Palace Q3 profit jumps 244%

Black Panther mash up Palace bottom-line with a huge increase in profit

Profit at Palace Amusement jumped 244 percent in the March quarter, to a record $45 million from just $13 million in 2017. For the nine months to December, profit surged 746 percent to $49 million from $6 million in 2017.
Thanks to the high level of success of the Black Panther movie sale revenues rose a strong 39 percent for the quarter, to $343 million from $247 million and by 21 percent for the year to date, to $836 million from $692 million in 2017.
Gross profit rose 73 percent to $90 million and profit margin increased to 26 percent in the quarter from the 2017 out turn of 21 percent. For the nine months period to March gross profit rose a respectable 45 percent to $189 million and profit margin moved 23 percent from 19 percent in the 2017.
Administrative expenses rose 10 percent to $45 million in the quarter and by 7 percent in the nine months to $139 million.
Earnings per share came out at $31.53 for the quarter and $34.38 for the nine months and should end the fiscal year ending around $150 level, with the continued success of Black Panther and now The Avengers.

Carib Cinema, the flagship for Palace Amusement, the company’s stock climbed $200 on Monday.

Gross cash flow brought in $79 million but there was the payment of loans and dividends amounting to $9 million. At the end of March, shareholders’ equity stood at $406 million with borrowings at just $24 million. Net current assets ended the period at $180 million inclusive of trade and other receivables of $62 million, cash and equivalent of $203 million and current liabilities stood at 139 million.
The stock traded at a record $1,500 on the main market of the Jamaica Stock Exchange with a PE ratio of 10 times, estimated 2018 earnings.

Sagicor Group & Wisynco back in TOP 10

Salada Foods reported earnings of 78 cents for the half year and is now no 2 on the TOP 10.

Sagicor Group fell out of TOP 10 of main market stocks in the previous week, is back, with the price falling from $42 to $38 and Salada Foods surges to the number 2 spot with half year results.
Wisynco joins the TOP 10 after a very long absence as the price dipped to $10 on Friday. The two new listings replaced Grace Kennedy and PanJam Investment, with the latter jumping to a new 52 weeks’ high of $46.01. In the Junior Market there was only one change with Stationery and Office Supplies (SOS) climbing to a new record high of $7.50 after positing good first quarter results with earnings per share up 70 percent to 17 cents. Lasco Financial moved back into the TOP 10, replacing SOS that still have much more room to grow this year as profits should hit close to $1 per share for the year and investors could well see a stock split as a result of the rising profit and stock price.
Other changes of note, were the fall in price of Berger Paints to $20 from $22 at the end of the previous week, Caribbean Cement moved to $40.05 from $38.60 and Barita Investments rose to $11.50 from $10.49 as selling by investors dried up. Second quarter results may not be good enough to push the stock much higher but when the growth in other comprehensive income is factored in, the stocks is still extremely cheap.
On Thursday, a number of company results were released with some having the potential to help prices to move forward. On Friday, more results were released with Salada Foods and tTech posting good gains in profit. Salada earnings suggest full year results of $1.80 per share and pushed the stock to the number 2 choice in the TOP 10. Others will come on Monday and Tuesday, investors should be alert to news that they may provide that could impact prices in the short term.
The main market pulled back from record highs reached at the close of the previous week but is now sitting just below that level on Friday, as that market continues to grind its way slowly upwards ahead of the big breakout that is coming.
At the close of Friday, the average PE ratio for Junior Market Top stocks ended at 6.2 compared to an average PE for the overall main market of 10 based on 2018 estimated earnings. The main market PE is 7.2 for the top stocks, compared to a market average of 13.
IC Insider.com’s TOP 10 stocks now trade at an average discount of 38 percent to the average for the Junior Market Top stocks but it’s a third of what the average PE for the year is likely to be of 20 times earnings and main market stocks traded at a discount of 44 percent to the market.
Stocks to Watch this week include, Stationery and Office Supplies that should go higher based on the first quarter results that were released on Thursday. It should be interesting to see how investors treat with the lack of supply of Barita and Berger shares while Palace that jumped $300 on Friday could be pushed when the company’s third quarter results are released this coming week that should see very positive impact of the Black Panther movies now still being shown, although less frequently than previously, with Avengers seems to have taken over from it. NCB Financial pulled back to $95 during the past week and should be another interesting stock to watch as it is undervalued. Grace Kennedy posted decent first quarter results that should encourage more buying of the stock and PanJam Investment is very scarce. Increasing interest in Radio Jamaica pushed the price to $1.20 and is another that could move higher during the week.

Big recovery for JSE main market – Friday

Caribbean Cement jumped $4.45 to close at $40.05

Investors pushed the Jamaica Stock Exchange the market up strongly on Friday and the market recovered a large portion of what was lost since the record high on the previous week.
At the end of market activities, 28 securities traded, compared to 28 on Thursday, in the main and US dollar markets with the price of 10 stocks rising, 8 falling and 10 trading firm. At the close, the All Jamaican Composite Index jumped sharply by 2,341.33 points to 330,728.92 and the JSE Index climbed 2,133.22 points to 301,331.41.
Stocks with major price changes are, Caribbean Cement jumped $4.45 to close at $40.05, JMMB Group jumped $1 to $28, Palace Amusement jumped $300 to $1,300, followed by NCB Financial that dropped $1.25 to $95. PanJam Investment traded at a 52 weeks’ high of $46.01 while Jamaica Broilers and Supreme Ventures traded at intraday highs.
Trading activity resulted in 3,690,667 units valued at $51,637,707 compared to 3,519,415 units valued at $33,476,075 changing hands on Friday.
The major trades for the day are, Wisynco Group with 1,214,450 units and accounting for 32.91 percent of the day’s volume, followed by Victoria Mutual Investments with 723,173 units or 19.59 percent of trades and Ciboney Group with 402,832 units and 10.91 percent of the volume traded.
Trading resulted in an average of 136,691 units valued at an average of $1,912,508 for each security traded. In contrast to 200,047 units for an average of $4,687,155 on Thursday. The average for the month to date is 342,839 shares with a value of $18,119,875 and previously 367,467 shares with a value of $20,307,869. In contrast, April closed with an average of 708,206 shares with a value of $6,395,518 for each security traded.
In the US dollar market, Proven Investments traded 1,000 shares and fell by 3 cents to 20 US cents and the market index ended at down 0.47 points to 164.82 and JMMB Group 5.75% US preference share traded 5,000 units at $2.
IC bid-offer Indicator| At the end of trading, the Investor’s Choice bid-offer indicator reading shows 7 stocks ended with bids higher than their last selling prices and none closing with a lower offer.
For more details of market activities see – Big gains for JSE main market – Friday.

Sagicor Group out of TOP 10 stocks

Add your HTML code here...

Sagicor Group profit climbed just 7% for 2017.

Sagicor Group out of TOP 10 stocks this past week as the price jumped to $42 and is replaced by Salada Foods and are the only two major change to the TOP 10 listings this week.
Other changes of note were the rise in price of Berger Paints to $22 from $19 at the end of the previous week, Caribbean Cement move to $38.60 from $36.50 and Barita Investments moving to $10.49, more importantly, selling by investors dried up towards the end of the week. Most importantly, the main market continues to hit new record highs during the week and ending the week at a record high level with signs of more gains during the coming week as more company results are released this week and the effect of falling interest rates and a stable Jamaican dollar playing big roles in increasing interest in the market.
At the close of Friday, the average PE ratio for Junior Market Top stocks ended at 6 compared to an average PE for the overall main market of 10 based on 2018 estimated earnings. The main market PE is 7.3 for the top stocks, compared to a market average of 13.
IC Insider.com’s TOP 10 stocks now trade at an average discount of 40 percent to the average for the Junior Market Top stocks but it’s a third of what the average PE for the year is likely to be of 20 times earnings and main market stocks traded at a discount of 44 percent to the market.
The Stocks to Watch this week are Stationery and Office Supplies that should release first quarter results early this week with profits that could double over the 2017 first quarter. It should be interesting to see how investors treat with the lack of supplies for Barita and Berger while Palace could jump in price with continued success of movies now being shown. NCB Financial could be another interesting stock to watch.

Fake Avenger promto

The popularity of the Palace Amusement’s the Avengers Infinity War, now showing on the company’s cinema circuit has elicited some fictitious email now in circulation offering members of the public the chance to win free tickets to the blockbuster, Avengers showing.
Palace Amusement has advised via a press release that they are conducting no such promotion and urges members of the public to be smart and aware when using the internet for their own safety and security, accordingly patrons should be an the alert to emails inviting persons to answer questions in order to participate.
The Avenger is another big movie for Palace who continues to show Black Panther now in its third month of showing.

Deadliest showdown of all time – Avengers

An unprecedented cinematic journey, ten years in the making and spanning the entire Marvel Cinematic Universe, Marvel Studios’ Avengers: Infinity War brings to the screen the ultimate, deadliest showdown of all time.
Iron Man, Thor, Black Panther, Spider Man, Hulk and the rest of the Avengers unite to battle their most powerful enemy yet – the evil Thanos. As the Avengers and their allies have continued to protect the world from threats too large for any one hero to handle, a new danger has emerged from the cosmic shadows, that challenges the entire team. A despot of intergalactic infamy, his goal is to collect all six Infinity Stones, artifacts of unimaginable power, and use them to inflict his twisted will on all of reality. Everything the Avengers have fought for has led up to this moment – the fate of Earth and existence itself has never been more uncertain. This intense and highly anticipated film features an all-star line up with Academy Award® nominees; Robert Downey Junior (Iron Man), Don Cheadle (War Machine) and Denedict Cumberbatch (Dr. Strange). They are joined by Chris Hemsworth (Thor), Mark Ruffalo (Hulk), Chris Evans (Captain America) Tom Holland (Spider Man) and Golden Globe® Award winner Tom Hiddleston (Loki). The film is produced by Marvel Studios and distributed by Walt Disney Studios Motion Pictures. Avengers: Infinity War is the sequel to 2012’s The Avengers and 2015’s Avengers: Age of Ultron, and the nineteenth film in the Marvel Cinematic Universe (MCU).

Grace & FosRich in TOP 10 stocks

Grace Kennedy is in TOP 10

Out go Palace Amusement and Lasco Financial, in comes Grace Kennedy and FosRich Group into the TOP 10 listings this week.
Lasco Financial climbed to $5.65 at the end of last week while the bid on Palace climbed to $1,000 thus leaving room for Grace Kennedy and FosRich that fell to $2.35, to enter, in a week that saw the main market trading in record territory and the Junior Market recording gains in the index for the week.
The next two weeks should set the tone for the market in the medium term as most companies will be releasing results for the March quarter. Based on early releases, only a handful of results have positive effect on prices. The latest results from Supreme Ventures with a 49 percent rise in the first quarter profit seems set to push the price higher.
Investors responded positively to Berger Paints prospects, with active supply below $20 per share having declined sharply, leaving the price to close the week at $19.
Buying continued for Barita Investments with the price hitting $10 during the week. JMMB Group pulled back by the end of the week to $26.98 from $28.32, as the block out period for insiders to trade in the stock is in place until full year results are out. Resistance for the stock price is just over $31 an area investors should be on the lookout for, in the short run. Caribbean Cement first quarter profit was slightly down on last year, but the company is set to do better in the June quarter with the buyout of the expensive lease of equipment and prospects of lower operating cost, with the major repairs behind them and increasing demand for cement likely, ahead of the 6 percent growth in the first quarter. The stock may remain around current price levels for a while. Iron Rock reported vastly improved results for first quarter and appears to be on the way to their first profit since listing. The stock climbed to $3.50, following release of the results.
At the close of Friday, the average PE ratio for Junior Market Top stocks ended at 6.1 compared to an average PE for the overall main market of 10 based on 2018 estimated earnings. The main market PE is 7.2 for the top stocks, compared to a market average of 13.
IC Insider.com’s TOP 10 stocks now trade at an average discount of 39 percent to the average for the Junior Market Top stocks but it’s a third of what the average PE for the year is likely to be of 20 times earnings and main market stocks traded at a discount of 43 percent to the market.

Good news push TOP 10 stocks

There were no new entrants this past week, to the TOP 10 list of stocks on the Jamaican Stock Exchange, but there was some good news with the acquisition by Stationery and Office Supplies of a book making business.
The acquisition is set to add to profit in year one, and investors responded by driving the stock to a new high. The stock that was facing some challenge to get bids around the $5.50 level, the stock traded at in the past few weeks, jumped to $6 on the same day the announcement was made. With annual sales estimated around $130 million that could rise with greater focus on the operations and more capital available to support it, IC Insder.com has up graded the earnings to 90 cents for this year. The company is one of a number of Junior Market listings expected to post positive gains in the 2018 first quart over that of 2017.
The other good news for the market was a further fall in Treasury bill rates and another month of slightly negative inflation for March with the first quarter inflation also being negative. While the main market hit two new record highs during the week. While the JSE main market is caught up in a wedge formation and waiting for a big break out which could happen any time, the Junior Market that was in a downward drift from late 2017 now seems to have support from the 200 day and 120 day moving averages with the short term moving average now above both longer term ones. The market is being steered by two support lines with one going back to 2010 and another going back to early 2014.
Investors pressured recently listed Elite Diagnostic during the week as they reacted negatively to the December quarter results with lower profit that the previous year’s results. Investors seemed to have responded the Berger Paints bullish reading in the annual report as they bought the stock in increasing volumes during the week, leaving the price at $19. The Managing Director had reported that “the outlook for 2018 and beyond is extremely positive. The Berger brand remains strong and continues to dominate the local market with strong brand equity and a reputation for quality. With GDP projected to grow by at least 1.5% in 2018, construction activity and the demand for coatings is expected to remain relatively strong for the next two to three years. Plans are already being implemented to expand the company’s local distribution and product range as well as to improve our level of customer service and responsiveness. In 2018, there will also be greater emphasis on building out exports by targeting new markets in Central America and the Greater CARICOM region.”
Palace Amusement continues to enjoy expanded interest from investors with the continued success of the movie Black Panther. After more than two months of showing it still has two showings per day in all three cinemas, but the attraction for the stock is much more than this movie.
Strong buying came in for Barita Investments at $9.50 during the week. JMMB Group gained more ground, as the block out period for insiders to trade in the stock closes and the stock moved up to $28.32, resistance is just over $31 an area investors should be on the lookout for in the short run.
At the close of Friday, the average PE ratio for Junior Market Top stocks ended at 6 compared to an average PE for the overall main market of 10 based on 2018 estimated earnings. The main market PE remains at 7 for the top stocks, compared to a market average of 12.7.
IC Insider.com’s TOP 10 stocks now trade at an average discount of 40 percent to the average for the Junior Market Top stocks but it’s a third of what the average PE for the year is likely to be of 20 times earnings and main market stocks traded at a discount of 42 percent to the market.

Big gains for JSE majors – Wednesday

Kingston Wharves jumped $5 to a record close at $45 on Wenesday.

There was just modest volume trading on the Jamaica Stock Exchange main market on Wednesday with the JSE All Jamaican Composite Index jumped 2,508.77 points to 322,941.94 and the JSE Index climbed 2,285.77 points to 294,236.60.
At the close, 24 securities traded, compared to 25 on Tuesday and ended with the prices of 16 stocks rising, 4 falling and 4 trading firm, in the main and US dollar markets.
At the close of trading Berger Paints jumped $1.02 to $19.22, Kingston Wharves jumped $4 to record closing high of $45, NCB Financial rose 98 cents to $05.99, PanJam Investment climbed $1.25 to $43, Scotia Group rose $1.03 to $52 and Seprod was up 99 cents to $34.
Main market activity ended with 4,971,238 units valued at $81,421,271 changing hands compared to 3,313,428 units valued at $132,584,977 on Tuesday. At the close of trading Carreras closed with the largest volume of 1,661,256 units, amounting to 33.42 percent of the overall volume traded, followed by Scotia Group with 647,818 shares or 13 percent of the volume traded and Radio Jamaica with 563,453 units or 11.33 percent of the day’s volume.
Trading resulted in an average of 216,141 units valued at an average of $3,540,055 for each security traded. In contrast to 138,060 units for an average of $5,524,374 on Tuesday. The average for the month to date is 897,409 shares with a value of $4,795,531 and previously 947,792 shares with a value of $4,897,207. In contrast, March closed with an average of 626,526 units with an average value at $20,492,207 for each security traded.
The US dollar market closed on Wednesday with Proven Investments finishing trading at 20 US cents after trading 30,955 shares for US$6,410. Trading ended with a rise of 3.31 points in the market index to 164.15 as the average price of Proven inched higher during the day.
IC bid-offer Indicator| At the end of trading, the Investor’s Choice bid-offer indicator reading shows 5 stocks ended with bids higher than their last selling prices and 2 with a lower offers.
For more details of market activities see – JSE main market trading climbs – Wednesday.

Modest gains for JSE majors – Tuesday

Carib Cinema, the flagship for Palace Amusement, the company’s stock climbed $29 on Tuesday.

There was just modest volume trading on the Jamaica Stock Exchange main market on Tuesday with the JSE All Jamaican Composite Index increased by 144.01 points to 320,433.17 and the JSE Index advanced by 131.21 points to 291,950.83.
At the close, 25 securities traded, compared to 28 on Monday and ended with the prices of 9 stocks rising, 11 falling and 5 trading firm, in the main and US dollar markets.
At the close of trading Palace Amusement jumped $29 to $780 and Seprod fell $2.39 to $33.01 as only two securities with major price movements.
Main market activity ended with 3,313,428 units valued at $132,584,977 compared to 2,407,626 units valued at $18,652,792 on Monday. At the close of trading, NCB Financial Group closed trading with 1,244,263 units accounting for 37.55 percent of the volume traded and Ciboney Group with 962,000 units and 29 percent of the day’s volume.
Trading resulted in an average of 138,060 shares valued at $5,524,374, for each security traded, compared to 89,171 shares valued at $690,844 on Monday. The average for the month to date is 947,792 shares with a value of $4,897,207 and previously 1,015,505 shares with a value of $4,839,315. In contrast, March closed with an average of 626,526 units with an average value at $20,492,207 for each security traded.
The US dollar market closed on Tuesday with Proven Investments finishing trading at 20 US cents after trading 4,206 shares for US$841. Trading ended with an unchanged market index of 162.84.
IC bid-offer Indicator| At the end of trading, the Investor’s Choice bid-offer indicator reading shows 89stocks ended with bids higher than their last selling prices and 4 with a lower offers.
For more details of market activities see – JSE main market trading climbs – Tuesday.