Report, Stock exchange

2022/2023- Semester 2

Financial Market Analysis

THE COUNCIL OF COMMUNITY COLLEGES OF JAMAICA

BACHELOR’S DEGREE COURSEWORK

SEMESTER II – JANUARY 2023

PROGRAMME: BUSINESS ADMINISTRATION

COURSE NAME: FINANCIAL MARKET ANALYSIS

CODE: ACCT3602

YEAR GROUP: FOUR

DUE DATE: MAY 10TH 2023

UNIT: THREE

ASSESSMENT TYPE: COURSEWORK - REPORT (15%)

INSTRUCTION:

1. This is an individual assignment.

2. Research the areas below and present your findings.

3. A hard copy MUST be presented to the lecturer on the due date.

4. The APA format MUST be maintained, and a declaration of authorship must be made.

5. This assignment represents 15% of final grade.

2022/2023- Semester 2

Financial Market Analysis

Study and prepare a report on the following companies, based on their listing on the Jamaica

Stock Exchange (JSE) for the period March 20 – 31, 2023.

i. Caribbean Producers Jamaica Limited (CPJ)

ii. Jamaica Broilers Group (JBG)

You are required to:

A. Provide an overview of the companies being studied . (5 marks)

i. Construct a price-weighted index for the two stocks and compute the percentage

changes in the index for period 1 (Week 1) and period 2 (Week 2) (10 marks)

ii. Construct a value-weighted index for the two stocks and compute the percentage

changes in the index for period 1 (Week 1) and period 2 (Week 2) (10 marks)

B. Record the daily trading volume and closing price. (10 marks)

i. Calculate the percentage change in the stock’s price. (20 marks)

ii. Determine, for each day, whether the stock decline, advanced, or traded firm.

(10 marks)

C. Discuss the use of earnings per share in the investment arena and comment on the

earnings per share information for both companies, based on their last two quarterly

reports. (5 marks)

D. Discuss the use of Price-to-earnings growth ratio (PEG ratio). Calculate the PEG ratio for

both companies and comment on the results. (10 marks)

E. Use the market capitalization to GDP ratio to evaluate the state of the Jamaica Stock

Exchange. (5 marks)

F. Explain briefly the impact of dividend announcement on the price of a stock and

comment on the effect of increasing interest rates on stock prices. (5 marks)