The All Jamaica and the Junior Market indices closed the week higher than the previous week but with the Junior Market trading at its lowest since early June this year. The Main Market index which includes overseas companies, slipped back during the week. Stocks measured by the All Jamaica Index recorded gains of 4,565 points from the end of October in the past week and traded at a near two months high and have been flashing bullish signals with a sharp breakout looking very likely.
Some positives are visible in the market, with a sharp decline in the volume of some stocks being sold. Scotia Group is one such stock, as it approaches the release of full year results and an announcement on dividends, but buying interest is currently low keyed. The stock trades at an extremely low PE of 5.7 times projected 2023 earnings. AMG Packaging trades at 6.5 times 2024 earnings with a very limited supply of stocks on offer.
Even as the Main Market index rose in the past week, winners were hard to find the Main Market ICTOP10, with the highest riser up just 3 percent as Key Insurance dropped 20 percent to $2, followed by Palace Amusement down 14 percent to $1.12 and Sygnus Credit Investments declining 7 percent to $11.11.
The Junior Market has 6 stocks gaining, with Iron Rock Insurance jumping 20 percent to $2.65, Express Catering rallying 7 percent to $4 and AMG Packaging rising 4 percent to $2.59 while Caribbean Creamfell 16 percent to $3.10.
There was just one new addition to the ICTOP10 with a listing for the Junior Market with Access Financial dropping out of the list and replaced by Honey Bun, with projected earnings per share of 70 cents for the fiscal year ended September and $1 for 2024.
Indications of where stock prices could be by May 2024 can be seen from stocks with the highest values in the Main and Junior Markets.
The average PE for the JSE Main Market ICTOP 10 stands at 5, well below the market average of 12.9. The Main Market ICTOP10 is projected to gain an average of 302 percent by May 2024, based on 2023 forecasted earnings and now provides better values than the Junior Market.
In the Main Market ICTOP 10, a total of 15 of the most highly valued stocks representing 31 percent of the Main Market are priced at a PE of 15 to 108, with an average of 29 and 19 excluding the highest PE ratios, and a PE of 23 for the top half and 20 excluding the stocks with overweight values.
The PE of the Junior Market TOP10 sits at 6.9, over half of the market, with an average of 13.1. There are 15 stocks, or 30 percent of the market, with PEs from 15 to 49, averaging 20 that are well above the market’s average. The top half of the market has an average PE of 18, possibly the lowest fair value for Junior Market stocks currently, with the market projected to rise by 200 percent on or around May 2024.
Of import is that the averages of both markets are now converging around a PE of 20 for close to a third of the market, as the year is coming to a close and with more information available on the full year’s earnings.
ICTOP10 focuses on likely yearly winners, accordingly, the list includes some of the best companies in the market, but this is not always so. 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 on or around 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.
Trading slipped to a mere 6,383,376 shares being exchanged for just $32,170,003 down from 16,736,165 units at $57,402,800 on Thursday.
Investor’s Choice bid-offer indicator shows nine stocks ended with bids higher than their last selling prices and six with lower offers.
Proven Investments shed $1.48 to end at $22.01 in an exchange of 15,848 shares, Sagicor Group popped 95 cents in closing at $41.95 with traders dealing in 175,260 units, Scotia Group gained $1.14 and ended at $33.99 after an exchange of 5,240 stocks. Seprod dipped $3.89 to $74, with 27,420 stock units crossing the market, Supreme Ventures rose 49 cents in closing at $26.99 in switching ownership of 11,913 shares and Sygnus Credit Investments fell 64 cents to end at $11.11 after exchanging 20,349 units.
Jamaica Public Service 7% shed $1 to close at $45, with 198 stocks clearing the market and JMMB Group 7% preference share lost 36 cents and ended at $2.04 with a transfer of 3,435 stock units.
Overall, 37,877 shares were traded, for US$2,504 compared with 826,627 units at US$14,407 on Thursday. Trading on Friday averaged 6,313 units at US$417, versus 165,325 shares at US$2,881 on Thursday down from November with an average of 249,102 units for US$14,204.
Sterling Investments ended at 1.6 US cents after trading 12,626 shares and Transjamaican Highway popped 0.02 of a cent to end trading at 1.71 US cents with stakeholders exchanging 21,144 units.
Trading ended after 16,736,165 shares were traded for $57,402,800 compared to 9,982,907 units at $279,360,313 on Wednesday.
The All Jamaican Composite Index jumped 2,968.81 points to 349,935.85, the JSE Main Index climbed 1,982.67 points to conclude trading at 315,147.63 and the JSE Financial Index rose 0.40 points to end trading at 68.40.
Kingston Wharves climbed $1.95 to end at $28.45 after an exchange of 505 shares, Margaritaville dipped 40 cents to $17 after 25 stocks were traded. Massy Holdings rose $1.40 to end at $90 with an exchange of 1,574 units, NCB Financial advanced $1.20 in closing at $69.20 with, 38,317 stock units changing hands, 138 Student Living shed 31 cents to close at $3.91 in trading 12,055 shares. Pan Jamaica popped $3.75 and ended at $49, with 64,091 stock units crossing the exchange, Proven Investments gained 99 cents to close at $23.49 after a transfer of 873 stocks, Seprod rallied $5.79 and ended at $77.89 while exchanging 60,013 units. Supreme Ventures popped 50 cents in closing at $26.50, as 120,308 stocks passed through the market and Wisynco Group rallied 31 cents to close at $20 as investors exchanged 327,965 shares.
In the preference segment, 138 Student Living preference share rose 51 cents to end at $107, with 10,581 stock units clearing the market.
Investors exchanged 176,605 shares for $1,382,075 up from 127,356 stock units at $650,155 on Wednesday.
First Citizens Group fell 1 cent to $49.10 with investors trading 2,766 stocks, FirstCaribbean International Bank ended at $7 after an exchange of 14,148 shares, GraceKennedy shed 5 cents to $4 with investors swapping 13,581 units. Guardian Holdings declined 80 cents to end at $18.10 in trading 1,152 stocks, Guardian Media lost 19 cents and closed at $2.01, with 652 stock units crossing the market, JMMB Group skidded 1 cent to close at a 52 weeks’ low of $1.34 with an exchange of 16,754 shares. L.J. Williams B share ended at $2.26 after investors traded 5 stock units, Massy Holdings rallied 1 cent to $4.45 after an exchange of 62,849 units, National Enterprises rose 1 cent in closing at $3.55, with 631 stocks crossing the market. National Flour Mills dipped 20 cents to end at $1.52 as investors exchanged 4,652 units, 
NCB Financial rose 15 cents to $3, with 8,617 stocks changing hands, Republic Financial remained at $120 in an exchange of 1,874 shares. Scotiabank ended at $69.90 with traders dealing in 3,998 stock units, Trinidad & Tobago NGL ended at $10.54 while exchanging 315 shares, Trinidad Cement dropped 14 cents to $2.86 in switching ownership of 40,568 units. Unilever Caribbean shed 16 cents to close at $11.29 with investors exchanging 10 stocks and West Indian Tobacco popped 25 cents and ended at $9.25 with a transfer of 2,900 stock units.
Overall, 9,982,907 shares were traded at $279,360,313 compared with 5,126,354 units at $42,703,699 on Tuesday.
the JSE Main Index gained 939.00 points to close at 313,164.96 and the JSE Financial Index advanced 0.70 points to 68.00.
Kingston Properties rose 49 cents to $7.49 after investors exchanged 63,164 units. Kingston Wharves declined $1.95 to close at $26.50 with stakeholders exchanging 2,398 stocks, NCB Financial gained $1 to end at $68 in trading 20,469 stock units, Pan Jamaica lost $4.30 in closing at $45.25, with 3,329 shares crossing the market. Proven Investments skidded $2.54 and ended at $22.50 after an exchange of 200 stocks, Seprod fell $3.23 to $72.10 in switching ownership of 1,243 units and Supreme Ventures dropped 50 cents to close at $26 as investors exchanged 151,520 stock units.
In the preference segment, Eppley 7.50% preference share rose 70 cents and ended at $6.20 after 87 shares crossed the market and 138 Student Living preference share rallied $17.21 to close at $106.49 after an exchange of 39 stocks.
Investors traded 127,356 shares for $650,155, down sharply from 394,964 stocks at $12,948,709 on Tuesday.
At the close, Agostini’s rallied 50 cents to close at $68, with 15 stock units passing through the market, Angostura Holdings skidded 64 cents to $21.50 in an exchange of 276 units, Ansa McAl fell $3 to $54 after 92 shares passed through the market. Endeavour Holdings ended at $15 after investors traded 10 stocks, First Citizens Group ended at $49.11 after 1,760 shares were exchanged, FirstCaribbean International Bank closed at $7 after 930 stocks were traded. GraceKennedy popped 15 cents to end at $4.05 with an exchange of 34,757 stock units, Guardian Media advanced 19 cents in closing at $2.20, with 20stock units crossing the market, JMMB Group remained at $1.35 in an exchange of 1,299 shares. L.J. Williams B share remained at $2.26 with investors dealing in 970 stocks, Massy Holdings rose 1 cent to $4.44 after a transfer of 8,005 units, National Enterprises dipped 1 cent to close at $3.54 in trading 67,451 stock units. 
NCB Financial ended at $2.85 after an exchange of 5,313 shares, One Caribbean Media gained 1 cent and ended at $3.53 with shareholders swapping 400 stock units, Point Lisas lost 4 cents and ended at $3.56 in switching ownership of 10 stocks. Prestige Holdings declined 50 cents to $10, with an exchange of 407 units, Republic Financial shed $1 in closing at $120 with traders dealing in 530 stocks, Scotiabank dipped 10 cents to $69.90 after an exchange of 166 units. Trinidad Cement increased 5 cents and ended at $3 with investors transferring 3,000 shares and Unilever Caribbean ended at $11.45, with 1,945 stock units changing hands.
A total of 5,126,354 shares were traded for $42,703,699 compared with 6,629,759 units at $37,460,689 on Monday.
The Main Market ended trading with an average PE Ratio of 13. The JSE Main and USD Market PE ratios are based on the last traded prices and earnings forecasts by ICInsider.com for companies with the financial year ending around August 2024.
Mayberry Investments increased 30 cents to close at $8.10 with, 4 stocks changing hands, NCB Financial dipped $2.20 and ended at $67 after trading ended with 40,436 units changing hands. Pan Jamaica fell 45 cents to end at $49.55 and closed with 2,455 shares passing through the market, Proven Investments advanced $1.44 in closing at $25.04 with shareholders swapping 9,459 stock units, Pulse Investments rallied 38 cents to $2.29, with 22,000 stocks crossing the exchange. Seprod dropped 67 cents and ended at $75.33 with traders dealing in 9,108 units, Sygnus Credit Investments skidded 47 cents to close at $11.55 in an exchange of 23,259 stocks and Wisynco Group rose 49 cents to end at $19.70 as 9,255 shares passed through the market.
In the preference segment, Eppley 7.50% preference share fell 90 cents to $5.50 with investors transferring 205 stock units and Productive Business Solutions 9.75% preference share dropped $12 to end at $100 in an exchange of 25 shares.
Investors exchanged 394,964 shares for $12,948,709 versus 1,547,366 stock units at $7,748,550 on Monday.
At the close, Agostini’s ended at $67.50 in an exchange of 2 stock units, Angostura Holdings dipped 1 cent to $22.14 with traders dealing in 5,000 shares, Calypso Macro Investment Fund lost 4 cents to close at $22.76 in switching ownership of 45 stock units. Endeavour Holdings remained at $15, with 6 units crossing the market, First Citizens Group popped 1 cent to $49.11 with a transfer of 8,346 shares, FirstCaribbean International Bank ended at $7 after 70 units changed hands. GraceKennedy rose 5 cents to close at $3.90, with 23,398 stocks changing hands, Guardian Holdings rallied 40 cents in closing at $18.90 with investors transferring 11,950 stock units, JMMB Group ended at $1.35 after trading 40,732 shares. L.J. Williams B share rose 21 cents and ended at $2.26 after an exchange of 31 units, Massy Holdings dipped 2 cents to $4.43 with investors dealing in 192,809 stocks, National Enterprises ended at $3.55 after an exchange of 592 stock units. 
NCB Financial remained at $2.85, with 630 shares crossing the market, Prestige Holdings shed 50 cents in closing at $10.50 in trading 740 stock units, Republic Financial popped $1 to end at $121, with 91,964 stocks crossing the exchange. Scotiabank remained at $70 after investors ended trading 349 units, Trinidad & Tobago NGL declined 6 cents to a 52 weeks’ low of $10.54 after an exchange of 2,576 stocks, Trinidad Cement advanced 5 cents to end at $2.95, with 10,000 units clearing the market. Unilever Caribbean fell 3 cents to close at $11.45 with shareholders swapping 438 shares and West Indian Tobacco skidded 25 cents and ended at a 52 weeks’ low of $9 after a transfer of 5,286 stock units.
For the half year, profit jumped 76 percent to $234 million as loan granted borrowers rose almost $600 million to $5.36 billion from $4.76 billion in September 2022 and the same amount since March this year. The company had more than $760 million available to lend plus cash flows from profit that should pushed lending up around 25 percent year over year and helped to swell profits for the year substantially above the six months levels.
Of great import is that the averages of both markets are now converging around a PE of 20 for close to a third of the market, as the year is coming to a close and with more information available on full year’s earnings.
