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Indonesia Market Today - 3 December 2018

  • Regular
  • Asian Market
  • 3 months ago
  • 53

A. Indonesia Morning Market Review
Monday (03/12/2018). The plan to slow down the FFR increase and the appreciation of the Rupiah became a catalyst for the JCI to strengthen during the past week. With this increase, during November the JCI rose sharply + 3.77%, especially foreign investors booked Net Buy over the past month amounting to IDR 7.82 trillion. For trading in this early December, we estimates that JCI will STRENGTHEN as the delay in the implementation of a tariff increase of 10% to 25% by Chinese products for the next 90 days will follow the return of continued talks between the US & China amid DJIA + 0.79%.


B. Indonesia Corporate News
1. PT Bank Rakyat Indonesia (BBRI)
The company has raised loan interest rates for the middle segment and the corporation has risen between 25 bps - 50 bps. Just for info, BRI's net interest margin (NIM) at the end of September 2018 was at 7.61%, down from 8.01% at the end of September 2017. Until now, BBRI has exceeded the credit growth target of 12%. Therefore, BBRI submitted a revised bank business plan (RBB) to 14%. BBRI recorded loan disbursement of Rp 782.90 trillion as of October 2018. This lending grew 16.52% compared to October last year which was at Rp 671.81 trillion. Bank BNRI's net profit grew 14.67% to Rp. 26.02 trillion in the January-October 2018 period compared to the same period last year. While net interest income only grew 5% to Rp 61.86 trillion from the previous Rp 58.91 trillion.

2. PT Bank Tabungan Negara (BBTN)
The company has made a number of preparations as a corporate action in welcoming the 2019 political year. One of them is targeting corporate profit growth of around 16% -19% in 2019. As for the credit target and and deposits of BBTN it targets growth of around 15%. BBTN is optimistic that 2019 can channel KPR loans to 850,000 units. That number rose 100,000 units compared to this year's target of 750,000 units. To achieve the target in the RBB, the company has set several strategies. Among other things, strengthening the contribution of the growth of Subsidized Mortgages (SSB, FLPP, BP2BT and TAPERA), increasing the growth of Non-Subsidized Mortgages with the KPR scheme for the MBR and ASN segments, strengthening the role of BTN HFC and developing initiatives that support the development of subsidized residential developer businesses

3. PT Adhi Karya (ADHI)
The company budgeted capital expenditure of IDR 4 trillion to IDR 5 trillion in 2019 in line with a number of expansion plans prepared by the company. On the other hand, at the end of November 2018, Adhi Karya won the 7.6-trillion Aceh-Singkil toll road construction contract, the construction of Patimban Port package 2 of Rp 147.6 billion, revitalization of Soekarno Hatta Airport Terminal 2 worth Rp 800 billion, preservation Pandaan-Malang national road is Rp 202 billion, and the construction of six Jakarta city toll roads is Rp 1.4 trillion. With this achievement coupled with the contract with the lowest bid that has been in their hands, the company believes it can post a new contract of IDR 25 trillion this year.


C. Market Statistics
DJIA +199.62 +0.79% 25538
NASDAQ +57.45 +0.79% 7330
GOLD -2.8 -0.23% 1227.6
OIL -0.75 -1.46% 50.72
COAL (Dec/Newcastle) +1 +0.99% 102.25
COAL (Dec/Rotterdam) +0.2+0.23% 85.45
NICKEL +90 +0.82% 11097.5
TIN -112.5 -0.61% 18430
CPO (Nov) +13 +0.64% 2039
EIDO -0.43 -1.71% 24.72
US 10yr -0.022 -0.72% 3.013
INDO 10yr -0.0273 -0.34% 8.0309
INDO CDS -2.485 -1.78% 141.125
TLK 51.8 (3704)
IDR (Spot) 14302
IDR (Investing, 01/12/18/Fut, 05.30) 14356

IDX Range.      :  6,032 - 6,123
USD/IDR Range: 14,310 - 14,450


D. Stock Picks
1. BBCA
52Week Price Range: 20350 - 25500
Monthly RLine: 26534 - 25367 - 24509
Monthly PP: 23342
Monthly SLine: 22484 - 21317 - 20459
Summary: STRONG BUY

2. ASII
Daily Price Range: 8375 - 8625
Daily RLine: 8741 - 8658 - 8566
Daily PP: 8483
Daily SLine: 8391 - 8308 - 8216
Summary: STRONG BUY

3. ICBP
Daily Price Range: 9675 - 9875
Daily RLine: 10600 - 10150 - 9925
Daily PP: 9475
Daily SLine: 9250 - 8800 - 8575
Summary: STRONG BUY

Smart Trend Team (GR)
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