Equity Research Articles
PanJam Investment Limited (PJAM) - Analysis & Recommendation - July 2019
PanJam Investment Limited (PJAM) is incorporated and domiciled in Jamaica, with registered office at 60 Knutsford Boulevard. Its primary activities are holding investments and controlling the operations of subsidiaries. PJAM’s subsidiaries and associated companies operate in several market segments, including Property Management & Development, Investment Management, Life Insurance, Office Rental, Hotel Management and Captive Insurance...Read More
Jamaica Stock Exchange Limited - Analysis & Recommendation - June 2019
The Jamaica Stock Exchange Limited (JSE) is incorporated in Jamaica and has its registered office at 40 Harbour Street Kingston. The JSE’s main activities are the regulation of the operations of the Stock Exchange in Jamaica, and it operates a platform that allows participants to execute transactions efficiently. JSE has a wholly-owned subsidiary, the Jamaica Central Securities Depository Limited (JCSD). The JCSD, in turn, has a subsidiary JCSD Trustee Services, which as the name implies provides trustee custodianship and related services...Read More
Express Catering Limited - Analysis & Recommendation - June 2019
Express Catering Limited was formed in 2001 to carry out food & beverage operations at the Sangster International Airport in Montego Bay. The Company operates international and local brands such as: Quiznos; Dairy Queen; Domino’s Pizza; Wendy’s; Cinnabon; and Starbucks.
Express Catering reported revenues of $12.11M for the period ended Feb. 28, 2018, a 7.4% increase year-over-year. However, operating profits amounted to $2.81M, up just 0.5% year-over-year due to erosion in operating margins from the previous year’s results. Net profit for the period amounted to $2.55M, up 0.9% year-over-year, up just $23.88K....Read More
Barita Investments Limited (BIL) - Analysis & Recommendation - June 2019
Incorporated in September 1977, Barita’s primary business activities are Equities and Fixed Income Trading, Foreign Currency Trading, Wealth Management, Investment Research, and Unitized Portfolio Management. BIL reported net operating revenues of $1.16B for the first half of the 2018/19FY, a 137.4% or $673.6M increase year-over-year. As a result, BIL reported a 485.3% or $580.47M increase in pre-tax profits, which amounted to $700.07M. BIL reported net profits of $516.71M, a 946.7% or $467.34M increase year-on-year. The performance led to a sharp improvement in the net profit margin, which moved from 10.1% to 44.4%...Read More
Jetcon Corporation Limited (JETCON) - Analysis & Recommendation - April 2019
Jetcon Corporation Limited (JETCON) is domiciled in Jamaica and has its registered offices at 2 Sandringham Avenue Kingston 10 Jamaica. Effective March 24, 2016 JETCON was listed on the Junior Market of the Jamaica Stock Exchange and on June 22, 2017 JETCON completed a 3 for 1 stock split. The main activities of JETCON is the importation and sale of motor vehicles, motor vehicle parts and the servicing of vehicles...Read More
Wigton Windfarm Limited - Analysis & Recommendation - April 2019
The Petroleum Corporation of Jamaica (PCJ) is inviting prospective investors to apply for 11,000,000,000 shares in the capital of Wigton Windfarm Limited (WWF) at a price of $0.50 per share, as it seeks to sell 100% of its shareholdings. Of this number, 2,200,000,000 shares are reserved for public sector workers. The PCJ, under the direction of the Jamaican Government is undertaking this Offer for Sale by listing on the Jamaica Stock Exchange to: widen the ownership base of the Company; allow direct equity participation in the economy by encouraging local ownership; and provide funds for PCJ....Read More
Victoria Mutual Investments Limited (VMIL) - Analysis & Recommendation - April 2019
Victoria Mutual Investments Limited (VMIL) was incorporated in 1984. The company has a wholly-owned subsidiary Victoria Mutual Wealth Management Limited (VMWM), which was established in 1994. The primary activities of VMWM are investment brokering, advisory services and money market dealing. Meanwhile VMIL offers margin loans, insurance premium financing, lease financing, underwriting services and corporate loans. VMIL was listed on the Jamaica Stock Exchange on December 29, 2017. VMIL has undergone...Read More
Supreme Ventures Limited (SVL) - Analysis & Recommendation - March 2019
Supreme Ventures is a leading lottery and gaming provider in the Caribbean, with a diverse portfolio of lottery products. The Company focuses on utilizing the technology of its platforms and extensive retailer network to provide non-lottery commercial services to the market. SVL’s business segments include Lottery – which includes the Top Draw, Money Time, Pick 3, Cash Pot, Lotto and Super Lotto Games; Sports Betting – which includes the JustBet brand that offers wagers on international sporting events; Gaming and hospitality – which offers Video Lottery Terminal (VLT) games at gaming lounges and food and beverage operations; Pin Codes – which sells phone pin codes through the agent’s network; Horseracing – which consists of the operations of Caymanas Track Limited; and Other – which covers all other income....Read More
Paramount Trading (Jamaica) Limited (PTL) - Analysis & Recommendation - March 2019
Paramount Trading (Jamaica) Limited (PTL) is seeking to raise J$300 million via the issuance of 8.75% fixed cumulative redeemable preference shares due in 2021. PTL will issue 150 million preference shares at $2.00 each. The dividends are payable on the last business day of each month beginning on April 30, 2019. The offer opens on March 28, 2019 and closes on April 4, 2019....Read More
GWest Corporation Limited (GWEST) - Analysis & Recommendation - March 2019
GWest Corporation Limited (GWEST) is a limited liability company, founded in 2007. Its primary activities are the development of commercial properties and the provision of healthcare services. GWEST listed on the Junior Market on December 21, 2017 and the registered office of the company is lot 6 Crane Boulevard, Fairview, Montego Bay, St. James. The company has sold/leased 80% of GWest Centre to complementary health and medical facilities....Read More
Caribbean Producers Jamaica Limited (CPJ) - Analysis & Recommendation - March 2019
Caribbean Producers (Jamaica) Limited (CPJ) was founded in April 1994 by Mark Hart and Thomas Tyler as a distributor selling consumable products to the hospitality industry. CPJ's registered office is at Shop No. 14 Montego Freeport Shopping Centre, Montego Bay, and St. James. The company is currently a distributor of food, non-food, beverages, wine & spirits, a manufacturer of meats & juices. CPJ listed on the Junior Market on July 20, 2011. As of March 18, 2018 CPJ holds 100% of the issued shares of CPJ Investments Limited (CPJIL). The primary activity of CPJIL is the holding of 51% investment in CPJ (St. Lucia) Limited, whose primary business is the wholesaling and distribution of non-food supplies...Read More
GraceKennedy Limited (GK) Limited - Analysis & Recommendation - March 2019
GraceKennedy Limited (GK) Limited was founded on February 14, 1922 and is listed on both the Jamaica Stock Exchange and the Trinidad & Tobago Stock Exchange. GK is constructed into two primary areas Food Trading and Financial Services. The company is further divided into four segments Food Trading, Banking & Investments, Insurance and Money Services. For the nine months ended September 2018, Food Trading constitutes the majority of revenue $58.54 billion or 79.29%. However, the Money Services segment is the most significant contributor to pre-tax profits $2.37 billion or 46.58% for the same period....Read More
Caribbean Cement Company Limited - Analysis & Recommendation - February 2019
Caribbean Cement Company (CCC) began operations in 1952 and is a member of the TCL Group, with CEMEX S.A.B de C.V being its ultimate parent. The main activities of CCC and its subsidiaries are the manufacture and sale of cement, clinker and the mining and sale of gypsum, shale and pozzolan. CCC is the sole manufacturer of Portland and blended cement in Jamaica with its central plant located at Rockfort, Kingston.
For the 9-months ended September 30, 2018 revenue increased by $1.17 billion to $13.44 billion while profits slipped 27.62% to $1.31 billion. The primary reasons for the decline in profits are increased depreciation of more than $400 million and net finance cost of more than $1.08 billion. Both expense increases were due to the acquisition of Kiln 5 and Mill 5 in April 2018...Read More
Lasco Manufacturing - Analysis & Recommendation - February 2019
LASM was incorporated in October 1994 and is a member of the LASCO Affiliated Companies and listed on the Junior Market on October 12, 2010. Lasco Manufacturing Limited (LASM) is domiciled in Jamaica with its registered office at 27 Red Hills Road Kingston 10 but, it operates from White Marl St. Catherine. LASM’s range of products created at its dry plant includes LASCO Food Drink, LaSoy Lactose-Free, Porridge Mix, Enriched Milk Powder, Readi Milk and Nutrify. Meanwhile, the liquid plant began operations in July 2014 and its portfolio includes iCool Juice Drinks, iCool Water, iCool Flavoured Water, iDrade, Lyrix and Konka.
For its FY 2019 profits tumbled by $146.70 million or 20.74% to $560.56 million. Meanwhile over that same period revenue fell $291.74 million or 4.20% to $6.95 billion. However, the company is off to a good start in the first half of FY 2019. For the six months...Read More
NCB Financial Group - Analysis & Recommendation - February 2019
NCB Financial Group Limited (NCBFG) is the most profitable listed entity in Jamaica, reporting record FY 2018 profits attributable to NCBFG shareholders of $27.96 billion. NCBFG is incorporated and domiciled in Jamaica, it is 53.02% owned by AIC (Barbados) Limited. The ultimate parent company of AIC is Portland Holdings Inc., incorporated in Canada. Portland Holdings Inc. is controlled by Hon. Michael A. Lee-Chin, OJ, and Chairman of NCBFG. NCBFG currently has operations in Jamaica, Cayman Islands, Trinidad and Tobago, Barbados and Bermuda and the United Kingdom.
The NCB Group has several subsidiaries including National Commercial Bank (NCBJ), NCB Capital Markets Limited, NCB Insurance Company Limited and Advantage General Insurance Company Limited. In May 2016 NCBFG acquired a 29.99% interest in Guardian Holdings Limited (GHL); also in Q4-2018 NCBFG reduced its stake in JMMB Group Limited from 26.30% to 20.01%... Read More
Blue Power - Analysis & Recommendation - January 2019
Blue Power Group Limited (BPOW) is located at 4 Victoria Avenue, Kingston CSO. BPOW was listed on the Junior Market of the Jamaica Stock Exchange on April 22, 2010. BPOW’s main pursuits are the production and sale of soap (laundry and beauty) and the sale of lumber, hardware supplies and related products. The soap segment has been the most significant contributor to operating profit since FY 2014. In Q2 2019 $14.21 million in operating profit was earned from the lumber division versus $24.94 million from the soap division. BPOW has significant exposure to... Read More
Scotia Group Limited - Analysis & Recommendation - January 2019
Scotia Group Jamaica (SGJ) reported net income of $12.77 billion for the FY 2018 ended October 2018, which represented a 2.93% increase over the comparable period last year. The marginal rise in profits was assisted by a surge in net gain on foreign currency activities and the sale of Credi-Scotia for a gain of $753.15 million. In Q4 ended October 2018 profits fell 52.80% or $1.81 billion to $1.61 billion over the comparable period last year. SGJ faced these declines due to a reduction in net gain on foreign currency activities due to the JMD revaluing 5.06% versus the USD in the quarter. Also, of note all revenue line items with the expectation of insurance revenue declined in the Q4... Read More
Jamaica Broilers Group Limited (JBG) - Analysis & Recommendation - December 2018
For the period ended October 2018, JBG reported an 11.7% or $2.7B increase in revenues to $25.71B from the comparable period of the previous year. This performance was driven by growth in all three reporting segments. Sales in Jamaica were up 7.0%, or $1.13B, to $17.16B while the US Operations reported a 24.1%, or $1.43B, increase in revenues to $7.38B. The Haitian segment’s revenues... Read More
Eppley Limited Preference Share Offer - November 2018
Eppley Limited is inviting applications for subscription for 66,500,000 new fixed-rate Cumulative Redeemable 7.50% Preference Shares due 2024 in the Company for a consideration of J$399,000,000. Eppley may elect to upsize this offer by an additional 33,500,000 units, bringing the total consideration to J$600,000,000. Read More
Facey Group’s Offer of Seprod Limited Shares- Analysis & Recommendation - October 2018
Facey Group Limited is inviting individuals to apply to purchase 91,914,894 ordinary shares of Seprod Limited. In March 2018, Seprod announced that it had reached an agreement with Facey to acquire its consumer business, Facey Commodity Holdings Limited (Facey Consumer), which deals in the distribution of consumer and pharmaceutical products in Jamaica. Seprod paid US$53.8M to acquire Facey Consumer – US$16M in cash and 217,148,396 newly issued shares of Seprod worth US$37.8M.
The deal was closed in September in 2018, subject to the issuance of the shares. Facey intends to retain 125,234,043 shares for itself and is making the remaining 91.9M shares available to prospective investors as keeping them would bring Musson’s (Parent company of Facey) overall stake in Seprod above 50%, triggering a mandatory takeover offer to the other shareholders. Read More
Lasco Financial Services Limited- Analysis & Recommendation - September 25 2018
Founded by Chairman Lascelles Chin, LASCO Financial Services Limited is a publicly listed company on the Junior Market of the Jamaica Stock Exchange and a leading provider of retail financial services. On acquiring the CreditScotia microfinance business the company has seen astronomical growth in both revenues and profits. We are forecasting a continuation of this trend for the current financial year and maintain an Overweight recommendation on the stock.Read More
Wisynco - Analysis & Recommendation - September 12 2018
Wisynco Group Limited is a major manufacturer and distributor of beverages, food and packaging products in Jamaica. Wisynco owns, manufactures and distributes a portfolio of beverage brands which include WATA and BIGGA Soft Drink and also owns and manufactures the SWEET brand range of plastic and foam disposable lunch boxes, plates and cups. Additionally, Wisynco is the exclusive bottler for the Coca-Cola Company in Jamaica as well third-party beverage brands SqueezZ and Hawaiian Punch. The Company also distributes Red Bull, Tru Juice Freshhh, Welch’s, Mott’s and Snapple. The beverage portfolio is complimented by a range of grocery products from international brands such as Kellogg’s, General Mills, Hershey Company, Butterball, Herr’s, and Nestlé, as well as local brands such as Kremi.
Using relative value valuation models our average estimate of the fair price is $12.79, with a range of $12.61 to $12.95. As such, we recommend Wisynco as...Read More
Proven Investments Limited - Analysis & Recommendation - September 10 2018
Net revenue grew by 17.4% to US$8.51M for the 3 months ended June 2018 relative to US$7.25M last year. The increase in net revenue was due to an increase in net interest income and improvements in foreign exchange gains. Meanwhile, operating expenses grew 11.5% to US$5.55M for the period ending June 2018 relative to US$4.98M for the same period last year, on account of administrative and general expenses, preference share dividend and IFRS Provisioning....Read More
Stationery Office & Supplies Limited (SOS) - Analysis & Recommendation - July 31 2018
Stationery Office & Supplies Limited (SOS) began trading as a purveyor of office supplies and stationery items and has since expand its
business to include the sale of modular office furniture, partitions, metal products, chairs, cabinets and shelving. SOS’ reported revenues
of $906.5M for the 2017FY, a 29.1% or $204.4M increase over the prior year’s result. The company attributed increased economic
activity to this performance and noted that its Torch and Image branded lines of furniture saw a 60% increase in sales. SOS’ net profit
for 2017 stood at $83.0M, up $36.4M or 78.1% from the $46.6M reported for 2016. The net profit margin stood at 9.2%, up from 6.6%
for the previous year...Read More
Sagicor Financial Corporation - Analysis & Recommendation - June 22 2018
The Sagicor Group is a leading provider of insurance products and related services in the Caribbean region. It also provides insurance products in the United States of America (USA) and banking services in Jamaica. The main business lines are life, critical illness and health insurance, annuities and pension management, asset management, together with property and casualty insurance. The customer base is predominately individuals but certain lines are marketed to employers to provide employee benefits, and to commercial enterprises to provide property and casualty coverage.....Read More
Carreras Limited (CAR) - Analysis & Recommendation - June 8 2018
Carreras Limited is incorporated and domiciled in Jamaica and is a 50.4% subsidiary of Rothmans Holdings (Caricom) Limited. The principal activities of the company are the marketing and distribution of cigarettes.
For the 2017/18 financial year, Carreras reported a decline of 7.1% or $959.10M in revenues, which amounted to $12.55B. The cost of operating revenue amounted to $6.25B, a 10.3% decrease year-over-year but this improvement was not enough to offset the decline in revenues as gross profits fell 3.6% to $6.30B. As such, pre-tax profits fell 7.4% or $372.56M to $4.64B while net profits attributable to shareholders declined by 8.5% or $321.69M, to $3.81B. Carreras’s underperformance for the year has been attributed to diminishing market share as the company contends with the rise of the illicit cigarette trade....Read More
Paramount Trading (Jamaica) Limited - Analysis & Recommendation - June 5 2018
Paramount Trading (Jamaica) Limited is a private company limited by shares, incorporated in 1991 and domiciled in Jamaica. Effective, 31 December 2012, the Company’s shares were listed on the Junior Market of the Jamaica Stock Exchange (JSE). The principal activity of the Company is importation and distribution of chemicals and other related products. During the year ended 31 May 2010, the Company acquired a franchise with a recognized brand to manufacture chemicals on behalf of an international company. In addition, the Company also entered into arrangements with another international company to distribute “SIKA” branded hardware products. The products include anchoring adhesives and sealants principally distributed to the commercial hardware market....Read More
GraceKennedy Limited - Analysis & Recommendation - June 4 2018
GK’s revenues grew by 4.8% to $92.48B for the year ended December 2017 relative to the same period last year following improvements in all divisions (see Table 1 and Graph 1). On the other hand, direct expenses grew 5.0% to $88.94B during the review period. Gross profit declined 1.4% to $3.53B for the year ended December 2017 relative to the previous year. Further, there was a decrease in other operating income amidst a reduction in the net foreign exchange gains. GK benefited from the recognition of tax credits. From this standpoint, net earnings for the year ended December 2017 increased by 5.2% to $4.77B from $4.53B for the same period last year. As such, the earnings-per-share (EPS) for GK amounted to $4.80 for the current period relative to $4.56 last year....Read More
Honey Bun (1982) Limited (HONBUN) - Analysis & Recommendation - May 24 2018
Honey Bun (1982) Limited is a producer of baked goods and snack products. The product line includes: donuts, cinnamon rolls, snack cakes, raisin breads, cheese breads, and its spiced buns with injected soft cheese. We recommend HONBUN as MARKETWEIGHT. While we view the expansion of the productive capacity and the addition of new product offerings favourably we also believe the stock is currently trading close to its fair value. HONBUN is suitable for investors with a medium risk appetite and a medium to long-term investment horizon seeking primarily capital appreciation. While HONBUN is a consistent dividend-payer, these dividends are modest as it continues to expand.....Read More
tTech Limited - Analysis & Recommendation - May 22 2018
tTech is a provider of managed information technology services to organizations in Jamaica. These services include: the management of core IT infrastructure such as servers and network devices; service or Help Desk support services for end users and the computers and mobile devices which they use; the deployment and management of IT Security systems; cloud migration and support services. In addition to managed services, tTech also provides IT Consultancy services which include the provision of virtual CIO (vCIO) services, project management, disaster recovery planning, and assisting internal IT teams to improve the delivery of their services within their organizations....Read More
JETCON - Analysis & Recommendation - May 21 2018
Jetcon saw its revenues exceed the billion dollar mark in 2017 as turnover amounted to $1.18B, a 37.3% or $319.54M increase on the $857.04M reported in the 2016 financial year. Profit before taxation rose 49.1% to $153.85M while net profit for the year was $153.79M, up 145% year-over-year.
Positive growth is expected to continue into 2018 as Jetcon became the first occupant of Kingston Wharves’ Global Logistic Centre which was commissioned in December 2017. Jetcon has stated its intent to target the export market for additional revenue opportunities as the company is in talks with suppliers in Japan to distribute pre-owned cars to Caribbean markets. This arrangement will allow the company to import a large shipment of cars into the logistics centre at once, and then distribute...Read More
Express Catering Limited - Analysis & Recommendation - May 21 2018
Express Catering Limited was formed in 2001 to carry out food & beverage operations at the Sangster International Airport in Montego Bay. The Company operates international and local brands such as: Quiznos; Dairy Queen; Domino’s Pizza; Wendy’s; Cinnabon; and Starbucks. Express Catering reported revenues of $11.27M for the period ended Feb. 28, 2018, a 12.4% increase year-over-year. Operating profits amounted to $2.80M, a 135.9% or $1.61M increase from the previous year’s result...Read More
Sygnus Credit Investments Limited (SCI) - IPO Analysis & Recommendation - May 1 2018
Sygnus Credit Investments Limited, an international business company incorporated under the International Business Companies Act, 1999 of St. Lucia, is seeking to raise US$10,000,000.01 through the sale of 90,909,091 shares in the company. SCI is a specialty investment firm that targets private credit investments in medium-sized firms across the Caribbean region. The Company offers an alternative to traditional financing by providing more customizable and flexible financing options for target companies. We recommend Sygnus as...Read More
PanJam Investment Limited (PJAM) -Analysis & Recommendation- April 12 2018
PanJam Investment Limited (PJAM) is an investment holding company listed on the Jamaica Stock Exchange. Through its subsidiaries it provides property management services in Jamaica, including the rental, management and development of commercial real estate properties, and captive insurance.
PJAM reported total revenues of $2.41B for the year ended Dec. 31, 2017, up $670.41M or 38.5% yearover- year. This increase was driven by a 29.3% increase in property income to $1.79B and a 76.6% increase in investment income to $422.70M. Net profits attributable to shareholders for the year amounted to $4.13B, up 2.0% or $80.98M year-over-year...Read More
Derrimon Trading Company Limited -Analysis & Recommendation- April 11 2018
DTL was founded in 1998 as a distributor of bulk commodities in the Kingston area and in 2009 branched out into the retail space by acquiring Sampars Cash ‘N’ Carry, a large wholesale business in Kingston. The Company now operates seven retail stores under the Sampars Cash ‘N’ Carry brand and its flagship supermarket under the Select Brand via a joint venture agreement.
During the 2017 financial year, DTL purchased the former Empire Supermarket, at 1-3 Retirement Road, and finalized a Joint Venture Agreement to purchase the assets of Caribbean Home Entertainment Systems Limited, the former operators of Carihome Supermarket Limited, rebranding the operations under the Select Grocers brand. DTL’s strategy of removing low margin products that do not meet a required threshold or provide a negative contribution, to focus on higher yield products has borne fruit and we expect such margin management to continue in the current year....Read More
Supreme Ventures -Analysis & Recommendation- February 20 2018
Supreme Ventures is a leading lottery and gaming provider in the Caribbean, with a diverse portfolio of lottery products. The Company focuses on utilizing the technology of its platforms and extensive retailer network to provide non-lottery commercial services to the market. SVL’s business segments include Lottery – which includes the Top Draw, Money Time, Pick 3, Cash Pot, Lotto and Super Lotto Games; Sports Betting – which includes the JustBet brand that offers wagers on international sporting events; Gaming and hospitality – which offers Video Lottery Terminal (VLT) games at gaming lounges and food and beverage operations; Pin Codes – which sells phone pin codes through the agent’s network; Horseracing – which consists of the operations of Caymanas Track Limited; and Other – which covers all other income...Read More
Access Financial Services -Analysis & Recommendation- February 20 2018
Access Financial Services Limited is one of the leading institutions in the Microfinance sector, listed on the Junior Market of the Jamaica Stock Exchange. The Company contributes significantly to economic growth by providing funding to the Microfinance Sector, which in turn spurns productivity through job creation. Access’ Small and Medium Enterprise (SME) loan recipients are involved in activities across various business sectors such as Service, Manufacturing, Trading and Agriculture. The company operates out of 17 branches covering 80% of the island and serving more than 20,000 individuals and MSME’s...Read More
JMMB Local Equities Market Outlook 2018- "Stocks to Watch" - February 13 2018
The 2017 calendar year was a strong one for the local equities market. Stability in the local exchange rate, strong fiscal
performance by the government of Jamaica, the slow reduction of debt, reduced unemployment and increased liquidity flows
all augur well for the local stock market. The current year has begun with continued interest; in excess of J$1 billion chased
less than 100 million in shares as issued by Elite Diagnostics despite some hiccups in terms of the financials and timing of issuance.
Last year the combined JSE index grew by 43.9%, the main market index rose 49.9%, and the junior market rose by 5.34%.
Berger Paints, Palace Amusement....Read More
Jamaica Producers Group -Analysis & Recommendation- January 29 2018
Jamaica Producers Group Limited (JP), formerly the Jamaica Banana Producers Association Limited, is a wholly Jamaican-owned company listed on the Jamaica Stock Exchange. The Group was incorporated on April 1, 1929, as a direct descendant of the Jamaica Producers Association formed in 1925, under which separate co-operatives – one for the marketing of each agricultural product – were set up. The company was formed with the objective of protecting the co-operative and the local banana industry from failure due to fierce competition from the large foreign-owned fruit companies in the shipping and marketing of Jamaican bananas....Read More
Kingston Wharves Limited-Analysis & Recommendation- January 26 2018
Kingston Wharves produced net profits attributable to shareholders of $741.88M for the six months ended June 2017, a 33.8% or $187.32M increase year-over-year. Driving these results were revenues of $2.94B, up 18.9% or $467.42M. The Terminal Operations Division reported revenues of $2.30B, up 19.5% year-over-year, while the Logistics and Ancillary Services Division generated revenues of $643.02M, up 17%...Read More
Sagicor Group Jamaica Limited-Analysis & Recommendation- January 24 2018
Sagicor Group Jamaica (SGJ) is a leading financial services group in Jamaica, commanding the largest market share in many of the lines of business it operates. SGJ primary business segments include: the Individual Insurance Division; Employee Benefits; Sagicor Bank Jamaica Limited; and Sagicor Investments Jamaica Limited. SGJ is incorporated and domiciled in Jamaica and is listed on the Jamaica Stock Exchange. It is 32.45% (2015 – 32.45%) owned by LOJ Holdings Limited which is also incorporated and domiciled in Jamaica and wholly owned by Sagicor Financial Corporation (SFC). The other significant shareholder in SGJ is PanJam Investment Limited...Read More
Jamaica Broilers Group Analysis & Recommendation- January 23 2018
Incorporated in 1958, Jamaica Broilers Group Limited (JBG) is a publicly-listed company whose principal activities include the production and distribution of poultry products, animal feeds and agricultural items. In addition, one of the company’s subsidiaries, JB Ethanol Limited contractually processes fuel products on behalf of customers for a fee...Read More
Offer Circular by CWC CALA Holdings Limited for Ordinary Shares in Cable & Wireless Jamaica Limited
CWC Cala (CWC Cala) Holdings and its affiliates, are currently the majority shareholders of ordinary shares in Cable & Wireless Jamaica (82%). They are making a voluntarily offer for the outstanding minority ordinary shares in CWJ. Persons who currently own shares in CWJ can voluntarily sell their shares to CWC Cala. Payments for shares will occur within 21 days after the offer has closed.
Victoria Mutual Investment Limited IPO Analysis & Recommendation
Incorporated in 1984 and domiciled in Jamaica, Victoria Mutual Investments Limited (VMIL) is a wholly-owned subsidiary of The Victoria Mutual Building Society. VMIL is the parent company and sole owner of Victoria Mutual Wealth Management Limited (VM Wealth). Driven by an objective to provide competitive credit financing solutions for clients, VMIL’s primary offerings include margin loans and corporate loans. VM-Wealth is a licensed securities dealer offering investment brokering, investment advisory services and securities dealing services to its clients.
In order to provide working capital support to its operations, and to allow the Company to take advantage of new business opportunities, the Company is seeking to raise J$689,261,487.50 by inviting subscriptions for up to 300,005,000 newly issued Ordinary Shares...Read more
GWest Coporation Limited Valuation and Recommendation
GWest Corporation Limited (GWest) is a limited liability company which is incorporated in Jamaica. Its main activities are to undertake the development of commercial and residential properties and the management of health care facilities (namely; GWest centre). The GWEST Centre will provide a full range of services to complement such medical specialties as internal medicine and subspecialties, general surgery, cardiology, oncology, neurosurgery, orthopaedics, gynaecology, and mental health services. The company which was incorporated on December 3, 2007 has completed its major project of development of a medical and dental complex on lands at Fairview, Montego Bay and began trading in the current year. The registered office of the company is 34 Market Street, Montego Bay.....Read more
Wisynco's IPO Valuation and Recommendation
Wisynco Group Limited in its current form was established in 2005 as an amalgamation of several, multi-generational family business created by the four Mahfood brothers: Ferdinand, Sam (Jnr.), Joe and Robin; the first of which was established in 1965. The current iteration is a well-known manufacturer and distributor of beverages, food and packaging products in Jamaica. Wisynco is aiming to raise $6.1B through the sale of 784,500,000 shares with $1.2B representing new capital while the remaining $4.9B represents proceeds to be remitted to the Selling Shareholder...Read more
NCB Financial Group Limited - September 2017
Net earnings for the 6-months ended June 2017 was $14.72B, representing a 48.1% increase relative to a year ago. Net interest income grew by 5.5% from $21.04B to $22.19B on account of growth in the loan portfolio and a decline in funding costs. Meanwhile, non-interest income increased by 29.3% to $22.02B from $17.03B generated in the previous year. This outturn in non-interest income emanated from gains on foreign currency and investment activities and improvements net of fee and commission income. The movement in net fee and commission income emanated from growth in unit trust portfolios and increases in pension management fees. As a result, earnings-per-share (EPS) amounted to $5.97 compared to $4.03 for the same period last year...Read more
Radio Jamaica Limited (RJR) - September 2017
RJR generated a net profit of $145.23M for the 2016/17 financial year, a $370.03M increase on the net loss of $224.8M reported for the previous year. This performance was driven by the amalgamation of the RJR group to the GCML, which contributed $95M to net profit, and an improvement in the preamalgamated RJR Group profits on higher revenues and lower operating costs...Read more
Berger Paints Jamaica Limited - September 2017
Despite the negative impact of local cement shortages and adverse weather conditions on net sales, Berger was still able to put in a creditable performance for the June-2017 quarter when compared to the comparable period in 2016. A 10.2% decrease in net sales was offset by a continued focus on efficiency both in administration and operations to yield a 10.6% increase in net profits...Read more
Dolphin Cove - Analysis & Recommendation - August 9 2017
Incorporated and domiciled in Jamaica, Revenue from Dolphin Attractions is the primary revenue generating activity and involves the sale of dolphin, stingray and shark interaction programmes. The Group’s sales also include revenue from “Ancillary Services” which includes the sale of souvenirs, photographs, food and beverages and the use of its beach cabanas and tours such as kayaks, boat, and the Yaa man park opened in 2017. The company continues to earn most of its income in United States dollars…Read more
Supreme Ventures Limited – February 2017
Supreme Ventures is a leading lottery and gaming provider in the Caribbean, with a diverse portfolio of lottery products.
SVL’s strategic objective is to be the leading provider of innovative and compelling gaming and lottery content through current and emerging mediums. The Company focuses on utilizing the technology of its platforms and extensive retailer network to provide non-lottery commercial services to the market. SVL’s business segments include Lottery – which includes the Top Draw, Money Time, Pick 3, Cash Pot, Lotto and Super Lotto Games; Sports Betting – which includes the JustBet brand that offers wagers on international sporting events; Gaming and hospitality – which offers Video Lottery Terminal (VLT) games at gaming lounges and food and beverage operations; Pin Codes – which sell phone pin codes through the agent’s network; and Other – which covers all other income…Read more
Jamaica Producers Group Limited – February 2017
Jamaica Producers Group Limited (JP), formerly the Jamaica Banana Producers Association Limited, is a wholly Jamaican-owned company listed on the Jamaica Stock Exchange. The Group was incorporated on April 1, 1929, as a direct descendant of the Jamaica Producers Association formed in 1925, under which separate co-operatives – one for the marketing of each agricultural product – were set up. The company was formed with the objective of protecting the co-operative and the local banana industry from failure due to fierce competition from the large foreign-owned fruit companies in the shipping and marketing of Jamaican bananas.
The business has grown, diversifying into shipping, food and juice manufacturing, and moving up the value chain to provide processed foods like smoothies, banana chips, rum cakes and juices, in addition to branching out into other agricultural products such as pineapples…Read more
Derrimon Trading Company Limited – February 2017
Derrimon Trading Company Limited (DTL) is a private company limited by shares, incorporated and domiciled in Jamaica. Its registered office is located at 233 and 235 Marcus Garvey Drive, Kingston 11. The principal activity of the DTCL is the distribution of bulk household food items inclusive of meat products. DTL also distributes branded products on behalf of a major global corporation.
In 2009, DTL purchased the assets of a wholesale distribution company and continued to operate from its original location at
33 Marcus Garvey Drive, Kingston 11. DTL maintained the entity’s trading name, Sampars Cash & Carry...Read more