Market

Shares of MD Pictures or MD Entertainment (FILM), controlled by the family of Manoj Punjabi, ended higher by 3% to Rp4,120 on Friday (Aug 9) to make a market capitalisation of Rp39.2 trillion. This is one of overvalued stocks in the market, not justified by its earnings outlook.

Shares of Barito Renewables (BREN) opened higher by 1.54% to Rp8,250 this morning to make a market capitalisation of Rp1104 trillion or US$68.1 billion, more than six times of Calpine Corporation, the largest clean energy player (natural gas and geothermal) in the world.

Shares of oil and gas company Medco Energi (MEDC), a company co-owned by the families of Panigoro and Salim, opened higher by 1.6% to Rp1,305 this morning to make a market capitalisation of Rp32.8 trillion, not even one fifth of the company’s 21% ownership in gold and copper miner PT Amman Mineral International Tbk (AMMN).

Cemindo Gemilang (CMNT), a cement manufacturer controlled by GAMA Group (Ganda and Martua Sitorus), is the most expensive cement stock in the market. It was last valued more than five times equity, while market leader Semen Indonesia (SMGR) and second largest player Indocement (INTP) are valued below and slightly above equity respectively.

Composite index of Indonesia Stock Exchange (IDX) might follow peers in the region to rebound after days of worldwide rout. Nikkei 225 gained 10.8% this morning in Tokyo, while KOSPI increased by 5.5% in Seoul. All Ordinaries, however, regained 0.9% only in Sydney, Australia. 

Composite index of Indonesia Stock Exchange (IHSG) opened substantially lower by 3.71% in the afternoon trading session Monday (Aug 5) to track peers in the region on intensified concern about US economic slowdown. All Ordinaries closed 3.8% lower in Sydney, Australia, while Nikkei 225 fell 12.4% in Tokyo.

Shares of Surya Citra Media (SCMA) and Media Nusantara Citra (MNCN), which control more than 70% of the conventional TV media business, opened lower by 5.1% and 1.32% respectively this morning despite improvement in their bottomline in the first half of 2024.

Shares of Siloam Hospitals (SILO), considered the largest in private sector, opened slightly higher by 0.7% to Rp2,730 this morning even when the company, controlled by Riady Family’s Lippo Group, reported uncharacteristic 37.6% fall of net profit in the first half of 2024. Mayapada Hospital, meanwhile, currently has market value slightly below Siloam, but more than 14 times equity. Siloam and Mayapada are hospitals controlled by two politically-wired business families in the country.

Whoever followed recommendation from JP Morgan to buy bukalapak.com (BUKA) shares in early 2022 or early this year should have recorded huge ‘unrealised loss’ by now. In early 2022, when BUKA was traded around Rp470, JP Morgan came up with a ‘target price’ of Rp1,000. On Thursday (Aug 1), three years after the decorated initial public offering (IPO), BUKA ended at Rp118.

Shares of Bumi Resources (BUMI), the largest coal miner co-owned by two politically connected groups of Salim and Bakrie, ended flat at Rp75 on Thursday (Aug 2) to make a market capitalisation of Rp27.9 trillion, way below its equity (Rp46.8 trillion). Once the largest company on the Indonesia Stock Exchange (IDX) by market cap, BUMI yet to recover its values despite the entry of Salim as partner shareholder.