Major price changes for ICTOP10

July 22, 2023 by

The past week was one of contrast, with the Main Market rising and the Junior Market declining moderately, as the ICOP10 stocks recorded mixed results ranging from increases of 21 percent and losses of as much as 12 percent, at the same time, Transjamacian Highway that ended last week at $2.78, came under selling pressure on Friday and closed at $2.50 after reaching a record high of $2.88 on Monday and continues to a great buy, especially with the price pulling back.

Guardian Holdings jumped 21 percent during the week

For the week, 5 Junior Market TOP10 stocks declined and just two rose, while the Main Market ended with 5 rising and 4 declining. Image Plus closed at a record high on Friday and dropped out of the TOP10 along with Iron Rock Insurance. Everything Fresh and Elite Diagnostic replaced them, with the latter dropping to a record low of $1.55. There were no changes to the listing for the Main Market TOP10.
In the Junior Market, Image Plus having listed in January this year and never got the usual big IPO bounce, now seems to be just coming into its own, with a 20 percent jump to close the week at $2.50 after the price hit a record high of $2.60 on Friday and was followed by Caribbean Cream, up 10 percent to $4.49 as declining stocks dominated the week with iCreate dropping 12 percent to $1, followed by Dolla Financial shedding 9 percent to $2.08, with Dolphin Cove and OneonOne falling 8 percent to $15 and $1 respectively.
Guardian Holdings jumped 21 percent to $455, following changes in NCB Financial top management team, while Caribbean Producers rose 8 percent to $10.77, Sygnus Credit Investments fell 12 percent to $11.17 and Caribbean Cement slipped 9 percent to $50.03.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 6, well below the market average of 13.1. The Main Market TOP10 is projected to have an average of 256 percent, to May 2024, based on 2023 forecasted earnings.
The 14 most highly valued Main Market stocks representing 30 percent of the Main Market are priced at a PE of 15 to 98, with an average of 30 and 20 excluding the highest PE ratios, with a PE of 23 for the top half and 18 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.6 compared with the market at 11.1. There are 9 stocks representing 19 percent of the market, with PEs from 15 to 41, averaging 21 that are well above the average of the market. The top half of the market has an average PE of 16, possibly the lowest fair value for Junior Market stocks currently and projected to rise by 264 percent to May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the level of likely gains for ICTOP10 stocks.
Investors continue to nibble away at a number of stocks and gradually reducing the supply of several of them that are attractively priced as the market moves through the summer months, the start of the stock market year when new results will be coming to the market for investors to assess and determine what to do.
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, allowing investors to focus on the most undervalued 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 2024 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 and result 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , , ,

Transjamaican out of ICTOP10

July 16, 2023 by

With a continually rising price, Transjamacian Highway rose 11 percent during the week to $2.78, up 57 percent since added to the Market Watch list in April and dropped out of the TOP10 this past week, while Everything Fresh closed at $1.60 and dropped out of the Junior Market TOP10.

Transjamaican Highway Gained 57% since the end of April, with more gains to come.

The Main Market continues to struggle and closed at its lowest level since the end of August 2018 based on the All Jamaica Composite Index that is down 10.7 percent for the year to date, to be highly oversold. The Junior Market fell sharply on Friday as the market pulled back from the 4,000 mark level with a modest fall year to date thus reversing last week’s positive outcome.
The Junior Market is still up 10 percent since the low in March and is currently on a big bull run over the coming months, signalled by two indicators. The Main Market is likely bottoming after the traditional sell off in May before settling off in the early summer ahead of a rebound later. The action is now with the Junior Market with more potential for growth.
For the week, 6 stocks declined and only one rose on the Junior Market and the Main Market ended with two rising and seven declining, with Caribbean Cement coming into the Main Market TOP10 and Caribbean Assurance Brokers returning to the Junior Market TOP10.
In the Junior Market, iCreate dropped 12 percent to $1.14, followed by a 10 percent decline in Caribbean Cream to $4.07, before the company released first quarter results showing marked improvements in some critical areas that lead to increased profit. Dolla Financial shed 6 percent to $2.28 after posting improved Q2 results over 2022, with profit almost doubling to $105 million and the half year climbing 92 percent to $227 million. Image Plus fell 5 percent to $2.09 following first quarter results that showed profit falling from $88 million pretax to $64 million as revenues were up 6.8 percent to $300 million. Administrative costs climbed 29 percent to $117 million.
Everything Fresh remained at $1.60, but that was all it needed to drop out of the TOP10 as Caribbean Assurance Brokers slipped from $3.30 to close at $3.09 to return to the TOP10.
While Transjamaican was the highest mover in the Main Market with the most significant change during the week and had much more room to run, Guardian Holdings declined 10 percent to $377, while Caribbean Producers fell 9 percent to $10, with all other price changes being 3 percent or less.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 6, well below the market average of 13.2. The Main Market TOP10 is projected to have an average of 264 percent, by May 2024, based on 2023 forecasted earnings.
The 14 most highly valued Main Market stocks are priced at a PE of 15 to 110, with an average of 31 and 21 excluding the highest PE stocks, 23 for the top half and 18 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.6 compared with the market at 11.4. There are 11 stocks representing 23 percent of the market, with PEs from 15 to 44, averaging 20, well above the market’s average. The top half of the market has an average PE of 16, possibly the lowest fair value for Junior Market stocks currently, and projected to rise by 259 percent by May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
In the market generally, Investors continue to nibble away at a number of stocks and, in the process, gradually reducing the supply of several of them that are attractively priced as the market moves through the summer months, the start of the stock market year, when new results will be coming to the market for investors to assess and determine what to do.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely deliver the best returns up to the end of May 2024 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.

Filed Under: Buy Rated, Stock Market, Stocks to watch Tagged With: , , , , , , , , , , , , , , , , , , , , , , ,

Gains continue for ICTOP10

July 9, 2023 by

The Junior Market wiped all 2023 losses this past week, with the market index reclaiming the 4,000 mark for the first time since January and wiping out all of the 2023 losses recorded up to Thursday. The Main Market continues to struggle and has remained down 8 percent for the year to date.

Jamaica Broilers is now in at 3 on ICTOP10.

The Junior Market is now up 11.6 percent since the low in March and is on what will be a big bull ride over the coming months that is signalled by two indicators. The Main Market is likely bottoming after a traditional sell off in May before settling off in the early summer ahead of a rebound later. The action is now with the Junior Market with more potential for growth.
The Junior Market had 5 stocks for the week, each rising and falling. The Main Market ended with 3 rising and three declining, with the most significant change being a loss of 9 percent for JMMB Group to $30 and Berger Paints with a five percent fall being the biggest losers as all other changes were just one percent.
In the Junior Market, iCreate rose 18 percent to $1.30, Dolla Financial rallied 8 percent to $2.43, Everything Fresh popped 5 percent to $1.60, and Edufocal and Image Plus rose 3 percent. OneonOne slipped 10 percent to $1.10, while Iron Rock Insurance and Caribbean Cream fell 4 percent.
During the week whole, year results came out for Jamaica Broilers, with earnings of $4.43 including the write off of the Haitian operations, with revenues rising 23 percent but excluding the Haitian operations, earnings were $5.40 per share, with just over $7 projected by ICInsider.com for the current year, making it a compelling buy at current prices. The stock now sits at the number 3 position on the ICTOP10.
Dollar Financial reported second quarter profit after trading ended on Friday, showing a profit of $105 million compared with $59 million in the 2022 June quarter and $227 million for the six months to June versus $119 million in 2022. Earnings per share ended at 4 cents in the latest quarter and 9 cents year to date. The period shows a small amount set aside for expected credit losses, but the cash flow shows that only 75 percent of interest earned was paid during the period, down from 77 percent for the 2022 first half and 80 percent for the 2022 full year.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 6.1, well below the market average of 13.3. The Main Market TOP10 is projected to have an average of 252 percent, by May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 110, with an average of 29 and 20 excluding the highest PE stocks, 23 for the top half and 18 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.9 compared with the market at 11.4. There are 10 stocks representing 21 percent of the market, with PEs from 15 to 44, averaging 21, well above the market’s average. The top half of the market has an average PE of 16, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 240 percent by May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely deliver the best returns up to the end of May 2024 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , ,

Big gains for ICTOP10 stocks

July 3, 2023 by

Movement in the Junior Market this past week just about wiped out all of 2023 losses and resulted in most ICITOP10 stocks rising, with four recording double digit gains as the Junior Market consolidates around the 3,900 points level before breaking into the 4,000 points level. The Main Market enjoyed five out of 6 days of gains since the previous Friday and delivered four stocks with double digit gains.
Gains for the Junior Market this week occurred even as the price of Stationery and Office Supplies dropped $4.52 from $28 to $23.48 on Friday and former Caribbean Assurance Brokers ICTOP10 stock that fell out of the top tier the prior week pulled back in price to close at $3.30 from $4 as sellers offered stocks for sale below $4, with still more selling at the close of the week. History points to many investors buying into stocks after the split takes effect, usually at far higher prices than if they bought before, as such, it would not be surprising that investors will push the stock to a record valuation post-split. Accordingly, the stock now selling at a PE of 12.4 times current year’s earnings is a compelling buy at Friday’s price of $23.48.
The Junior Market ended the week with eight stocks rising and one declining, with Iron Rock Insurance the top stock, with a gain of 30 percent, followed by iCreate, up 21 percent to $1.10, and Caribbean Cream, up 18% to $4.70, but the company will be benefitting from lower input cost of some raw material, especially the price of milk solids that have fallen sharply by about 33 percent from peak prices last year March, Consolidated Bakeries popped 15% to end the week at $2.51, with very few stock offered for sale in the market at the close. The gains in Consolidated Bakeries propelled it out of the TOP10 and replaced by Edufocal, while OneonOne seems to be coming into its own with a rise of 9 percent to $1.22. In comparison, Dolphin Cove rose 6 percent to $16.90 but seems to have a seller with an undisclosed amount at that price. Dolla Financial is the only loser, with a decline of 4 percent to $2.25.
The Main Market had Caribbean Producers (CPJ) rising 15 percent to $10.95, JMMB Group climbing 14 percent to $33, with Berger Paints and Transjamaican gaining 11 percent each to close at $8.11 and a record close of $2.48, respectively. Guardian Holdings was the only declining stock, falling 7 percent to $420.
It is worth noting that Transjamaican US dollar denominated stock traded at 1.93 cents or almost $3 per share on Friday, putting well ahead of the local based issue at $2.48. The gap will close sooner or later, the question will the Jamaican dollar based stock move up to the $3 level or the US based one fall back to match the Jamaican dollar one. There is minimal selling in the US dollar market and much more in the Jamaican market.
CPJ sits at the number 10 position in the Main Market TOP 10, but it has a June year end, with the changeover to earnings per share for the 2023/4 fiscal year of $2.50 by August that will change the outlook for the price markedly above the current level, with the PE ratio at just 4.4.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 6.3, well below the market average of 13.7. The Main Market TOP10 is projected to have an average of 242 percent, to May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 110, with an average of 29 and 20 excluding the highest PE stocks, 24 for the top half and 19 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 11.7. There are 11 stocks representing 23 percent of the market, with PEs from 15 to 44, averaging 21, well above the market’s average. The top half of the market has an average PE of 17, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 245 percent to May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
In the market generally, Investors continue to nibble away at a number of stocks and, in the process, gradually reduce the supply of several stocks that are attractively priced as the market moves toward the summer months, the start of the stock market year.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely deliver the best returns up to the end of May 2024 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , ,

Carib Brokers gains 54% & drops ICTOP10

June 25, 2023 by

The Junior Market was buoyed by strong movement in shares of Stationery and Office Supplies following the announcement of a proposed stock split that turned out to be 9 for each outstanding share and following ICInsider.com report last week that the stock was a prime candidate for a stock split, the stock rated stock to watch in January, climbed 100 percent since the start of the year but pulled back on Friday following profit taking.
Elsewhere, Caribbean Assurance Brokers jumped 54 percent to close at $4 following the drying up of selling stocks being offered for sale. The stock dropped out of the ICTOP10 and is replaced by Dolla Financial. In the Main Market, Caribbean Cement dropped out of the TOP10 with a 3 percent rise to $50.90 and was replaced by Transjamaican following a fall in price from $2.39 to close the week at $2.24 after hitting a low for the week at $2.
The Junior Market reclaimed the 3,900 handle, following the reclaiming of the 3,800 at the end of the previous week and in the process is just one percent below the end of December last year and is close to retaking the 4,000 level, as technical indicators pointing to the market now at an early stage of a big rally in the second half of the year, following a 10 percent gain since the low for the year in March, suggesting a possible gain in excess of 30 percent for the year.
The Junior Market ended with 4 stocks rising and three declining during the week, with Caribbean Assurance Brokers the lead the stock, followed by One and One, that is up 8 percent to $1.12 and Caribbean Cream up 3% to $4, while iCreate dropped 24% to 91 cents and Consolidated Bakeries dropped 10% to end the week at $2.19. The Main Market had only moderate price movement with none exceeding 3%.
At the end of the week, the average PE for the JSE Main MarketTOP 10 is 5.8, well below the market average of 13.1. The Main Market TOP10 is projected to have an average of 253 percent, by May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 98, with an average of 28 and 19 excluding the highest PE stocks, 23 for the top half and 18 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 11.3. There are 11 stocks representing 23 percent of the market, with PEs from 15 to 44, averaging 20 that are well above the average of the market. The top half of the market has an average PE of 16, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 276 percent to May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the level of likely gains for ICTOP10 stocks.
In the market generally, Investors continue to nibble away at a number of stocks and in the process gradually reduce the supply of several stocks that are attractively priced as the market moves toward the summer months, the start of the stock market year.
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, allowing investors to focus on the most undervalued 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 and result 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , , ,

Kremi heads ICTOP10 after gaining 22%

June 19, 2023 by

The performance this past week in the Junior and the Main Market diverged significantly the Junior Market recorded gains in the week and put it back at early March levels this year while the main market declined further continuing negative performance since the beginning of June and is now back at August 2018 levels and is providing investors with a great opportunity to add some of these stocks to their early Christmas shopping at bargain prices.
The Junior Market has broken through the downward-sloping resistance line of the wedge. The Junior Market reclaimed the 3,800 handle last week and is close to retaking the 3,900 level shortly, with the market set for a big rally in the second half of the year a position supported by technical analysis of the market. The Main Market seems to be weighed down by concerns relating to inflation and interest rates, if so the reading is wrong as inflation is well under control and interest rates will start dropping before the year ends.
Against the background, the Junior Market recorded gains for six stocks during the week with iCreate jumping 26 percent to $1.20, Caribbean Cream moving up 22 percent to $3.89 and Edufocal putting on 6 percent to end the week at $1.89 hey worst performer was Iron Rock Insurance down 7 percent to $2 and General Accident fell 5 percent to $5, while One and One lost 3 percent to close the week at $1.04.
The Main Market had one price movement of note with Transjamaican rising 13 percent to close the week at $2.39. Declining are 138 Student Living down 11 percent to $4.60, Guardian Holdings, with a loss of 7 percent to $450.01 and Caribbean Producers lost 5 percent to end the week at $9.48.
Transjamaican moved out of the Main Market TOP10, with a gain of 27 percent since entering the TOP10 and 35 percent since it was added to Stocks to Watch at $1.77 in April, is replaced by Caribbean Cement, with projected earnings of $6.50 notwithstanding for the first quarter profit and in the Junior Market, Edufocal moved out while Everything Fresh returns after a brief absence to the TOP10 with the price having fallen to $1.50.
Transjamaican, although out of the top 10 has much more room to grow with the potential for an additional 200% increase in the stock price. A look at the order book for Transjamaican suggests that demand is likely to overwhelm supply over the next two to three weeks with a likely price target then of $3. Even then the potential dividend yield that could be 8 percent at that price could result in the price going higher.
Recent developments for some stocks – Lasco Distributors and Lasco Manufacturing increased dividends to 10 cents and 12 cents respectively, with both to be paid in July, while Stationery and Office Supplies hit a record high in the week at $24 but closed the week at $20 for a 17 percent gain for the year. The stock is now a prime candidate for a stock split. Earnings for Berger Paints were adjusted down to $1 per share for 2023.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.8, well below the market average of 13.1. The Main Market TOP10 is projected to have an average of 254 percent, to May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 98, with an average of 29 and 20 excluding the highest PE stocks, 23 for the top half and 18 excluding the stocks with the highest PEs.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 11.1. There are 11 stocks representing 23 percent of the market, with PE from 15 to 42, averaging 21 that are well above the average of the market. The top half of the market has an average PE of 16, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 270 percent to May 2024.
The divergence between the average PE ratio of the Main and Junior Markets and the overall market valuation is an important indicator of the level of likely gains for ICTOP10 stocks.
In the market generally, Investors continue to nibble away at a number of stocks and in the process gradually reducing the supply of several stocks that are attractively priced as the market moves toward the summer months, the start of the stock market year.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
ICTOP10 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 and result 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , ,

Kremi heads ICTOP10 as Lasd gains 19%

June 11, 2023 by

There was much activity in the Junior Market this past week, with the market index bouncing over the 3,800 mark for the first time since the middle of March, resulting in Caribbean Cream moving to $4.45 during the week but closed at $3.20 after traders pushed the stock down sharply on Friday, but Lasco Distributors shot to $3.31 and Lasco Manufacturing to $4.48 at the close with both moving out of the Junior Market ICTOP10.
Lasco Distributors and Lasco Manufacturing are still priced at less than 10 times 2023 fiscal year earnings when many others are priced over 15 times. Additionally, the company’s directors meet this week to consider dividends. Distributors is seemingly set to pay around 12 cents per share and Manufacturing 13 cents. With the dividend likely to be paid in July, the annual yield will equate to 42 percent and 35 percent, respectively, if the shares were acquired now. Replacing the two Lasco Companies are iCreate following a drop in the price to 95 cents and Edufocal closing at $1.78.
The Main Market TOP10 stocks remained the same as the week before, with the market struggling throughout the week, with four days of significant declines in the market index as selling pressure pushed prices down, resulting in just one stock, Transjamaican moving up in ICTOP10 with the largest gain of just 4 percent, with the stock hitting a record closing high of $2.11 on Friday. The chart shows it has the potential to gain another 200 percent. Berger Paints fell 9 percent to a 52 weeks’ low of $6.87, followed by JMMB Group with a loss of 4 percent to close at one year low of $28.75, Jamaica Broilers is down 3 percent to $35 and Scotia Group dipped 3 percent to $33.60 despite reporting increased profit for the first half of the 2023 fiscal year, with the second quarter almost doubling the similar quarter in 2022.
Lasco Distributors climbed 19 percent following an 11 percent rise last week to close at $3.31 and is up 59 percent from the 2023 low of $2.08 in April. Five stocks rose 6 percent: Caribbean Assurance Brokers, Dolphin Cove, General Accident, Consolidated Bakeries and Lasco Manufacturing, while One on One slipped 3 percent at the end of the week to be the biggest loser.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.7, well below the market average of 13.2. The Main Market TOP10 is projected to have an average of 265 percent, to May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 98, with an average of 30 and 20 excluding the highest PE stocks and 18 for the top half excluding the stocks with the highest valuation.
The Junior Market Top 10 PE sits at 5.3 compared with the market at 10.4. There are 10 stocks representing 21 percent of the market, with PEs from 15 to 25, averaging 19 are well above the market’s average. The top half of the market has an average PE of 15, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 283 percent to May 2024.
The differences between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely 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.

 

 

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Insurance companies head ICTOP10

May 29, 2023 by

The JSE Main Market gained more than 7,000 points in the past week, but the Junior Market just closed a few points north of the prior week’s close, resulting in sizable changes in both markets’ ICTOP10 as insurance companies head TOP10.
Elsewhere the only other news of note was the passing of the Chairman and majority owner of the Lasco companies, the addition of two new directors at ISP Finance and the Bank of Jamaica issue of $35 billion in 28 days CDS with investors offering to buy just $35.24 billion, BOJ took up less than the amount offered with $34.45 billion being sterilized the amount offered and moved the total amount of CDs outstanding to a record $111.45 billion up from $109 billion the week before. The average interest rate climbed back above 8 to 8.24 percent.
Investors are nibbling at stocks that seem to be the market signal being sent, with gains in some of the ICTOP10 listings. Notable amongst them are Caribbean Assurance Brokers with solid buying interest between $1.88 and $2.09 but limited selling above $2.50, Caribbean Producers (CPJ), Dolphin Cove Massey Holdings, Transjamaican, and Wisynco have started to look positive. Supplies of some stocks are being quietly sucked out of the market and setting the stage for a sustained rally sometime down the road. Investors should look to July as an important month that could trigger a change in mood as investors anticipate second quarter results.
Action in the markets this past week resulted in four ICTOP10 Junior Market stocks recording significant losses of 6 to 26 percent, with only 2 with 4 percent gains. Everything Fresh dropped out of the TOP10 and iCreate returns after a brief absence. Main Market stocks were mixed, with one noted loss and two gains of note.
Stocks rising in the ICTOP10 Junior Market are Everything Fresh and One on One, which increased 4 percent to $$1.72 and $1.15, respectively. Iron Rock Insurance dropped 26 percent to $1.85, Consolidated Bakeries shed 10 percent to $2.19, while Dolphin Cove and Lasco Distributors lost 6 percent to end at $15.50 and $2.50, respectively.
The price of Main Market listed Transjamaican rose 6 percent to close at $2.02, Caribbean Producers popped 5 percent in closing at $9.54 and Key Insurance fell 14 percent to $3.15.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.9, well below the market average of 13.5. The Main Market TOP10 is projected to have an average of 252 per cent, by May 2024, based on 2023 forecasted earnings.
The 15 most highly valued Main Market stocks are priced at a PE of 15 to 93, with an average of 29 and 19 excluding the highest PE stocks and 19 for the top half excluding the stocks with the highest valuation.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 10.9. There are 11 stocks representing 23 percent of the market, with PEs from 15 to 25, averaging 19, which is well above the market’s average. The top half of the market has an average PE of 15, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 265 percent to May 2024.
The differences between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , ,

CAB back atop ICTOP10

May 22, 2023 by

The ICTOP10 top performing stock for the previous week – Caribbean Assurance Brokers (CAB), was the biggest loser last week with a 15 percent decline and returns to the top of the listing as some selling came into the market, with most buyers remaining at the $2 or lower level with a pullback in prices of more Junior Market TOP10 stocks than those that rose.
Earning season delivered solid profit gains for several companies, but that did little to move prices substantially upwards, even as interest rates are softening. A few exceptions are CAB, Dolphin Cove, Consolidated Bakeries, Everything Fresh and earlier Image Plus and Tansjamaican Highway, which enjoyed increased buying interest that sent higher prices. Things have since cooled, as is the norm after most results were released in May, as investors await the critical second quarter number in late July into August before pulling the trigger.
Action in the markets this past week resulted in the ICTOP10 Junior Market stocks recording mostly losses with only a few winners. Main Market stocks recorded mostly wins, with few losses. Dolla Financial dropped out of the TOP10 with Everything Fresh moving back in.
Consolidated Bakeries jumped 20 percent to $2.44, followed by Iron Rock Insurance, which increased 9 percent to $2.50. Dolphin Cove climbed 8 percent to $16.44, helped by robust first quarter results, following an 88 percent increase in revenue to US$4.9 million over the first quarter in 2022, with profit after tax rising 97 percent to US$1.57 million from US$796,000 in 2022. Following CAB, the leading decliner, Image Plus, fell 7 percent to $2.04, while Edufocal and Dolla Financial lost 4 percent to end at $1.87 and $2.71, respectively.
The price of Main Market listed Sygnus Credit Investments gained 13 percent to finish at $13.04 and was followed by Key Insurance, up 7 percent to $3.65 and 138 Student Living with an increase of 5 percent to $5.67, while Caribbean Producers dropped 7 percent in closing at $9.05.
Interest rates on BOJ CDs and Treasury bills have declined in recent weeks below 8 percent, but the Bank of Jamaica held the overnight rate at 7 percent as they cite concerns about the implication of increased minimum wages and the usual agricultural price hikes in the summer months amongst other issues that could derail the reduced inflation rates in recent months. Although many stocks are severely undervalued, a real market bounce may be some time off and may not happen until BOJ starts reducing rates later in the year.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.9, well below the market average of 13.8. The Main Market TOP10 is projected to have an average of 250 percent, to May 2024, based on 2023 forecasted earnings.
The 15 highest valued Main Market stocks are priced at a PE of 15 to 115, with an average of 28 and 18 excluding the highest PE stocks and 18 for the top half excluding the stocks with the highest valuation.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 10.8 there are ten stocks or 21 percent of the market, with PEs from 15 to 24, averaging 19, well above the average of the market. The top half of the market has an average PE of 15, possibly the lowest fair value for Junior Market stocks currently. Junior Market is projected to rise by 250 percent to May 2024.
The differences between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
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, allowing investors to focus on the most undervalued stocks and helping to remove emotions in selecting stocks for investments that often result in costly mistakes.
IC TOP10 stocks will likely 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.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , , , , , , ,

Transjamaican in ICTOP10, CAB jumps 44%

May 13, 2023 by

The release of company results and some sharp price movements shook up the ICTOP10 listing this week, resulting in several changes in the top 10. Caribbean Assurance Brokers (CAB) topped the week, reporting record first quarter profit cheered by investors who pushed the price up by 44 percent to $2.88 and cleared the market of just about all supplies under $3. The stock sits in the number 7 spot, with potential for gains of 250 percent over the next twelve months.
CAB has been at the top of the TOP10 for several weeks going back to mid-March and now sits at the number 6 spot in spite of the substantial price gains, with ICInsider.com raising EPS to 50 cents from 45 cents. Taking over the number one spot is baker Consolidated Bakeries with Image Plus, that is in demand at number 2.
At the same time, ICInsider.com’s projection for Transjamaican Highway puts the stock into the Main Market TOP10 with projected earnings of 31 cents and a targeted price in the $6 region by early 2024 and replaces NCB Financial that got an earnings downgrade following the release of half year results showing earnings falling behind that for 2022, with a sharp fall in foreign exchange trading gains and increase loan loss provision.
Transjamaican headed the Market Watch list on April 29 this year. Then the price was at $1.77, with ICInsider.com indicating projected earnings of 24 cents per share and a short term price target of $2.40 and now the stock price is $1.85. The company released first quarter results on Friday, with profit of US$6 million.

Caribbean Assurance Brokers selling at a PE of just 7 based on historical earnings.

ICInsider.com has since adjusted earnings to 0.02 US cents per share or 31 Jamaican cents.
While the ICTOP10 Junior Market stocks had solid gains at the end of the week, the Main Market suffered several losses, with seven stocks declining.
Iron Rock Insurance jumped 22 percent to $2.29, Jamaican Teas rebounded from the previous week’s low by climbing 11 percent to $2.19 and dropped out of the TOP10 along with Everything Fresh having posted robust gains in revenues and profit for the March quarter, with investors welcoming the positive development by driving the stock up 14 percent to $1.89, with more to come. The company reported a profit of $35 million compared to just $7 million for the 2022 March quarter. IC Insider.com has since revised EPS for 2023, down to 25 cents from 30 cents previously, the combination of both of the above moves resulted in the stock moving out of the TOP10, but it still has more room for gains ahead. Lasco Distributors, one of the most undervalued stocks on the market, rose 4 percent to $2.68 but is trading at less than 6.4 times 2023 earnings of 42 cents per share and much lower based on earnings of 70 cents for fiscal 2024 has already started. After the March 2023 results are out, the EPS will switch over to the figure for 2024 and that would result in the stock holding the number 1 spot with likely gains above 400 percent. Image Plus rallied 4 percent to $2.20 and holds the number 3 spot on the TOP10.

Tropical Battery is the third stock to move out of the TOP10 with an earnings downgrade to 20 cents per share, following the release of half year results, showing a profit of $50 million, up from $30 million in the March quarter and from $87 million to $94 million for the half year. Dolla Financial, Edufocal and Dolphin Cove are this week’s new entrants to the Junior Market IC TOP10. Dolphin sits at the number 2 spot, with projected earnings of $3, following the 2022 full year results of 0.76 US cents or J$1.17 and will benefit from a sharp rebound in cruise ship arrivals, with the first 10 months last year being a fraction of what it was 2019 and the first quarter of 2020. This is in addition to increased stopover arrivals that will be greater than last year for a large part of the year.
The price of Main Market listed Key Insurance rose 8 percent to $3.40 to be the only stock of notable gains while Caribbean Producers dropped 8 percent in closing at $9.71, following release of nine months’ results that suggest that full year earnings from ongoing operations should end up around J$1.30 per share. Jamaica Broilers slipped 5 percent to $33.95 and Berger Paints fell 4 percent to $8.
Stocks are being prepped to rally, with signals that interest rates will be declining across the board sooner. Interest rates fell below eight percent on BOJ CDs and Treasury bills this past week, paving the way for a cut in the Bank of Jamaica overnight rate. That will provide more invigoration for the Jamaica stock market, with the Junior Market posting gains for a third consecutive week, even as the Main Market suffered another week of a mild decline.
The Junior Market’s long history of rising around a month before the release of quarterly results and declining shortly after results are released seems to be starting with a rise of 108 points in the market index in the previous week with more this past week, with the supply of some stocks continuing to fall sharply.
At the end of the week, the average PE for the JSE Main Market TOP 10 is 5.8, well below the market average of 13.5. The Main Market TOP10 is projected to have an average of 259 percent, by May 2024, based on 2023 forecasted earnings.
The 15 highest valued Main Market stocks are priced at a PE of 15 to 110, with an average of 27 and 19 excluding the highest PE stocks and 19 for the top half excluding the stocks with the highest valuation.
The Junior Market Top 10 PE sits at 5.8 compared with the market at 10.8. There are nine stocks, or 19 percent of the market, with PEs from 15 to 26, averaging 19 are well above the market’s average. The top half of the market has an average PE of 15, suggesting that this may currently be the lowest fair value for Junior Market stocks. Junior Market is projected to rise by 248 percent to May 2024.
The differences between the average PE ratio of the Main and Junior Markets and the overall market valuation are important indicators of the likely gains for ICTOP10 stocks.
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, allowing investors to focus on the most undervalued 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.

 

 

Filed Under: Buy Rated, Stock Market, Stocks to watch Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , ,