Global Market Highlights
DJIA rose +0.97% on Tuesday (29/03), followed by the S&P 500 (+1.23%) and the Nasdaq (+1.84%). Wall Street accelerated to the green zone driven by positive catalysts in the form of progress in the Russia-Ukraine negotiations marked by the plan for a meeting between the two countries to end the escalation of war and the start of a ceasefire. Also, the release of data on new job openings (JOLTs Job Opening) Feb-22 exceeded market expectations, reaching 11.27 million jobs. Today, the market will be looking toward several data releases such as: 1) US GDP Growth Rate QoQ Final; 2) US ADP Employment Change; 3) Germany Inflation Rate YoY Prel.
Domestic Update
• The government issued 7 series of SUN in yesterday's auction with the issuance value reaching IDR17.05 trillion. The incoming bids reached IDR41.62 trillion. MNCS Comment: The total incoming bid value in yesterday's auction was lower than the previous auction which reached IDR49.16 trillion. This occurred amid rising US government bond yields in response to the possibility of more aggressive monetary policy from the Fed.
• Furthermore, the second dose of vaccination rate nationally has reached 75.9% or equivalent to 158.06 million people.
Company News
1. MTDL IJ recorded IDR18.5 trillion of revenue in FY21 or increase by +31.4% YoY (vs IDR14.02 trillion in FY20). Meanwhile, net profit was recorded at IDR508.9 billion in FY21, up +39% YoY (vs IDR364.9 billion in FY20) (Kontan). MNCS Comment: Positive achievement was along with the increase of net profit growth from Digital Distribution and Digital Solutions & Consulting businesses by +41% YoY and +36% YoY respectively. In addition, the company is optimistic that it might improve its performance this year by continuing to innovate and adding global partnerships with Microsoft Azure, Amazon Web Services, and Google Cloud. MTDL is trading at the level of 16.53x/3.04x PER/PBV.
2. BIRD IJ recorded net revenue of IDR2.20 trillion in FY21, up +7.84% YoY (vs IDR2.04 trillion in FY20). Meanwhile, net profit reached IDR7.71 billion in FY21 (vs net loss of IDR161.35 billion in FY20) (Kontan). MNCS Comment: The increase performance in taxi and car rental business revenue by +5.8% YoY to IDR1.63 trillion and the income from asset disposal of IDR67.4 billion. BIRD is trading at the level of 0.69xPBV.
3. SILO IJ recorded revenue of IDR9.38 trillion, up +31.94% YoY in FY21 (vs IDR7.11 trillion in FY20). Net profit increased by +480% YoY to IDR674.11 billion in FY21 (vs IDR116.16 billion in FY20) (Bisnis Indonesia). MNCS Comment: We see that the company's positive performance was supported by the revenue increase in specialist segment by +28.89% YoY to IDR1.74 trillion and non-specialist segment by +32.70% YoY to IDR7.63 trillion in FY21. SILO is trading at the level of 18.57x/1.94x PER/PBV.
IHSG Updates
JCI weakened -0.54% to 7,011.69 on Tuesday (29/03), followed by net foreign buys which reached IDR1.10 trillion. The majority of sectors suppressed the index, led by the transportation sector (-2.43%) followed by the industrial sector (-1.62%). On the other hand, the strengthening sector was led by the technology sector (+0.31%) followed by the cyclical sector (+0.27%). The index depreciated amid US yield inversion and weakening commodity prices, as the Russia-Ukraine geopolitical crisis led to peace. On the other hand, the Rupiah exchange rate closed lower at IDR14,347/USD. We estimate that the JCI will move in the price range of 6,955-7,060. Today’s recommendation: JPFA, AGRO, ASII, ESSA.
Corporate Action
RUPS: SIDO, BJBR, SDRA
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