Global Market Highlights
DJIA fell -0.15% on Tuesday (30/05), while the S&P500 (+0.00%) and Nasdaq (+0.32%). Wall Street closed mixed as investors are still waiting and seeing the discussion on increasing the US debt ceiling in Congress. In addition, the release of CB consumer confidence data in May-2023 which fell to a level of 102.3 (vs 103.7 in Apr-2023) became a negative sentiment for the index movement. Today, the market will be looking toward several data releases such as: 1) US MBA 30-Year Mortgage Rate May 26; 2) Germany Inflation Rate YoY Prel May; 3) France Inflation Rate YoY Prel May.
Domestic Update
• Bank Indonesia noted growth in third party funds (DPK) tended to be flat at 2.8% YoY in Apr-2023 (vs 4.6% YoY in Mar-2023). MNCS Comment: This was caused by the behavior of customers during the Eid season, which tended to spend money rather than save it, as well as the BI-7DRR stagnation which caused customers to switch investment instruments, such as retail government bonds.
Company News
1. SAMF IJ will distribute cash dividends for the FY22 fiscal year of IDR153.7 billion, or the equivalent of IDR30 per share (Investor ID). MNCS Comment: Therefore, we estimate SAMF will offer a dividend yield of 4%. The amount of DPS increased compared to the previous year at IDR16.7 per share, in line with the increase in net profit +102.1% YoY. Currently, SAMF is traded at the level of 6.90x/3.16x PER/PBV.
2. SMIL IJ reported a new forklift leasing contract from Nabati Group worth IDR60 billion, with the number of forklift leasing units reaching 80 units (Investor ID). MNCS Comment: We view this achievement positively, where the acquisition of new customers is in line with the company's diversification efforts to avoid dependence on certain customers, and can increase the company's profitability. We project SMIL's revenue/net profit in FY23E to be IDR394.6 billion/IDR78.3 billion, respectively. Currently, SMIL is traded at the level of 3.51x PBV.
3. PANI IJ reported a net profit in 1Q23 of IDR179.6 billion (vs IDR580 million in 1Q22) (Investor ID). MNCS Comment: The increase in net profit was supported by an increase in revenue +694.7% YoY to IDR919.2 billion (vs IDR115.7 billion), in line with the increase in real estate sales. Efficiency was successful, given the achievement of expansive margins, where GPM/NPM were 50.9%/19.5%, respectively (vs 21.6%/0.5% in 1Q22). Currently, PANI is traded at the level of 32.39x/10.56x PER/PBV.
IHSG Updates
JCI weakened -0.67% to 6,636.42 on Tuesday (30/05), followed by net foreign buy reaching IDR432.14 billion. A number of sectors experienced weakening and weighed on the index, led by the industrial sector (-1.42%) followed by the non-cyclical sector (-0.99%). On the other hand, sectors that experienced strengthening were led by the transportation sector (+1.30%) followed by the cyclical sector (+0.45%). The index weakened amid Asian stock exchanges that closed mixed, where investors were still watching developments in the discussion of the US debt ceiling in Congress, as well as wait and see ahead of the release of macroeconomic data in early June-2023. The rupiah closed lower at IDR14,985/USD. We estimate that the JCI will move in the price range of 6,612-6,675. Today's recommendation: ANTM, RALS, TBIG, UNVR.
Corporate Actions
Cum Dividend: BISI (IDR68/share), MIKA (IDR37/share), SICO (IDR2/share)
Disclaimer On
