July 08, 2011
Caribbean stocks ended the first six months of 2011 higher on the back of large gains on the Junior Market, as well as solid gains among Financial, Retail and Distribution, Manufacturing and Conglomerate stocks. For the first six months of the year, 713,299,952 shares valued at US$256,713,483 crossed the floors of the six stock exchanges across CARICOM, with 75 stocks advancing, 37 declining and 11 remaining unchanged. Cable and Wireless Jamaica was the volume leader with 196,790,515 shares being traded, Ciboney Ltd posted the largest gain for the period (216.60 percent), while on the losing end, Cable and Wireless Jamaica fell 74.70 percent.
For the first six months of the year, eleven of the Caribbean Select Index (CSX 30) stocks advanced, nine declined and ten were unchanged. The CSX 30 gained 105.40 points to close the period at 1,235.20, up 8.89 percent year to date. On the Junior Market, seven stocks advanced, three declined and one was unchanged as the CJSX advanced 326.90 points to close the period at 1,388.0, up 18.65 percent year to date. The CJSX was led by Lasco Distributors which posted a gain of 70.92 percent, Lasco Manufacturing gained 37.36 percent, Dolphin Cove gained of 28.97 percent, and Blue Power gained 20.20 percent. The Junior market was boosted by the listing of Honey Bun (1982) Limited.
Financial stocks in CARICOM enjoyed outstanding gains during the first six months of 2011. The Caribbean Insurance and Investments Index (CIIX) advanced 174.30 points, as eleven insurance and investments stocks advanced, five declined and one was unchanged. The group was led by Pulse Investments which gained 61.60 percent, Barita Investments 47.10 percent, Jamaica Money Market Brokers 35.94 percent, National Enterprises Limited 31.29 percent, Sagicor Life Jamaica 26.98 percent, Scotia Investments 18.78 percent, Guardian Holdings 13.53 percent and Pan Caribbean Financial Services 13.47 percent. Doctors Health Services, Mayberry Investments and Insurance Corporation of Barbados bucked the general trend and posted losses of 15.93 percent, 5.90 percent and 3.21 percent respectively.
The Caribbean Banking Index (CBSX) confirmed the strong performance of stocks in the financial sector by advancing 98.0 points for the period as fourteen banking stocks advanced and eight declined. The group was led by Citizens Bank which gained 42.53 percent, Bank of Bahamas 37.40 percent, Capital and Credit Financial Group 29.67 percent, NCB Jamaica 27.71 percent, Demerara Bank Limited 27.46 percent, Republic Bank Guyana 25.13 percent, Republic Bank Limited 14.50 percent, Scotia Group Jamaica 13.76 percent, Bank of Trade and Industry 13.63 percent, Scotia Bank TT 12.82 percent, and Bank of Nevis 11.34 percent. Finance Corporation of the Bahamas, Fidelity Bank Bahamas and Bank of St. Kitts and Nevis bucked the general trend among banking stocks and posted losses of 23.96 percent, 19.37 percent and 13.36 percent respectively.
Retail and Distribution, Conglomerate and Manufacturing stocks in CARICOM also enjoyed solid gains for the first six months of 2011. The Caribbean Retail and Distribution Index (CRDX) advanced 130.70 points for the period as seven retail and distribution stocks advanced and three declined. The group was led by S. L. Horsford which gained 57.50 percent, Prestige Holdings 39.81 percent, Hardware and Lumber 27.83 percent, AML Foods 20.18 percent, Carreras 19.70 percent and Agostinis 19.10 percent. Supreme Ventures lost 32.29 percent for the period and shares in Palace Amusements slid 21.07 percent.
The Caribbean Conglomerate Index (CCSX) advanced 101.70 points for the period, as eight conglomerate stocks advanced and two declined. The goup was led by Neal and Massey which gained 27.59 percent, Jamaica Producers 15.98 percent, Pan Jamaican Investments 10.57 percent and Ansa Mcal TT 10.11 percent. Ansa Mcal Barbados declined by 20.61 percent while Banks Holdings declined by 3.59 percent.
The Caribbean Manufacturing Index (CMSX) advanced 94.60 points as seventeen manufacturing stocks advanced, ten declined and two were unchanged. The group was led by Berger Paints Jamaica which gained 52.72 percent, Flavourite Foods 38.45 percent, Kingston Wharves 32.68 percent, Angostura Holdings 30.59 percent, Unilever 14.28 percent and West India Tobacco 12.99 percent. However, some major names in the manufacturing sector suffered during the first half of year. Caribbean Cement shareholders saw the company's share price dip by 40 percent, Salada Food's share price fell by 30.20 percent, Trinidad Cement's share price fell by 27.27 percent and Barbados Farms' share price fell by 11.65 percent.
Tourism and Real Estate stocks struggled in the first half of the year and the CTRX fell by 73.0 points as four Tourism and Real Estate stocks advanced, three declined and two were unchanged. While there was a 216 percent gain for Ciboney and a gain of 18.27 percent for Montego Freeport, the group was dragged down by a 35.48 percent drop in Almond Beach Resorts, a 8.14 percent drop in Pegasus and a 3.88 percent fall in Kingston Properties. Pegasus is the single largest capitalization stock in CARICOM, hence a drop in that stock has a significant impact on the index.
There was also weakness in the Communications and Utilities sector as the CCUX fell 11.0 points for the period with seven Communications and Utilities stocks advancing, five declining and two remaining unchanged. Light and Power Holdings posted a 114.17 percent gain (due to the Emera takeover), Dominica Electricity Services gained 28.33 percent, Radio Jamaica 26.12 percent, The Gleaner 21.31 percent and Consolidated Water of the Bahamas 10.45 percent. However, the CCUX was dragged down by a 74.74 percent drop in Cable and Wireless Jamaica, a 41.46 percent decline in One Caribbean Media and a 20.50 percent decline in Cable Bahamas.
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