Global Market Highlights
DJIA fell -0.59% on Tuesday (04/04), followed by the S&P500 (-0.58%) and the Nasdaq (-0.52%). Wall Street was corrected as investors paid close attention to the release of JOLTs Job Openings data in Feb-2023 of 9.9 million, or down from the realization in Jan-2023/consensus of 10.6/10.4 million respectively, reflecting the weak labor market. Today, the market will be looking toward several data releases such as: 1) US ISM Non-Manufacturing PMI Mar; 2) US S&P Global Composite PMI Final Mar; 3) US Balance of Trade Feb.
Domestic Update
• The Indonesian Shopping Center Management Association (APPBI) estimates that transactions in shopping centers have the potential to increase by 30% YoY during the month of Ramadan 2023. MNCS Comment: This can be expected with the lifting of the Covid-19 restriction and the recovery in economic sentiment as indicated by the upward trend in the credit demand for electronic goods which has increased by 25% YoY so far.
Company News
1. BJBR IJ will distribute cash dividends for the FY22 fiscal year of IDR1.1 trillion, or IDR104.55 per share. Meanwhile, the payout ratio reached 49.47% (Emiten News). MNCS Comment: So, we estimate BJBR will offer a dividend yield of up to 7.58%. DPS increased +5.5% YoY (vs IDR99.11 per share in FY21). In FY22, BJBR posted +13.4% YoY net profit growth to IDR2.3 trillion (vs IDR2.0 trillion in FY21). Currently, BJBR is traded at the level of 0.98x PBV.
2. SSMS IJ posted net profit growth of +21.2% YoY to IDR1.8 trillion (vs IDR1.5 trillion in FY21) (Market Bisnis). MNCS Comment: The increase in net profit was supported by an increase in revenue reaching +39.6% YoY to IDR7.3 trillion (vs IDR5.2 trillion in FY21). However, margins contracted as COGS/OPEX rose to +43.2% YoY and +62.6% YoY respectively, where GPM/OPM rose to 40.9% and 31.1% (vs 42.4%/34.0% in FY21). Currently, SSMS is traded at the level of 8.23x/2.39x PER/PBV.
3. IMPC IJ posted net profit of IDR307.4 billion, up +60.1% YoY (vs IDR192.1 billion in FY21) (Investor ID). MNCS Comment: The net profit growth was supported by a +26.1% YoY increase in revenue to IDR2.8 trillion (vs IDR2.2 trillion in FY21). Margins were also expansive, with OPM/NPM rising to 15.9%/10.9% (vs. 14.0%/8.6% in FY21), which was supported by efficiency and gains from foreign exchange. Currently, IMPC is traded at the level of 54.89x/8.40x PER/PBV.
IHSG Updates
JCI strengthened +0.09% to 6,833.18 on Tuesday (04/04), followed by net foreign sell of IDR42.46 billion. A number of sectors experienced strengthening and pushed the index forward, led by the energy sector (+1.83%) followed by the industrial sector (+0.52%). On the other hand, the sectors that led to the decline were the raw materials sector (-0.81%) followed by the cyclical sector (-0.74%). The strengthening of the index was in line with most Asian stock exchanges, where investors responded positively to increases in a number of commodity prices, as well as positive domestic and regional macroeconomic data. The rupiah closed higher at IDR14,900/USD. We estimate that the JCI will move in the price range of 6,800-6,855. Today's recommendation: HRUM, ICBP, MDKA, UNVR.
Corporate Actions
IPO: HAJJ (IDR140/share)
RUPS: JPFA, ARKO
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