More funds passed through the Jamaica Stock Exchange Junior Market on Friday, pushing the volume of stocks traded up 18 percent and the value rising 46 percent higher than on Thursday and led to market to record an increase over last week’s close and with gains going into the weekend.
A total of 37 securities traded down from 41 on Thursday and ended with 16 rising, 13 declining and eight closed unchanged.
The Junior Market Index climbed 27.68 points to 3,416.44. The PE Ratio, a measure used to compute appropriate stock values, averages 13.6. The PE ratio of each stock is shown in the chart below, is based on earnings forecasts done by ICInsider.com for companies with their financial year ending up to August 2022.
Overall, 4,884,822 shares traded for $20,407,151 up from 4,133,325 units at $14,013,135 on Thursday. Jamaican Teas led trading with 1.49 million shares for 30.4 percent of total volume, followed by Future Energy Source with 1.17 million units for 24 percent of the day’s trade and Mailpac Group with 384,475 units for 7.9 percent market share.
Trading averaged 132,022 shares at $551,545 in contrast to 100,813 shares at $341,784 on Thursday and month to date, an average of 113,246 units at $404,431, compared to 108,735 units at $369,086 on Thursday. Trading in October averaged 162,777 units at $557,275.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than their last selling prices and two with lower offers.
At the close, Access Financial rose $1.09 to $20.79 in an exchange of 94,398 shares, Cargo Handlers climbed 34 cents to $7.84 after trading 21 stocks, Caribbean Cream fell 29 cents to close at $5.68 with 3,180 stock units changing hands. Derrimon Trading fell 8 cents to $2.44 while exchanging 70,522 units, Elite Diagnostic dropped 23 cents to end at $3.02 after clearing the market with 88,778 stock units, Everything Fresh shed 7 cents to 91 cents with the swapping of 34,100 shares. Fosrich popped 10 cents to close at $8.60 with an exchange of 54,742 stocks, General Accident spiked 65 cents to $6.10, with 136,082 units changing hands, Honey Bun lost 15 cents to end at $9.35 after exchanging 95,727 units. Indies Pharma dropped 18 cents in closing at $3.02 in trading 125,039 stock units, ISP Finance fell $2.23 to $45 after trading 80 stocks, Jamaican Teas declined 10 cents to close at $4.40, with 1,485,356 shares crossing the exchange. 
Knutsford Express rose 9 cents in closing at $8.09, trading 6,374 stock units, Lasco Distributors advanced 33 cents to end at $3.85, with 58,015 units crossing the market Lasco Manufacturing lost 30 cents, closing at $4.50 after trading 250,158 shares. Main Event shed 40 cents to close at $4 in switching ownership of 354,112 stocks, Paramount Trading popped 9 cents in closing at $1.14, with 470 shares crossing the market and Stationery and Office Supplies rallied 39 cents to end at $6.30 with an exchange of 200 units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Market activity led to 41 securities trading, up from 37 on Wednesday and ended with 16 rising, 18 declining and seven left unchanged. Fontana and KLE Group ended trading at 52 weeks’ highs.
Trading averaged 100,813 shares at $341,784, down from 125,035 shares at $434,340 on Wednesday and month to date, an average of 108,735 units at $369,086, compared to 111,609 units at $378,991 on Wednesday. October average trade was 162,777 units at $557,275.
Indies Pharma dropped 9 cents to end at $3.20, with 26,000 stock units crossing the market, ISP Finance fell 74 cents after finishing at $47.23 in trading 642 shares, KLE Group spiked 51 cents in closing at 52 weeks’ high of $2.51 in an exchange of 14,277 stocks. Lasco Distributors lost 8 cents to close at $3.52 while exchanging 24,956 units, Medical Disposables rose 40 cents to $5.50 in an exchange of 19,400 stocks, SSL Venture fell 8 cents in closing at 66 cents as 39,200 shares changed hands and tTech shed 90 cents to end at $3.88 in trading 7,859 units.
Overall, 37 securities traded, up from 35 on Tuesday and ended with 16 rising, 13 declining and eight closing unchanged.
At the close, Access Financial lost $1.55 in closing at $18, after trading 9,534 shares, Cargo Handlers climbed 69 cents to $7.84 in switching ownership of one stock unit, Consolidated Bakeries fell 11 cents, to $1.55 after an exchange of 10,147 units. Dolphin Cove dropped 25 cents to $10 while exchanging 9,830 stocks, Elite Diagnostic dipped 5 cents to end at $3.05 in trading 148,454 units, Express Catering shed 5 cents in closing at $4.80 after trading 25,709 stocks. Fontana rose 5 cents to $6.99 in exchanging 162,937 shares, Fosrich inched 17 cents up to end at $8.60, with 37,041 stock units crossing the exchange, Honey Bun dropped 49 cents to close at $9.01, clearing the market with 9,677 stocks. Indies Pharma gained 19 cents to $3.29 with an exchange of 64,299 shares, Jamaican Teas rose 6 cents in closing at $4.50, with 1,194,086 units changing hands, Jetcon Corporation popped 11 cents to $1.10, in trading 7,397 stock units. KLE Group shed 20 cents to close at $2 after exchanging 33,223 stocks, Knutsford Express fell 5 cents, to $8, with 3,000 shares crossing the market, Lasco Manufacturing rallied 5 cents to end at $4.85, in trading 32,764 stock units. 
Limners and Bards declined 5 cents to $3.55 with the swapping of 19,496 units, Main Event advanced 54 cents to close at $4.44, with 400 stock units clearing the market, Medical Disposables rallied 5 cents to end at $5.10 with an exchange of 1,200 units. Paramount Trading rose 6 cents to $1.10, with 3,000 stocks crossing the exchange, SSL Venture popped 5 cents to 74 cents in switching ownership of 1,922 shares and Tropical Battery lost 5 cents to end at $1.29 in trading 4,143 stock units.
A total of 35 securities trading down from 41 on Monday and ended with 19 rising, 11 declining and five closing unchanged.
Trading averaged 74,982 shares at $229,312 versus 130,760 shares at $456,818 on Monday and for the month to date an average of 105,072 units at $352,046. October closed with an average of 162,777 units at $557,275.
Lasco Financial rose 6 cents to $3.15 while exchanging 4,003 stock units, Lasco Manufacturing increased 47 cents to $4.80, with 176,276 stocks clearing the market, Limners and Bards popped 6 cents in closing at $3.60 in exchanging 77,116 units, Mailpac Group increased 7 cents to close at $3.82, with 53,232 stocks crossing the market, Main Event fell 50 cents to $3.90 trading 4,240 shares, Paramount Trading declined 6 cents to close at $1.04 in an exchange of 4,988 stock units and Stationery and Office Supplies popped 29 cents to end at $5.90 in an exchange of 124 units.
Overall, 41 securities traded up from 35 on Friday and ended with 17 rising, 17 declining and seven, closing unchanged.
Trading averaged 130,760 shares at $456,818 in contrast to 126,170 shares at $424,566 on Friday. Trading in October closed with an average of 162,777 units at $557,275.
Lasco Manufacturing shed 45 cents ending at $4.33, with 39,664 stocks crossing the market after the company released good half year results with a strong indication that the stock is undervalued. Main Event spiked 40 cents in closing at $4.40 after trading 2,012 stocks, Medical Disposables popped 11 cents to $5.06 after exchanging 4,428 shares, Stationery and Office Supplies fell 89 cents to $5.61 in exchanging 5,825 units and tTech rallied 14 cents to $4.79 while trading 10,000 stock units.
Sygnus Credit Investment gave back the 5 percent increase last week to end at $17.80. Berger Paints and Proven Investments both gave up 3 percent during the week, while Junior Market Lasco Financial gave up six percent at the end of the week in closing at $3.05 and Caribbean Assurance Brokers lost three percent, from $1.79 to $1.74 as Medical Disposables rose four percent to $4.95 after hitting an intraday high of $5.80 on Friday and Lumber Depot rose four percent to $2.97.
The company will be paying a hefty dividend of 32 cents per share. Lasco Manufacturing and Lasco Distributor reported second quarter results. The former enjoyed a 13 percent increase in revenues to $4.65 billion and a 6 percent rise in profit to $782 million after increased taxation in the period versus a lower rate in 2020. The distributing company enjoyed a 15 percent rise in revenues to $11.6 billion and a 14 percent fall in after tax profit to $197 million.
The Junior Market closed the week with an average PE 13.2 based on ICInsider.com’s 2021-22 earnings and is currently well below the target of 20 and the historical average of 17 for the period to March this year, based on 2020 earnings. The TOP 10 stocks trade at a PE of a mere 6.8, with a 52 percent discount to that market’s PE.
TOP 10 average PE is 7.8, representing a 50 percent discount to the market and well below the potential of 20. A total of 12 stocks or 25 percent of the market trade at or above a PE of 19, with most over 20, for an average PE of 25.5, suggesting that the accepted multiple maybe around 25 times the current year’s earnings.
Trading closed Friday, with the volume and value of stocks traded rising modestly over Thursday as the Jamaica Stock Exchange Junior Market closed out the week and month with the market index surging 42.50 points to close at 3,404.40, to be up 108 points for the month, with a gain just under 29 percent for the year to date. 
Investor’s Choice bid-offer indicator shows five stocks ended with bids higher than their last selling prices and three stocks with lower offers.
KLE Group popped 13 cents to $1.46 with an exchange of 36,000 stocks, Lasco Distributors rose 25 cents to end at $3.85 in trading 217,988 stock units. Lasco Manufacturing climbed 48 cents to $4.78 with the swapping of 185,781 units, Lumber Depot spiked 7 cents to close at $2.97 with 60,602 stocks clearing the market, Paramount Trading lost 6 cents to close at $1.04 in switching ownership of 34,312 shares, Stationery and Office Supplies increased 50 cents to close at $6.50 after exchanging 2,434 stock units and tTech advanced 40 cents to $4.65 1,000 stocks changing hands.
At the close, the Junior Market Index rallied 34.96 points to end at 3,361.90, after 36 securities traded compared to 37 on Wednesday and ended with 18 rising, 14 declining and four closing unchanged.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than their last selling prices and one with a lower offer.
Lasco Manufacturing lost 20 cents to $4.30 after 27,840 shares crossed the exchange, Mailpac Group advanced 6 cents to $3.83 in exchanging 201,426 stocks, Main Event gained 24 cents to end at $4 with 7,500 shares changing hands. Medical Disposables fell 32 cents in closing at $4.93, after trading 47,340 stocks, Stationery and Office Supplies shed 10 cents to $6 with an exchange of 13,398 stock units and tTech fell 45 cents to end at $4.25, after 1,143 units crossed the market.
Investor’s Choice bid-offer indicator shows no stock ending with a bid higher than the last selling price and six closed with lower offers.
KLE Group fell 19 cents in closing at $1.16 after 19 stock units crossed the market, Lasco Manufacturing rallied 12 cents to $4.80, with 1,034 stock units clearing the market, Mailpac Group rose 6 cents to end at $3.80 in an exchange of 311,160 stocks. Main Event popped 32 cents to $4.20 in switching ownership of 450 shares and Medical Disposables advanced 27 cents to $5.25 in an exchange of 11,400 units.
Most of the top 2021 stocks will not make the top 10 in 2022. The IC 80/20 rule, with a long 40 year history, shows an average of only two of the top ten stocks in a year repeat in the following one, while 4 out of 10 of the worst performing stocks will end up as TOP 10 winners in the succeeding year. The top seven stocks so far, with gains of 52 to 231 percent and three others gaining more than 100 percent are; Future Energy, Jamaican Teas, Fosrich, ISP Finance, Lumber Depot, Express Catering and Honey Bun. In the Main market, Caribbean Producers is 136 percent to date and is expected to deliver much more gains into 2022, Salada Foods rose 107 percent, Radio Jamaica has an increase of 103 percent, but investors can expect much more from this one but a lot is expected after the release of the September quarter results, Caribbean Cement is scheduled to release third quarter results next weekend, with the stock price up 88 percent for the year to date and Grace up 55 percent.
Elsewhere, Supreme Ventures released nine months results with 22 percent increased sales to $19.3 billion for the nine months but virtually flat third quarter sales of $6.3 billion with nine months profit slipping marginally from $1.55 billion to $1.54 billion and the third quarter falling from $596 million down to $311 million. Earnings per share ended at 57.7 cents and 11.8 cents for the quarter. AMG Packaging released full year results, with profits of $62.6 million, up from $56 million in 2020 with earnings per share of 12 cents. The quarterly profit was $20 after tax and, in 2020, $18.4 million after a tax credit. Construction of the new facility is complete, and machinery and equipment are ordered and is expected to be installed during the November quarter.
The top three stocks in the Junior Market are Elite Diagnostic, followed by Access Financial and Medical Disposables. All three have the potential to gain between 238 and 287 percent, from 220 percent and 300 percent previously.
50 percent discount to the market and well below the potential of 20. A total of 10 stocks or 22 percent of the market trade at or above a PE of 19, with most over 20, for an average PE of 25.5, suggesting that the accepted multiple maybe around 25 times the current year’s earnings.
