A realignment of pension portfolio following the merger of Sagicor Investments with Sagicor Group In placed pressure on the prices of some stocks as the pension fund disposed of shares to bring the portfolio in line with the pension requirement. The realignment was not completed at the end of trading IC Insider sources advised.
In trading on the Jamaica Stock Exchange the prices of a mere 3 stocks rose and 10 declined as 23 securities traded resulting in 8,747,969 shares trading valued at $91,511,864.
Main Market| Only 2 companies in the main market rose and 8 declined as the indices lost altitude for yet another day with the JSE Market Index inching fell by 925.16 points to 71,355.85 and the JSE All Jamaican Composite index erased 1,034.48 points to close at 78,497, this is the lower the index has reached since December 20 last year went it closed at 78,575.66.
Gains| Stocks recording gains at the end of trading in the main market are Barita Investments with 3,780 shares to close with a gain of a cent to end at $2.30 followed by Seprod with 98,565 units changing hands as the price closed with a 20 cents gain at $11.
Firm| There were only 5 stocks in the main market to close without a change in price with Berger Paints trading 65,394 shares as the price closed at $1.67, Grace Kennedy with 56,859 units and closed at $55, Jamaica Money Market Brokers 8.75% preference share 128,400 units to close at $3.03, Kingston Wharves 5,000 shares to close at $5 and Mayberry Investments with 66,992 units in closing at $1.71.
Declines| The number of stocks that declined in the main market are Cable & Wireless 62,277 shares while losing 4 cents to close at 35 cents, Carreras traded 1,329 units at $35.26 while losing 54 cents, Hardware & Lumber 20,000 shares to close down 20 cents at $10, Jamaica Broilers 1,486,786 units in closing at $4.70 for a 5 cents fall, National Commercial Bank 2,614,665 units to close down 56 cents at $17, Sagicor Group 3,508,391 as the price lost 30 cents to end at $9, Scotia Group with 95,460 shares with the price closing down by 30 cents at $19.30 and Scotia Investments 28,235 units to close at $23.10 with a 40 cents fall.
Junior Market| The JSE Junior Market Index declined by 0.74 points to close at 730.97 as 8 stocks traded with 1 advancing and 2 declining.
Gains| The only stock recording gain at the end of trading in the junior market is General Accident with 10,000 units to close at $1.50 with a 2 cents rise.
Firm Trades| 5 stocks in the junior market stocks that traded to close at the same price as the day before with Caribbean Producers exchanging 540 shares to close at $2.75, Consolidated Bakeries 301,953 shares to end at 80 cents, Knutsford Express Services 37,868 shares at $5.16, Lasco Financial Services 2,500 units to close at $1.15 and Paramount Trading 2,575 units to close at $2.68.
Declines| Stocks declining in the junior market at the end of trading are Caribbean Cream traded 100,000 units to close at 70 cents with a 3 cents fall and Lasco Manufacturing with 50,400 units lost 2 cents to close at $1.12.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 5 stocks with the bid higher than the last selling price and 6 stocks with offers that were lower.
BOJ intervention squeezes buying
Trading on the forex market did not match or come close to the levels of funds traded in the market on Thursday last week, the last day of the holiday shortened week. For Monday, dealers bought the equivalent of US$25,375,062 compared to US$72,581,952 on Thursday and sold the equivalent of only US$22,862,624 versus US$71,142,957 last week Thursday. In spite of the lower purchases all the spot rates fell against the local currency except for a one cent rise in the selling rate for the Canadian dollar. “Bank of Jamaica intervened in the market last week Thursday selling dealers all the forex funds they needed” IC Insider source indicated as to the reason for the big increase in trading on that day. The big amount bought on Thursday may be the reason why buying on Monday after the holiday was so low. The purchase on Monday was in contrast to nearly US$45 million bought on the previous Monday as well as the week before.
Dealers bought US$20,649,053 compared to US$68,621,498 bought on Thursday as the buying rate for the US dollar declined by 76 cents to $110.15 and sold US$19,573,771 versus US$67,344,895 on Thursday with the rate closing 2 cents lower to $111.17. The Canadian dollar buying rate fell 2 cents to end at $100.40 with dealers buying C$1,928,329 and selling C$1,600,232 with the rate rising by a cent to end at $101.97. The Pound closed at $184.25 for the purchase of £1,651,343 with the rate declining by 91 cents while £908,165 was sold with the rate declining by 87 cents to $186.96. Other currencies bought amounted to the equivalent of US$206,180 while selling accounted for the equivalent of $293,819.
Highs & Lows| The highest and the lowest buying rates for the US dollar and the highest selling rate remained unchanged at $111.70, $90.18 and $115.56 respectively but the lowest selling rate fell by $2.14 to $90.18.
The highest buying rate for the Canadian dollar lost 30 cents to $102.30, the lowest buying rate was unchanged at $80.43. The highest selling rate rose by 50 cents to $104.29 and the lowest selling rate fell $2.10 to $96.90.
The highest buying rate for the Pound fell 10 cents to $187.40 while the lowest buying rate rose by 29 cents to $149.44. The highest selling rate declined by 27 cents to $192.65 while the lowest selling rate fell $3.20 to $180.05.
Dolphin boost Profit 26% – Buy Rated
In a period when many junior market companies reported lower profits, the entertainment company Dolphin Cove enjoyed a robust 26 percent increase in profit in the first quarter of 2014 with profits after tax rising to $148 million an increase of $33 million compared to the 2013 March quarter from an 11 percent increase in revenues to $436 million over the 2013 first quarter amount of $394 million. While overall revenues climbed 11 percent it was the attractions that delivered increases with an 18 percent gain as the other main income source was flat with earnings of $149 million in both the 2013 and 2014 periods. Management indicated that their investment in sales and marketing helped to produce the favourable results. The revenue gains took place in the period that did not include the Easter holiday which fell in April this year compared with March last year.
Operating expenses for the quarter was held to 8 above the prior year although there was increased Expenses in sales and marketing and devaluation of the Jamaican dollar. There was a reduction in the direct cost of dolphin attractions due to savings in the rental costs as a result of the purchase of seven previously rented dolphins, offset by additional depreciation and interest cost.
The company would have benefited from the fall in the value of the local currency as its income is denominated in United States dollars but much of its cost is ion Jamaican dollars. But the end in not yet in sight for the fall of the local currency as the country will enter the low inflows and high demand period starting in September, Dolphin stands to further benefit from this movement with income increasing and local cost kept under control.
The company’s income is substantially reliant on developments in the tourism sector as it get the bulk of its income from overseas visitors.
IC Insider’s forecast for earnings is $1.20 per share for the current year which end in December, last year the company earned 82 cents and paid out almost 50 percent of profit as dividends.
Equity stood at $1.44 billion at the end of March with borrowed funds at only $316 million.
The company owns properties in the Turks & Caicos Island and St Lucia where it intends to operate its attractions when implemented and fully operational these should add to revenues and profit down the road.
CI 4G LTE network complete
Cable & Wireless Communications’ business in the Cayman Islands, which trades as Cable & Wireless Cayman, has completed the roll-out of its new 4G LTE network. This has resulted in higher capacity, and enhanced mobile data services.
The increased capacity has enabled new and better services to the Cayman customers such as video streaming, interactive TV and advanced games. Cable & Wireless Cayman customers in the Cayman Islands can now enjoy download speeds over five times faster than were available previously. This will enable Cable & Wireless Cayman customers to download a music track in three seconds or a film in 40 seconds.
A 4G LTE mobile data service will also complement users of the latest smartphones like the iPhone 5, which Cable & Wireless Cayman has the exclusive rights to provide in the Caribbean.
Since the upgrade took place, average data traffic on Cable & Wireless Cayman’s mobile network has increased by 68 times. Over the last 18 months there has been a significant increase in video, streamed TV and social networking usage.
The solution included the deployment of a new Evolved Packet Core (EPC) and new HSS (Home Subscriber Server), as well as new radio base stations for 4G/LTE.
Cable & Wireless Antigua & Barbuda, plans to launch fourth generation Long term Evolution (4G LTE) mobile data services having been awarded radio spectrum.
The new 4G LTE services will improve the mobile data services available to their customers. The speeds at which customers will be able to download online services and applications will increase by more than 50 times. Customers will be able to surf the web and stream music and video wherever they are, on any compatible mobile device.
Sagicor Group shares purchase
Sagicor Group advised the Jamaica Stock Exchange that an Executive purchased 1,061,291 shares under the Executive Long Term Incentive Scheme on May 22, 2014
A senior manager purchased 254,705 National Commercial Bank shares on May 9, 2014 and a director purchased 10,000 shares on April 25, 2014, the bank advised the Jamaica Stock Exchange while the exchange was also advised that a director purchased 574,651 Jamaica Broilers Group shares on March 28, 2014.
Declines more than gains
In Thursday’s trading on the Jamaica Stock Exchange the prices of 4 stocks rose, 6 declined and 14 traded remained unchanged as 24 securities traded resulting in 13,949,574 shares trading valued at $90,497,198.
Main Market| 4 companies in the main market advanced and 3 declined as the indices lost ground with the JSE Market Index inching fell by 571.31 points to 72,281.01 and the JSE All Jamaican Composite index lost 638.83 points to close at 79,531.48.
Gains| Stocks recording gains at the end of trading in the main market are Cable & Wireless trading 300,000 shares to close with a gain of 5 cents at 39, Jamaica Broilers 4,019,136 shares valued at $18,899,952 and closed 5 cents higher at $4.75, Scotia Group gained 2 cents to close at $19.60 with 139,656 shares changing hands and Seprod with only 1,000 units to close up 5 cents at $10.80.
Firm| There were 8 stocks in the main market to close without a change in price Berger Paints with 3,480 shares units in closing at $1.67, Caribbean Cement 1,133 shares with the price closing at $3, Carreras with 6,295 shares to close at $35.80, Jamaica Money Market Brokers 7.50% preference share, 347,829 units in closing at $2, Proven Investments 300 shares while closing at 18US cents, Radio Jamaica 7,025 units in closing at $1.29, Scotia Investments 665 shares to close at $23.50 and Supreme Ventures 45,900 units in closing at $2.
Declines| The number of stocks that declined in the main market are Jamaica Money Market Brokers with 167,634 shares to close at $7.10 while falling 11 cents, National Commercial Bank traded 38,099 units to end at $17.56 with 24 cents fall and Sagicor Group 5,351,670 units valued at $49,768,031 to close with a 20 cents fall to $9.30.
Junior Market| The JSE Junior Market Index declined by 4.79 points to close at 731.71 as 9 stocks traded with none advancing and 3 declining.
Firm Trades| The stocks in the junior market stocks that traded to close at the same price as the day before are Access Financial with 3,005 shares to close at $12, Caribbean Cream 50,000 units in closing at 73 cents, Caribbean Flavours 1,936 shares with the price ending at $2.50, Caribbean Producers only 1,072 units in closing at $2.75, Knutsford Express with 3,019,025 shares valued at $15,577,980 to close at $5.16 and Lasco Distributors with 7,504 units in closing at $1.40.
Declines| Stocks declining in the junior market at the end of trading are Consolidated Bakeries 289,710 units to close at 80 cents for a new 52 weeks low as the price slipped by 10 cents, Lasco Financial with 43,000 units to end at $1.15 with a 10 cents decline and Lasco Manufacturing with 104,500 units to close a cent down at $1.14.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 4 stocks with the bid higher than the last selling price and 3 stocks with offers that were lower.
US$72.6 million hits market
The Jamaican lost a small bit of ground against the US dollar on Thursday as US$72.6 million hit market with dealers buying the US dollars higher than on Wednesday and selling just less than the amount purchased for almost the same rate as the previous day. The Pound sterling rates were mixed as more pounds were purchased than sold but rates for the Canadian dollars rose even with more buying than selling. The market is closed on Friday for the Labour Day holiday.
Dealers bought US$68,621,498 compared to US$28,672,969 bought on Wednesday as the buying rate rose by 34 cents to $110.91 and they sold US$67,344,895 versus US$23,946,596 on Wednesday with the rate closing up a cent to $111.19.
The Canadian dollar buying rate rose 60 cents to end at $100.42 with dealers buying C$973,284 and selling C$885,222 with the rate rising by 44 cents to end at $101.96.
The Pound closed at $185.16 for the purchase of £1,333,514 with the rate declining by 83 cents while £1,298,352 was sold with the rate rising by 19 cents to $187.82.
Other currencies bought amounted to the equivalent of US$853,012 while selling accounted for the equivalent of $793,131.
Purchases of all currencies by dealers amounted to the equivalent of US$72,581,952 up from only US$33,892,702 on Wednesday and selling amounted to the equivalent of US$71,142,957 versus US$27,038,237 sold on Wednesday.
Highs & Lows| The highest buying rate for the US dollar fell 10 cents to $111.70 while the lowest buying rate at $90.18 and the highest selling rate at $115.56 remained unchanged but the lowest selling rate rose $2.14 to $92.32.
The highest buying rate for the Canadian dollar gained 60 cents to $102.60, the lowest buying rate fell 8 cents to $80.43. The highest selling rate declined by 27 cents to $103.79 and the lowest selling rate gained $2 to $99.
The highest buying rate for the Pound fell 80 cents to $187.50 while the lowest buying rate was unchanged at $149.15. The highest selling rate increased by $3.47 to $192.92 while the lowest selling rate was up $3.55 to $183.25.
Barita Trades 15m shares
Trading on the Jamaica Stock Exchange picked up on Wednesday as 29 securities traded and the level of trading increasing helped by 15 million units of Barita going through the market as Barita Investments brokered the one trade as a cross, on behalf of a client. The prices of 8 stocks rose and 9 declined resulting from 19,575,074 shares changing hands valued at $57,957,342.
Main Market| Only 3 companies in the main market advanced and 7 declined as the indices moved up with the JSE Market Index gaining 155.03 points to 72,852.32 and the JSE All Jamaican Composite index increasing 173.35 points to close at 80,170.31.
Gains| Stocks recording gains at the end of trading in the main market are Cable & Wireless in trading 38,081 shares to close with a one cent gain at 35 cents. Investors should a get a glimpse as to the performance of the local Cable & Wireless performance as CWC PLC is scheduled to release full year results on the 22nd of May at 9.30 AM British time. Carreras gained $1.05 to close at $35.80 with 10,018 units changing hands and Sagicor Group traded 974,350 in only two trades to close up 20 cents at $9.50.
Firm| There were 9 stocks in the main market to close without a change in price as Berger Paints with just 1,519 shares closed at $1.67, Gleaner traded 16,000 stock units and closed at $1.10, Jamaica Broilers 1,864 units and closed $4.70, Jamaica Money Market Brokers 7.50% preference shar, 28,000 units to close at $2 with the 8.75% preference share having 2,069,833 units changing hands at $3.03, Jamaica Producers 70,827 shares to close at $18.26, Mayberry Investments 6,018 shares and closed at $1.77 followed by Radio Jamaica with 7,800 units as the price closed at $1.29 and Sagicor Real Estate Fund with 342,142 shares to close at $6.60.
Declines| 7 stocks with plus one in the US dollar market declined on Wednesday in the main market with Barita Investments trading 15,000,000 shares while losing a cents to end at $2.29, Caribbean Cement with 297,600 units to close at $3 after falling by 30 cents as investors react negatively to the company’s recent disappointing March quarter results showing profit of only $35 million or just 4 cents per share, while sales volumes were up over the 2013 quarter. Jamaica Money Market Brokers traded 25,206 ordinary shares and closed down by 5 cents to $7.21, Margaritaville ordinary shares traded 1,700 units to end at US$0.115 for a .05 cents drop, National Commercial Bank price lost 20 cents in trading 27,722 units to close at $17.80, while Pan Jamaican Investment exchanged 7,680 shares to close at $48.05 while falling 5 cents, Salada Foods traded 2,400 units as the company is reporting a bad period of declining sales revenues and falling profits of $28 million for the half year to March versus $55 million in 2013, with the price dropping 10 cents to $7.80 and Scotia Group ended up with 28,057 units changing hands to close with a 12 cents loss at $19.58.
Junior Market| The JSE Junior Market Index advanced by 7.38 points to close at 736.50 as 9 stocks traded with 5 advancing and only one declining.
Gains| Stocks recording gains at the end of trading in the junior market are Access Financial with 9,000 units to close at $12, up 50 cents, Caribbean Producers with 244,816 units to close with a 2 cents gain at $2.75, Jamaican Teas 80,000 shares to close 5 cents higher at $3.50 followed by Lasco Financial with50,000 units to close at $1.25 for a gain of 10 cents and Lasco Manufacturing 147,016 shares to close a cent higher at $1.15.
Firm Trades| 3 stocks in the junior market stocks that traded to close at the same price as the day before Blue Power with 910 shares traded and closed at $9.10, Dolphin Cove 3,270 shares to close at $8.10 and Lasco Distributors 58,245 units as the price ended at $1.40.
Declines| There was just one stock declining in the junior market at the end of trading with Consolidated Bakeries trading 25,000 shares to close down 2 cents at 90 cents.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 4 stocks with the bid higher than the last selling price and 3 stocks with offers that were lower.
Declining stocks dominate trade
The Jamaica Stock Exchange continues to lose ground with more stocks falling than rising as the prices of only 5 stocks rose and 12 declined with 25 securities traded resulting in 2,034,342 shares trading valued at $8,897,265 but the junior market index rose although the two main market indices fell.
Main Market| Only 2 companies in the main market advanced at the end of trading and one from the US dollar market and 6 declined as the indices moved down with the JSE Market Index erasing 432.21 points to close at 72,697.29 and the JSE All Jamaican Composite index lost 483.28 points to close at 79,996.96.
Gains| Stocks recording gains at the end of trading in the main market are Cable & Wireless in trading 51,164 shares to close with a gain of 2 cents at 34 cents, Margaritaville gained 2 US cents to close at 12 US cents with 340 units changing hands for the first time since listing to close at a new high and Sagicor Group swapped 177,506 units 5 cents higher to end at $9.30.
Firm| There were 6 stocks in the main market to close without a change in price with Grace Kennedy trading 1,000 units and closed at $55, Jamaica Broilers 156,467 shares closing at $4.70, National Commercial Bank 25,550 shares to close at $18, Radio Jamaica 30,895 shares closing at $1.29, Sagicor Real Estate Fund 4,940 units in closing at $6.60, Scotia Group 109,624 shares to close at $19.70.
Declines| The number of stocks that declined in the main market are Caribbean Cement with 30,316 shares while losing 20 cents to end at $3.30, Carreras 11,000 shares to close at $34.75 with a $1.20 decline, Gleaner 74,821 stock units to close with a cent down at $1.10, Pan Jamaican Investment as it traded 15,486 shares to close at $48.10 with the price falling by 40 cents, Salada Foods down by 10 cents while trading 2,830 units at $7.90, Scotia Investments 10,635 shares to close at $23.50, a decline of $2 and Supreme Ventures 316,847 stock units to close with a loss of 10 cents to $2 for a new 52 weeks low.
Junior Market| The JSE Junior Market Index rose 3.56 points to close at 729.12 as only 9 stocks traded with 2 advancing and 2 declining.
Gains| Stocks recording gains at the end of trading in the junior market are Jamaican Teas with 49,530 units to close at $3.45 as the price rose by 24 cents and Lasco Financial Services traded 31,500 shares to close 5 cents higher at $1.15.
Firm Trades| The 2 stocks in the junior market stocks that traded to close at the same price as the day before are Caribbean Producers with 50,000 shares closing at $2.73 and Lasco Distributors with 222,054 units to close at $1.40.
Declines| Five stocks declined in the junior market at the end of trading are AMG Packaging in trading 5,000 units to close at $3.30, down 19 cents, for a 52 weeks low, Caribbean Flavours with 53,065 units to close with a 20 fall to $2.50, followed by Consolidated Bakeries 157,299 as the price declined by 18 cents in light of the reduced profits reported for the March quarter to end at 92 cents. The company saw profits fall 48 percent to $7.4 million in the March quarter from reduced gross profit margin in spite of a 14 percent rise in sales revenues to $197 million. General Accident 200,198 shares to close at $1.48 with a one cent fall and Lasco Manufacturing that is expected to report final results for the year to March by the end of May traded 246,275 units to close with a one cent loss at $1.14.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 5 stocks with the bid higher than the last selling price and 5 stocks with offers that were lower.
