If investors needed reminders, the stock market showed why severely undervalued stocks should be acquired early, as most investors don’t know when surprises will occur. The announcement this week that IC stock watch pick, Stationery and Office Supplies (SOS), a former ICTOP candidate, that their directors would meet to consider a dividend in August sent the stock to a record high of $19.29, but it closed the week at $15 up 155 percent for the year to date.
Stationery & Office Supplies hits a record high of $19.29 this week.
SOS was last in the TOP10 on the week starting June 13 at $11. It was number 12 on the ICTOP15 chart to start 2022 but climbed to the sixth position on January 11. The dividend to be considered in early August signals that record profit as shown in the first quarter results continues apace. Insider.com forecast is for earnings of $1.70 for the current year, with more to come in 2023. The forecast is for the stock to reach the $30 range by year end. But investors should also consider what a stock split that seems imminent could do to the price.
There were no changes to the TOP10 listings this past week, but there was much volatility in the Junior Market, with CAC 2000 and Jetcon Corporation dropping 13 percent to 8.50 and $1.16, respectively. Caribbean Cream fell 11 percent to $4.30, Dolphin Cove dipped 5 percent and Medical Disposables fell 4 percent to $6.80. The only stock with a rise worth mentioning is Caribbean Assurance Brokers, up 6 percent.
The Main Market enjoyed a better week than the Juniors with no significant declines, while Sterling Investments rose 5 percent to end at $2.88.
Investors should keep a careful watch on Dolphin Cove, Express Catering, General Accident, Jamaica Broilers, Lasco Distributors, Lasco Financial, Lasco Manufacturing, Stationery and Office Supplies and Paramount Trading, Dolphin Cove, Caribbean Producers, Express Catering will be significant beneficiaries of the strong rebound in tourist arrivals. The supply of General Accident has declined sharply over the past few weeks, but investors may be reluctant to lie into the stock ahead of the hurricane season.
The average PE for the JSE Main Market TOP 10 is 6.2, well below the market average of 13.7, while the Junior Market Top 10 PE sits at 5.9 versus the market at 12.8. The Junior Market and the Main Market TOP10 are projected to gain an average of 239 percent each to May 2023.
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 to highlight winners from the rest, allowing investors to focus on potential winning 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, resulting 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.
Investors mostly remained on the sidelines this past week, ahead of the release of the bulk of second quarter results, of which there were a few in the past week. Main Market VM Investments returns to the Top10 as Radio Jamaica dropped out with a price increase and a downward revision to projected earnings to 30 cents per share.
Investors should watch Dolphin Cove, Express Catering, General Accident, Jamaica Broilers, Lasco Distributors, Lasco Manufacturing and Stationery and Office Supplies. Dolphin Cove, Caribbean Producers, Express Catering will be significant beneficiaries of the strong rebound in tourist arrivals and the supply of General Accident has declined sharply over the past few weeks.
ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotions in selecting stocks that often result in costly mistakes.
Keep a careful watch on AMG Packaging, Dolphin Cove, Express Catering, General Accident Lasco Distributors, Lasco Manufacturing and Stationery and Office Supplies. Dolphin Cove, Caribbean Producers, Express Catering will be significant beneficiaries of the strong rebound in tourist arrivals and the supply of General Accident has declined sharply over the past few weeks.
ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotions from selecting stocks that often result in costly mistakes.
It is unclear why RJR, a stock that was previously under selling pressure, surprisingly, surged at the week’s close. Caribbean Cream came under pressure after the company reported a loss for the year to February. Investors will have to await the first quarter results in a few days to determine whether the new year will see a return to brighter days.
VM Investments moved out in the TOP10 Main Market and Key Insurance moved into the TOP 10.
The average PE for the JSE Main Market TOP 10 is 6.2, well below the market average of 15, while the Junior Market Top 10 PE is six versus the market at 12.9. The Junior Market TOP10 is projected to gain an average of 242 percent to May 2023 and the Main Market 229 percent.
Dolphin Cove is benefitting from cost reduction in its operations, but more importantly, the solid first quarter results occurred when tourism arrivals were only 63 percent of 2019 numbers. In the first two months of the June quarter, tourist arrivals are 95 percent of the 2019 period and this is bound to have a positive impact on pushing the second quarter numbers much higher than for the first quarter as well as for the balance of the year. A similar situation would apply to Caribbean Producers, a significant supplier to the hotel sector.
ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
Dolphin Cove and Stationery and Office Supplies dropped out of the Junior Market TOP10 and were replaced by CAC 2000, got an earnings upgrade to $1.32 after the company reported a profit of $47 million or 36 cents per share for the April quarter with the company reporting solid second quarter profit of $14 million for the six months to April from $8.7 in 2021 and Lasco Distributors.
ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
Dolphin Cove is benefitting from a resurgence in the tourism industry that is delivering increased revenues compared to 2021. The increased income and cost reduction contribute to a substantial profit increase that will carry over into the first half of 2023. It will enjoy increased revenues since the tourism recovery was not at full force in the first half of this year.
ICTOP10 focuses on likely yearly winners, accordingly, the list may or may not include the best companies in the market. ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
Jetcon Corporation price dipped to $1.32 and squeezed out General Accident from the Junior Market TOP10.
ICTOP10 focuses on likely yearly winners, accordingly, the list may or may not include the best companies in the market. ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
The shifting of Dolla Financial out of the TOP10 resulted in 
During the week, General Accident reported first quarter results with profit due to shareholders of the parent company rising 36 percent to $49 million, Friday after trading, Lasco Distributors reported profit increasing 12 percent for the full year to $1 billion but the final quarter being up 35 percent to $241 million and Lasco Manufacturing rising 45 percent in the March quarter to $522 million and the full year up 24 percent to $1.7 billion.ICInsider.com upgraded earnings for Lasco Distributors to 50 cents from 45 cents, but the others remain as previously stated. All three stocks are trading below ten times 2022 earnings and therefore have huge potential to appreciate.
Watch these stocks that sit just outside the TOP10 that investors should watch. They include Key Insurance, followed by Caribbean Producers and Scotia Group from the Main Market. In the Junior Market, Iron Rock Insurance, Dolphin Cove, Jetcon Corporation, Stationery and Office Supplies and Lasco Manufacturingreported strong fourth quarter results to March this year.
The other stock to climb into the ICTOP10 this week is Lasco Distributors, back in at the number 10 spot.
ICInsider.com ranks stocks based on projected earnings to highlight winners from the rest, allowing investors to focus on potential winning stocks and helping to remove emotional attachments to stocks that often result in costly mistakes.
