most weeks. Earnings per share are revised on an ongoing basis as new information is received that can result in changes in and out of the list.