Global Market Highlight
DJIA rose by +0.90% on Thursday (15/04) followed by S&P 500 (+1.11%) and Nasdaq (+1.31%). Wall Street rose supported by amicable economic data, corporate earnings that beat estimates, and a plunge in US bond yields. Furthermore, retail sales rose 9.8%, which signs that the US consumer, awash with stimulus cash, remains in good shape. US jobless claims fell to 576,000 last week which was a much larger decline than the 700,000 expected. This is followed by the trend of better-than-expected earnings from Wall Street banks also supporting investor sentiment on stocks. Moreover, the market will look forward to several data releases today, such as: 1) China 1Q21 GDP Growth Rate; 2) US Michigan Consumer Sentiment; 3) Eurozone Core Inflation Rate.
Domestic Update
• BPS released the trade balance for the period March 2021 which recorded a surplus of USD1.56 billion. BPS reported that the import value in March 2021 was USD16.79 billion, an increase of 25.73%YoY/26.55% MoM, while export stood at USD18.35 billion or +30.47% YoY.
• Furthermore, there was an addition of 1,330 new Covid-19 cases in Jakarta yesterday.
Company News
1. CTRA IJ posted revenue of IDR8.07 trillion in FY20, Which increased 6.07% YoY (vs IDR7.60 trillion in FY19). However, COGS also increased from IDR3.81 trillion in FY19 to IDR3.94 trillion in FY20. CTRA posted a net profit of IDR1.32 trillion in FY20 which increased 14.05% YoY (vs IDR1.15 trillion in FY19) (Bisnis.com). MNCS Comment: The CTRA strategy in the landed house was quite successful in maintaining top-line and bottom-line growth amid Covid-19. Currently CTRA is trading at 16.16x/1.39x PE/PBV.
2. MDKA IJ posted revenue of USD321.86 million in FY20, Which decreased 19.94% YoY (vs USD402.03 million in FY19). However, COGS also decreased from USD246.59 in FY19 to USD207.73 in FY20. MDKA posted a net profit of USD36.19 million in FY20 which decreased 48.89% YoY (vs USD70.82 million in FY19) (IQ plus). MNCS Comment: MDKA's performance drop due to a decrease in export and domestic sales of metals, on the other hand MDKA has to incur additional cost for the heap leach repair which used to cause the mine to pause their activities. We hope that the increase in metal demand will push MDKA's current performance. MDKA is currently trading at 94.66x/6.39x PE/PBV.
3. PGAS IJ recorded the realization of gas sales of 844 BBTUD in February 2021 or 10% higher than the target. The increase was contributed by the absorption of gas in the commercial sector and electricity, with gas absorption by PLN Group exceeding the target. On the other hand, the growth in the number of subscribers in Feb-2021 increased by 1.6% or to 293,715 subscribers (Kontan). MNCS Comment: The recovery in several industries has contributed to increasing demand for industrial gas. This is indicated by the Indonesian PMI at level 50.PGAS is trading at 0.39x PBV.
IHSG Updates
JCI increased by +0.48% to 6,079.50 on Thursday (15/04) followed by net foreign buy reaching IDR291.42 billion. JCI movement still reflected the global indices as intraday swing seemed volatile. However, the positive sentiment from the trade balance surplus finally added optimism. The increase was led by the agri sector with the hike on CPO price while the rest of the sectors followed. Meanwhile, the Rupiah exchange rate was strengthening at Rp14,615. We estimate JCI will move in the range of 5,880-6,113 while waiting for the Interest Rate Decision. Today's recommendation: BBTN, ISAT, UNVR, AALI.
Corporate Action
Cum Dividend Date: PRDA (IDR172/share), DSNG (IDR12.5/share)
RUPS: WSKT
Disclaimer On
