Indonesia Market Today - 18 May 2020
A. INDONESIA MORNING MARKET REVIEW
Monday (18/05/2020). After 1 week ago the JCI fell by -1.95% accompanied by Foreign Investor`s Net Sell of Rp -4.14 trillion, the JCI was estimated at the beginning of the week * prone to profit taking * again as the EIDO fell by -2.07% combined with a decrease in Coal price of -2%, Nickel -1.95% & Lead -1.04% for IHSG trading on this Monday amid no visible signs of a decrease, aka the number of victims infected and killed by Corona Virus in Indonesia has increased in number where Corona Virus has infected 17,514 people (towards 20,000 people) with a death toll of 1,148 people, leading to 1,300 people killed, (Fatality Rate of 6.55%).
On the other hand, the following commodity-based stocks such as: Oil + 7.58%, Gold + 0.76% and CPO + 2.77% have the potential to strengthen this Monday.
Knowing that the IHSG has the potential to go back down, amid foreign investors who continue to post Net Sell where YTD (as of May 15, 2020) reached Rp -24.95 trillion and valuation there are still quite a lot of very attractive stocks to buy, we recommend very selective if investors want to do BOW or Swing Trade then it can focus on stocks from the FMCG, Chemical, Telko, Gold Metal, Chicken Feed, Cigarette, Hospital, Automotive and CPO sectors in this Monday trade.
April Car Sales Plummeted 90%!
Based on Gaikindo data, April sales only sold 7,871 units, down 90.6% (yoy) compared to April 2019 with 84,056 units recorded. Compared to March 2020 sales, it fell sharply by 89.7%. In March 2020, sales were still recorded at 76,811 units. In March 2020 car sales were recorded at only 76,800 units or only dropped 15% compared to March 2019 which still recorded sales of 90,368 units.
B. INDONESIA CORPORATE NEWS
1. PT Bank Tabungan Negara (BBTN)
The company`s net profit fell 36.79% to Rp457 billion in the first quarter of 2020, compared to the same period in 2019 of Rp723 billion. To maintain a strong reserve ratio, the company continues to cultivate its provision by allocating it from operating profit. In the first quarter of 2020, the company`s reserve ratio jumped to a level of 105.66% from 45.07% in the same period last year. The company also recorded a CAR of 18.73% in the first quarter of 2020, up 111 bps from 17.62% in the first quarter of 2019. The increase in capital was supported by the issuance of subdebt in early 2020 which recorded excess demand for more than 10 times. The company has disbursed loans and financing worth Rp253.25 trillion at the end of the first quarter of 2020 or grew 4.59% yoy from Rp242.13 trillion in the first quarter of 2019.
2. PT Semen Indonesia (SMGR)
The company recorded revenue in the first quarter of 2020 reaching Rp 8.58 trillion, up 5.57% compared to the same period in 2019 of Rp 8.13 trillion. Meanwhile, the company recorded a net profit of Rp 446 billion in the first quarter of 2020, an increase of 66.52% compared to the same period in 2019 of Rp268 billion.
3. PT Adaro Energy Tbk (ADRO)
until the first quarter of 2020 decreased net profit by 17.35% to USD98.18 million compared to the previous year`s profit of USD118.80 million. Meanwhile the company scored revenues of USD750.47 million as of March 31, 2020, down 11.34% from revenues of USD846.48 million in the same period in 2019.
4. PT Japfa Comfeed Indonesia (JPFA)
Until the first quarter of 2020, the company posted 10.66% increase in profit to Rp343.87 billion from Rp310.74 billion in the same period in 2019. Meanwhile, until the end of the quarter 1/2020 net sales rose 6.01% to Rp9.079 trillion of Rp8,564 trillion in the same period in 2019.
5. PT Blue Bird (BIRD)
Until the first quarter of 2020, the company experienced a decline in net profit to Rp13.74 billion, down 84.51% compared to the same period in 2019, which was Rp88.76 billion. Meanwhile, until the end of the 1st quarter of 2011 net income decreased 9.37% to Rp885.18 billion compared to the same period in 2019 of Rp976.75 billion.
6. PT Surya Semesta Internusa (SSIA)
The company estimates that the company`s revenue throughout 2020 will drop 13% compared to the realization in 2019. In particular, a significant slowdown occurred in the hotel business unit as a result of physical distance, travel restrictions and airport closures. In general, the company posted a 7.08% revenue growth to Rp882.04 billion in the first quarter of 2020. However, the company still suffered a net loss of Rp.17.41 billion compared to the same period last year an increase in net loss of 60.17% from the position of Rp.10.87 billion.
7. PT Panin Dubai Syariah (PNBS)
The company`s net profit in the first quarter of 2020 rose 3.34% to Rp5.33 billion from Rp5.15 billion in the same period in 2019. Fund management revenue by the bank as mudhorib rose 35.28% to Rp199.61 billion from Rp147.55 billion . With the right of the owner of the funds for the profit sharing of temporary syirkah funds which also rose 29.69% to Rp154.84 billion from Rp119.39 billion.
8. PT Jaya Real Property (JRPT)
As of the first quarter of 2020, the company`s net profit was down 7.4% to Rp207.18 billion compared to the same period in 2019 of Rp223.74 billion. Meanwhile, until the end of the first quarter of 2012 the company`s operating income fell 2.02% to Rp509.00 billion compared to the same period in 2019 amounting to Rp519.52 billion.
9. PT Nusantara Pelabuhan Handal (PORT)
The company managed to book a net profit in 2019 amounting to Rp13.19 billion, up sharply by 1.675% from a profit of Rp743.32 million a year earlier. Meanwhile, the company recorded revenue of Rp1.43 trillion as of December 31, 2019, up 20.72% from revenue of Rp1.19 trillion in the same period in 2018.
C. MARKET STATISTICS
*DJIA +60.08 +0.25% 23685*
*NASDAQ +70.84 +0.79% 9014*
*GOLD +13.20 +0.76% 1754.1*
*OIL +2.09 +7.58% 29.65*
*COAL (June/Newcastle) -1.10 -2% 53.80*
*NICKEL -235 -1.95% 11825*
*TIN -157.5 -1.04% 14920*
*CPO (Jun`20) +57 +2.77% 2117*
*EIDO -0.33 -2.07% 15.63*
US 10yr +0.0210 +3.39% 0.6400
INDO 10yr -0.0832 -1.03% 8.0300
INDO CDS (5yr) -0.975 -0.47% 205.908
*TLK 41.34 (3071)*
IDR (Spot) 14,860
IDR (Bloomberg, 16/05/20/Fut, 08.35) 14,860
*IDX Range : 4,465 - 4,545*
*USD/IDR Range: 14,800 - 14,940*
D. STOCK WATCHLIST
UNVR, BRPT, EXCL, MDKA, CPIN, HMSP, MIKA, GGRM, ASII, LSIP.
GFS ASIA TEAM
- just now