BCAS Vista. Indonesia Morning Digest. 8 December 2017 RESEARCH. IDX: Turnover (IDRbn): 6,007 (-0.48%) 4,244 (-19.96%)

Transcription

1 RESEARCH RESEARCH REPORT Banking Sector: Financial holding formation Creating integration through a holding instrument Re-focus SOE banks segmentation post-holding formation Implementation of NPG, a pre-holding act Recommendation: Maintain neutral on banking sector HEADLINE NEWS INDUSTRY Financial Services Authority (OJK) projects 2017 banks net profit to grow up to 26% YoY Central Bank (BI) issues fintech regulation State-owned electricity company, PLN proposed a new coal pricing scheme for domestic used coal MoT agreed to add additional rails for Jakarta-Surabaya railway project Ngawi Kertosono section to operate in Jan 2018 Presiden Jokowi to inaugurate airport train next week Local Government of Semarang to review LRT development Gov t stated that oil & gas holding company would finalize in 1Q18 COMPANY Sarana Menara Nusantara (TOWR) to distribute IDR30/share dividend Tiga Pilar Sejahtera Food (AISA) experiencing setback in rice division divestment effort Campina to raise IDR292bn proceed through IPO INDICES ASIA IDX: Turnover (IDRbn): 6,007 (-0.48%) 4,244 (-19.96%) Vol (US$ mn) IDX 6,007 (0.48) LQ45 1,013 (0.59) Hang Seng 28, ,497 KOSPI 2,462 (0.50) ,630 Nikkei , ,671 PCOMP 8, SET 1, ,228 SHCOMP 3,272 (0.67) ,272 STI 3,388 (0.27) TWSE 10,356 (0.37) ,239 EUROPE & USA DAX 13, Dow Jones 24, FTSE 100 7,321 (0.37) NASDAQ 6, ,793 S&P 500 2, ,816 ETF & ADR Last Chg (%) MoM (%) YTD (%) EIDO US (USD) (0.26) TLK US (USD) COMMODITIES Last Last Chg (%) Chg (%) YTD (%) MoM (%) YTD (%) Brent (USD/b) (2.00) 6.13 WTI (USD/bl) (1.29) (0.53) Coal (USD/ton) (1.27) Copper (USD/mt) 6, (3.84) Gold (USD/toz) 1,247 (1.28) (2.20) 8.69 Nickel (USD/mt) 11, (12.76) Tin (USD/mt) 19,425 (0.28) (0.28) (8.05) Corn (USD/mt) 352 (0.35) (2.63) (9.64) Palm oil (MYR/mt) 2,410 (1.03) (12.65) (25.11) Soybean (USD/bu) 992 (1.07) (0.40) (0.10) Wheat (USD/bsh) 422 (0.88) (5.23) (11.77) CURNCY & RATES Last 1D 1M 2016 MARKET 2017F 2018F MACRO 2017F 2018F IDR/USD 13,554 13,539 13,514 13,473 AUD/USD CAD/USD CNY/USD USD/EUR JPY/USD SGD/USD JIBOR (%) D Repo Rate (%) Y Bond (%) CDS - 5Y (bps) FUND FLOWS & SECTORAL TREND EPS growth (%) GDP Growth (%) Cons EPS growth (%) Govt Spending (%) P/E (x) Private Spending (%) P/E ex UNVR, HMSP (x) Investment (%) EV/EBITDA (x) CPI (%) P/B (x) BI 7-day RR (%) P/B ex UNVR, HMSP (x) IDR/USD 13,433 13,576 Yield (%) FX Reserve (USDbn) Gearing ex Bank (%) CAD (%) (2.2) (2.3) ROE (%) Fiscal Budget (%) (2.5) (2.5) ROA (%) Y Govt bond Source: BCA Sekuritas Foreign Flows Last 1W 1M YTD In/(Out) (IDRbn) (890) (4,662) (14,681) (37,876) Sector Performance Last 1D (%) 1M (%) YTD (%) JAKAGRI Index 1,621 (1.44) (8.30) (13.06) JAKBIND Index (7.16) JAKCONS Index 2,640 (0.18) JAKFIN Index 1,072 (1.16) JAKINFRA Index (8.11) 2.45 JAKMIND Index 1,386 (0.43) JAKMINE Index 1,541 (1.26) (5.95) JAKPROP Index (6.51) (8.09) JAKTRAD Index 892 (0.65) (2.53) 3.61 Page 1 of 9

2 HEADLINE NEWS INDUSTRY Financial Services Authority (OJK) projects 2017 banks net profit to grow up to 26% YoY OJK projects 2017 banks net profit to reach IDR tn (22-26% YoY) partly supported by loan recovery. In addition, OJK targets 2018 banks net profit to grow 2-3% YoY. (Investor Daily) Central Bank (BI) issues fintech regulation The regulation (PBI No. 19/12/PBI/2017) that will be effective on 1-Jan-18 requires fintech companies categorized as those under payment system supervision payment system to register at BI. Fintech startups, except companies that have obtained license from BI, will have to take part in a procedure called regulatory sandbox to test their services under BI s supervision. In addition, BI has declared that cryptocurrencies as illegal due to their high price volatility that could pose huge risks to Indonesia s economy. (The Jakarta Post) State-owned electricity company, PLN proposed a new coal pricing scheme for domestic used coal. PLN has submitted a proposal for a discounted coal pricing scheme for domestic coal use. If HBA reached US$60/ton, PLN will demand for 10% discount; if the price reached US$70/ton, the discount is 12.5%. If HBA reached US$80/ton and US$100/ton, the discount is 15% and 20% respectively. (Bisnis Indonesia) Comment: Previously, we have lower our ASP assumption for domestic market by 10% next year. MoT agreed to add additional rails for Jakarta-Surabaya railway project Government is likely to add additional rails to support Jakarta-Surabaya railway project. The additional rails is aimed to support railways traffic. Transportation Minister, Budi Karya Sumadi said that additional rails might be implemented, however, the government will consider about the construction cost of the project. (Investor Daily) Ngawi Kertosono section to operate in Jan 2018 JSMR targets to complete construction of Ngawi-Kertosono toll road section by end of According JSMR s corporate secretary, Agus Setiawan, PT Ngawi Kertosono Jaya, which is a subsidiary of JSMR is currently finalizing construction of the section (49.5km). As of Nov-17, construction progress of the project already reached 94.7%. (Bisnis Indonesia) Comment: The operation of new Ngawi Kertosono section should underpin JSMR s traffic for FY18. We expect FY18 traffic volume to reach 1.6bn vehicles, reflecting 7.0% YoY growth. Presiden Jokowi to inaugurate airport train next week President Jokowi will inaugurate Soekarno-Hatta airport train next week. At the same time, The Transportation Minister, Budi Karya is also pushing for a train fare of less than IDR100k. He stated that the fare has not been finalized at IDR100k, pending discussion with state-owned railway company, KAI and operator PT Railink. (Tempo) Local Government of Semarang to review LRT development Transportation Department of Semarang is reviewing LRT development in order to overcome traffic congestion and currently conducting a study for LRT implementation. According to Head of Management and Traffic Designed of Semarang, the government have done an early phase of feasibility study. He added that the government will also discuss about the business management scheme and financing. (Investor Daily) Gov t stated that oil & gas holding company would finalize in 1Q18 The Ministry of State Owned Enterprise (BUMN), has stated that the establishment of oil & gas holding company would be finalized in 1Q18. The gov t hoped that through the merger of two domestic oil & gas giant companies would provide a solid integration within the sector and improve the profitability outlook of both companies. (Investor Daily) Comment: We think that this is a solid sentiment for PGAS, as we reiterate our view that the establishment of oil & gas holding company would amplify PGAS domination within Indonesia gas segment. Additionally, PGAS would able to expand its business horizons and secure a sustainable energy source from various oil & gas field of Pertamina across Indonesia. Page 2 of 9

3 HEADLINE NEWS COMPANY Sarana Menara Nusantara (TOWR) to distribute IDR30/share dividend TOWR will distribute IDR306bn interim dividend (IDR30/share), which translated to 0.8% dividend yield. The salient dates for TOWR s dividend is as follow Cum Dividend Ex Dividend Recording Date Payment Date 11-Dec Dec Dec Dec-17 Source: Company Tiga Pilar Sejahtera Food (AISA) experiencing setback in rice division divestment effort Following the shareholder approval in Nov-17 EGM, AISA s bondholders rejected company s plan to divest the rice business line. In General Meeting of Bondholders (RUPO), the Co proposed to change the collateral of the IDR900bn bond which matured in Apr-18 with cash, replacing Dunia Pangan s subsidiaries fixed assets. The Management is still discussing internally about the next steps to be taken. (Kontan) Campina to raise IDR292bn proceed through IPO Campina has set the IPO price at IDR330/share for 885mn shares, translating to a total IDR292bn proceed. The proceeds will be allocated to pay IDR260bn debt from Swiss Life which will mature in 2021 resulting in a lower debt to equity ratio (DER) 0.6x. Aside from loan repayment, the rest of the proceeds will be allocated for capacity expansions. (Investor Daily) Page 3 of 9

4 CORPORATE ACTION Date Ticker Company Event Desc 30-Oct-17 HERO Hero Supermarket EGM Venue: Graha HERO, Town Hall Lt 5, CBD Bintaro Jaya Sektor 5Jakarta, at pm 30-Oct-17 MLBI Multi Bintang Indonesia EGM Venue: Lobby Lounge Bimasena Klub, Dharmawangsa Hotel Jakarta, at am 30-Oct-17 OKAS Ancora Indonesia Resources EGM Venue: Ruang Seminar 2, Gedung BEI Lt 1, Jakarta Selatan, at am 31-Oct-17 LMAS Limas Indonesia Makmur EGM Venue: Adonara Room, Financial Club Jakarta Lt 28, Jakarta, at am 01-Nov-17 INDY Indika Energy EGM Venue: Gedung Balai Kartini Ballroom Mawar Lt2, Jakarta, at am 01-Nov-17 MCAS M Cash Integrasi IPO IPO mn per shares 01-Nov-17 NISP Bank OCBC Nisp EGM Venue: OCBC NISP Tower Lt 23, Jakarta, at am 02-Nov-17 AISA Tiga Pilar Sejahtera Food EGM Venue: Hotel Harris Tebet, Jakarta, at am 02-Nov-17 BBNI Bank Negara Indonesia Persero EGM Venue: Ruang Serbaguna Gedung BNI Lt 25, Jakarta, at pm 02-Nov-17 MEDC Medco Energi Internasional EGM Venue: Soehana Hall - Gedung The Energy SCBD Lot 11A, Jakarta, at pm 02-Nov-17 PLIN Plaza Indonesia Realty EGM Venue: Bromo Room, Hotel Grad Hyatt, Jakarta, at pm 02-Nov-17 RELI Reliance Sekuritas Indonesia EGM Venue: Reliance Capital Building Lt 3, Jakarta, at am 02-Nov-17 TRUS Trust Finance Indonesia EGM Venue: Gedung Artha Graha Lt 21, Jakarta, at am 06-Nov-17 HADE HD Capital EGM Venue: Fairmont Hotel, Jakarta, at am 06-Nov-17 SRIL Sri Rejeki Isman EGM Venue: Ballroom Sidoluhur Hotel Aston Solo, Surakarta, at am 06-Nov-17 TPIA Chandra Asri Petrochemical EGM Venue: Wisma Barito Pacific Tower B Lt M, Jakarta, at pm 07-Nov-17 ABDA Asuransi Bina Dana Arta EGM Venue: Adonara Room, Financial Club Jakarta Lt 28, Jakarta, at pm 07-Nov-17 JGLE Graha Andrasentra Propertindo EGM Venue: Ruang Nirwana 1 Aston Bogor Hotel & Resort, BNR, Bogor, at am 08-Nov-17 HOME Hotel Mandarine Regency EGM Venue: Belleza Gapura Prima Office Tower Lt 10 uniit 2-6, Jakarta, at am 08-Nov-17 LPCK Lippo Cikarang EGM Venue: Monas 2 Mezzanine Level Hotel Aryaduta, Jakarta, at am 09-Nov-17 GMCW Grahamas Citrawisata EGM Venue: Financial Club Jakarta Lt 28, Jakarta, at am 10-Nov-17 BBRI Bank Rakyat Indonesia Stock split Split ratio 1:5 13-Nov-17 KMTR Kirana Megatara EGM Venue: The East Building Lt 21, Jakarta, at pm 13-Nov-17 POOL Pool Advista Indonesia EGM Venue: Bursa Eefek Indonesia Tower II Lt 1, Jakarta, at am 14-Nov-17 ANJT Austindo Nusantara Jaya EGM Venue: Mercantile Athletic Club WTC Lt 18, Jakarta, at am 14-Nov-17 ISAT Indosat EGM Venue: Gedung Indosat Ooredoo, Jl Merdeka Barat No 1 Jakarta, at pm 15-Nov-17 BIMA Primarindo Asia Infrastructure EGM Venue: Hotel Prama Grand Preanger Mahabharata Room, Jakarta, at am 15-Nov-17 BTEL Bakrie Telecom EGM Venue: Bakire Tower Lt 36 Ruang Nusantara, Rasuna Epicentrum Jakarta, at am 15-Nov-17 MEGA Bank Mega EGM Venue: Menara Bank MEGA Auditorium Lt 3, Jakarta, at pm 16-Nov-17 MAGP Multi Agro Gemilang Plantation AGM Venue: Gedung Bank Panin lt 4 Hall B, Jakarta, at am 16-Nov-17 MCOR Bank China Construction Bank EGM Venue: --, at pm 16-Nov-17 YULE Yulie Sekuritas Indonesia EGM Venue: Plaza Mutiara Lt 21 Kuningan, Jakarta, at am 20-Nov-17 ARMY Armidian Karyatama EGM Venue: Singgalang Room, Mercantile Athletic Club Penthouse - WTC, Jakarta, at pm 20-Nov-17 PP Presisi IPO IPO 4.24 bn per shares, Offering Date: Nov Nov-17 BEKS Bank Pembangunan Daerah Banten EGM Venue: Hotel Ratu Serang, Banten, at am 22-Nov-17 FORU Fortune Indonesia EGM Venue: Jakarta, at am 22-Nov-17 PADI Minna Padi Investama Sekuritas EGM Venue: --, at am 23-Nov-17 FREN Smartfren Telecom EGM Venue: Ruang Auditorium Lt 3 Smartfren Telecom, Jakarta, at pm 23-Nov-17 MYRX Hanson International EGM Venue: Mercantile Athletic Club Penthouse - WTC, Jakarta, at pm 24-Nov-17 CPRO Central Proteina Prima EGM Venue: Hotel Le Meridien, Jakarta, at am 28-Nov-17 ASII Astra International EGM Venue: Java Ballroom The Westin, Jakarta 29-Nov-17 ANTM Aneka Tambang Persero EGM Venue: --, Jakarta, at am 29-Nov-17 BPFI Batavia Prosperindo Finance Tb EGM Venue: Chaze Plaza, Jakarta, at am 29-Nov-17 BSWD Bank of India Indonesia EGM Venue: Bank of India Indoensia, Jakarta, at am 29-Nov-17 FASW Fajar Surya Wisesa EGM Venue: Ruang Seminar, Gedung BEI Jakarta, at am 29-Nov-17 BA Tambang Batubara Bukit Asam EGM Venue: Jakarta, at am 29-Nov-17 TINS Timah Persero EGM Venue: Hotel Borobudur Jakarta, at pm 30-Nov-17 BAYU Bayu Buana EGM Venue: --, at am 30-Nov-17 BBYB Bank Yudha Bhakti EGM Venue: --, at am 30-Nov-17 BRNA Berlina EGM Venue: Gedung Balai Kartini Room Anggrek Lt 1, Jakarta, at am 30-Nov-17 EPMT Enseval Putera Megatrading EGM Venue: EPM Function Room Gedung A Lt II, Jakarta, at am 30-Nov-17 SRAJ Sejahteraraya Anugrahjaya EGM Venue: Mayapada Hospital Jakarta Selatan, Jakarta, at am 30-Nov-17 Wijaya Karya Gedung IPO IPO 4.47 bn per shares, Offering Date: Nov Dec-17 MEDC Medco Energi Internasional Right issue Right issue 4.45 mn per shares and Page 4 of 9

5 Dividend Ticker Company Amount (IDR) Cum Date Ex Date Payment Date MBAP Mitrabara Adiperdana Sep Sep Sep-17 HEXA Hexindo Adiperkasa Sep Sep Oct-17 ASII Astra International Oct-17 3-Oct Oct-17 ACST Acset Indonusa Oct-17 5-Oct Oct-17 AALI Astra Agro Lestari Oct-17 6-Oct Oct-17 UNTR United Tractors Oct-17 6-Oct Oct-17 AUTO Astra Otoparts Oct-17 9-Oct Oct-17 ASGR Astra Graphia Oct Oct Oct-17 PALM Provident Agro Oct Oct-17 9-Nov-17 BSSR Baramulti Suksessarana Oct Oct-17 8-Nov-17 TPIA* Chandra Asri Petrochemical Oct Oct-17 8-Nov-17 MPMX Mitra Pinasthika Mustika Nov-17 3-Nov Nov-17 ITMG Indo Tambangraya Megah 1, Nov-17 6-Nov Nov-17 MLBI Multi Bintang Indonesia Nov-17 7-Nov Nov-17 SMSM Selamat Sempurna Nov-17 8-Nov Nov-17 PLIN Plaza Indonesia Nov Nov Nov-17 TURI Tunas Ridean Nov Nov-17 4-Dec-17 FASW Fajar Surya Wisesa Nov Nov Dec-17 DMAS Puradelta Lestari Nov Nov Dec-17, IDX, BCA Sekuritas Estimate, *Dividend amount in USD **Stock dividend Page 5 of 9

6 1H17 Actual vs Estimates 9M2017 BCA Sekuritas Market Consensus Ticker Net Profit FY17 Estimate % 9M17 FY17 Estimate % 9M17 Remarks (IDRtn) (IDRtn) to FY17E (IDRtn) to FY17E Remarks AALI % in line % in line ACES % in line % below ADHI % above % above ADRO* % in line % above ANTM (0.3) % below % below ASII % below % below ASRI % above % above BBCA 16.8 NR NA NA % in line BBNI % in line % in line BBRI % in line % in line BBTN % in line % in line BDMN % in line % in line BEST % in line % in line BJBR % below % below BMRI % in line % in line BNGA % in line % above BSDE % in line % in line CPIN % below % below CTRA % below % below DMAS % below % below ERAA % in line % in line EXCL % below % in line GGRM % below % in line HMSP % in line % in line ICBP % in line % in line INCO* (19.6) % below % below INDF % in line % in line INTP % in line % below ISAT % below % below ITMG* % in line % in line JPFA % below % below KIJA % below % below KLBF % below % below LPPF % in line % in line LSIP % in line % above MAIN % below % below MAPI % in line % in line META % in line % in line MIKA % below % in line MNCN % in line % in line PGAS* % above % below PNBN % above % in line PTBA % above % above PTPP % above % above RALS % in line % in line ROTI % below % below SCMA % below % below SGRO % in line % in line SIDO % in line % in line SILO % above % below SIMP % below % below SMBR % in line % below SMGR % below % below SMRA % in line % in line SSIA % in line % in line TELE % below % below TINS % in line % above TLKM % in line % in line TOWR % below % in line ULTJ % above % above UNTR % above % above UNVR % below % below WIKA % in line % in line WOOD % in line % in line WSKT % above % above Number of companies 65, BCA Sekuritas, Companies *currency in USDmn Page 6 of 9

7 Ticker Rating CP (IDR) TP (IDR) Mkt cap (IDR bn) Index Weight Free float (%) ADTV (IDRbn) Rev growth (%) OP growth (%) Net Profit (IDRbn) EPSG (%) P/E (x) EV/EBITDA (x) P/B (x) Div yield (%) ROE (%) 2017F 2018F 2017F 2018F 2016F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F Automotive (Neutral) - Pandu Anugrah (pandu.anugrah@bcasekuritas.co.id) ASII HOLD 8,300 9, , ,156 19,609 22, Banking (Neutral) - Gilang Purnama (gilang.purnama@bcasekuritas.co.id), Willy Suwanto (willy.suwanto@bcasekuritas.co.id), Prasetya Gunadi (prasetya.gunadi@bcasekuritas.co.id) BBCA NR 20,975 NA 517, ,606 22,799 25, NA NA BBNI BUY 8,525 8, , ,339 13,637 15, NA NA BBRI BUY 3,380 3, , ,196 28,936 31, n.a. n.a BBTN HOLD 3,550 3,300 37, ,619 3,072 3, NA NA BDMN HOLD 5,500 5,100 52, ,669 4,067 4, NA NA BJBR FULLY VALUED 2,300 2,000 22, (2.6) ,153 1,515 1, NA NA BMRI BUY 7,350 8, , ,806 20,296 23, NA NA BNGA BUY 1,195 1,400 30, ,082 3,041 3, NA NA PNBN HOLD 1,185 1,150 28, ,405 2,820 3, NA NA Sector 1,607, , , , , Cement (Neutral) - Nyoman Prabawa (nyoman.prabawa@bcasekuritas.co.id) INTP HOLD 18,950 21,000 69, (7.5) 7.0 (45.2) ,871 1,898 2,123 (51.0) SMBR FULLY VALUED 2,500 1,000 24, (5.4) 5.8 (38.3) (44.1) SMGR BUY 9,250 12,000 54, (39.0) ,522 1,974 2,435 (56.3) Sector 149, (41.5) ,652 4,017 4,734 (53.8) Cigarette (Neutral) - Jennifer Frederika Yapply (jennifer.yapply@bcasekuritas.co.id) GGRM BUY 79,950 95, , ,677 7,124 7, HMSP HOLD 4,320 4, , (7.7) ,762 12,070 13,571 (5.5) Sector 656, (4.1) ,439 19,194 21,487 (1.3) Coal (Neutral) - Prasetya Gunadi (prasetya.gunadi@bcasekuritas.co.id), Aditya E Prakasa (aditya.prakasa@bcasekuritas.co.id) ADRO BUY 1,710 2,250 54, (6.5) (7.2) ITMG HOLD 21,200 20,900 23, (4.5) (5.9) PTBA BUY 10,950 13,450 25, (7.9) 2,006 3,696 3, (7.2) Sector 103, (6.7) 2,471 13,239 12, (7.4) Consumer (Overweight) - Jennifer Frederika Yapply (jennifer.yapply@bcasekuritas.co.id), Willy Suwanto (willy.suwanto@bcasekuritas.co.id) ICBP BUY 8,675 10, , ,600 4,067 4, INDF HOLD 7,325 8,500 64, ,730 4,522 5, KLBF HOLD 1,655 1,700 77, ,300 2,447 2, ROTI BUY 1,230 1,490 7, (39.3) (44.0) SIDO BUY , (7.0) ULTJ BUY 1,255 1,675 14, UNVR BUY 50,300 57, , ,391 7,032 7, WOOD BUY , NA Sector 658, ,483 19,753 22, Sector excl UNVR 274, ,093 12,721 14, Construction & Toll Road (Overweight) - Michael Ramba (michael.ramba@bcasekuritas.co.id) ADHI BUY 1,770 2,800 6, META BUY , PTPP BUY 2,450 4,400 15, ,023 1,699 2, WIKA BUY 1,645 2,800 14, ,012 1,290 1, WSKT BUY 1,955 2,600 26, ,713 3,018 2, (2.3) WTON BUY , JSMR HOLD 6,275 6,450 45, ,890 2,190 2, Sector 116, ,372 9,229 10, Heavy Equipment (Neutral) - Prasetya Gunadi (prasetya.gunadi@bcasekuritas.co.id), Pandu Anugrah (pandu.anugrah@bcasekuritas.co.id) UNTR BUY 33,000 41, , ,002 7,444 8, Hospital (Neutral) - Jennifer Frederika Yapply (jennifer.yapply@bcasekuritas.co.id) MIKA BUY 1,740 2,200 25, SILO FULLY VALUED 10,800 8,500 17, (8.0) (8.5) Sector 42, (0.8) (1.5) Industrial Estate (Neutral) - Gilang Purnama (gilang.purnama@bcasekuritas.co.id) BEST HOLD , DMAS BUY , (43.7) 29.9 (48.7) (41.9) KIJA BUY , (49.3) LPCK HOLD 3,400 4,150 2, (5.8) 28.3 (15.9) (15.0) SSIA BUY , (15.7) 22.9 (54.3) , ,863.6 (95.5) Sector 21, (6.0) 14.5 (12.0) ,132 2,980 2, (28.5) Page 7 of 9

8 Ticker Rating CP (IDR) TP (IDR) Mkt cap (IDR bn) Index Weight Free float (%) ADTV (IDRbn) Rev growth (%) OP growth (%) Net Profit (IDRbn) EPSG (%) P/E (x) EV/EBITDA (x) P/B (x) Div yield (%) ROE (%) 2017F 2018F 2017F 2018F 2016F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F 2017F 2018F Media (Overweight) - Jennifer Frederika Yapply (jennifer.yapply@bcasekuritas.co.id) MNCN BUY 1,325 1,700 18, (0.7) ,369 1,427 1, SCMA BUY 2,500 2,550 36, (6.7) ,501 1,413 1,593 (5.9) Sector 55, (3.5) ,870 2,840 3,341 (1.0) Metal & Mining (Neutral) - Aditya E Prakasa (aditya.prakasa@bcasekuritas.co.id) ANTM BUY , NA (0.4) 0.5 INCO HOLD 2,700 2,900 26, TINS BUY 780 1,250 5, Sector 47, , Oil & Gas (Neutral) - Nyoman Prabawa (nyoman.prabawa@bcasekuritas.co.id) PGAS BUY 1,620 2,200 39, (0.6) 6.2 (17.6) (51.4) MEDC BUY 1,000 1,250 11, (23.6) Sector 51, ,980 6,131 (37.2) Petrochemical (Neutral) - Willy Suwanto (willy.suwanto@bcasekuritas.co.id) TPIA HOLD 5,550 5,400 98, (0.7) (5.8) Plantation (Neutral) - Nyoman Prabawa (nyoman.prabawa@bcasekuritas.co.id) AALI BUY 13,000 17,000 25, ,007 1,917 2,059 (4.5) LSIP BUY 1,330 1,650 9, SGRO HOLD 2,590 2,550 4, (31.3) SIMP HOLD , Sector 46, ,581 3,734 4, Poultry (Neutral) - Johanes Prasetia (johanes.prasetia@bcasekuritas.co.id) CPIN HOLD 3,020 3,100 49, (13.4) ,221 2,596 3, JPFA BUY 1,235 1,600 14, (23.6) ,065 1,166 1,604 (45.7) MAIN HOLD , (63.1) (95.2) Sector 65, (20.3) ,575 3,776 4,969 (17.5) Property Residential (Neutral) - Michael Ramba (michael.ramba@bcasekuritas.co.id) ASRI HOLD , (9.6) 69.0 (13.1) 509 1, (19.4) BSDE BUY 1,610 2,400 30, ,796 2,713 2, CTRA BUY 1,160 1,400 21, , SMRA HOLD 850 1,050 12, Sector 71, ,478 5,070 5, Retails (Neutral) - Johanes Prasetia (johanes.prasetia@bcasekuritas.co.id) ACES BUY 1,125 1,300 19, LPPF BUY 10,275 13,400 29, (6.1) ,020 1,928 2,140 (4.5) MAPI BUY 6,775 8,000 11, MPPA HOLD , (1.0) 6.9 (202.0) (77.9) 38 (144) (79) NA (44.8) (15.3) (27.6) (6.0) (3.5) RALS BUY 1,015 1,190 7, (16.8) (6.8) Sector 69, (5.8) ,386 3,300 3,885 (2.5) Telecommunication Sector (Overweight) - Aditya E Prakasa (aditya.prakasa@bcasekuritas.co.id) EXCL BUY 2,950 4,100 31, NA (31.4) ISAT BUY 4,910 8,000 26, ,105 1,389 1, TLKM BUY 4,200 5, , ,430 21,946 24, Sector 481, ,911 23,623 26, Telecommunication Retail (Overweight) - Aditya E Prakasa (aditya.prakasa@bcasekuritas.co.id) ERAA BUY , TELE BUY 1,000 1,300 7, (0.3) (6.2) Sector 9, (0.4) Tower Telco (Overweight) - Aditya E Prakasa (aditya.prakasa@bcasekuritas.co.id) TOWR BUY 3,770 5,250 38, ,042 2,929 3,814 (3.7) Stock universe 4,849, , , , , Stock universe exc HMSP UNVR 3,963, , , , , Page 8 of 9

9 Teguh Hartanto Director of Equity, ext: 129 RESEARCH DIVISION Pandu Anugrah Jennifer Frederika Yapply Arga Samudro Head Of Research, ext: 168 Senior Manager, ext: 179 FI Analyst, ext: 181 Strategy, Automotive Cigarettes, Consumer, Health Care, Media FI Strategies & Macroeconomist Aditya Eka Prakasa Johanes Prasetia Michael Ramba Equity Analyst, ext: 182 Equity Analyst, ext: 185 Equity Analyst, ext: 184 Telco, Metal Mining Retail, Poultry Construction, Property Residential Nyoman Widita Prabawa Gilang Purnama Willy Suwanto Equity Analyst, ext: 180 Equity Analyst, ext: 178 Equity Analyst, ext: 178 Cement, Plantation, Oil & Gas Banking, Industrial Estate Banking, Consumer, Petrochemical Prasetya Gunadi Achmad Yaki Yamani Equity Analyst, ext: 183 Technical Analyst, ext: 186 Banking, Coal, Heavy Equipment Technical Analyst Yuni Pratiwi Anindra Alief Mattawang Research Assistant, ext: 183 Research Assistant, ext: 186 EQUITY CAPITAL MARKET DIVISION Ermawati Agustina Erman Head of Institutional Sales, ext: 159 Haslienda Santoso Jodikin Arief Iskandar Equity Capital Market, ext: 137 Sales Trader, ext: 164 Institutional Dealer, ext: 136 Page 9 of 9 DISCLAIMER By receiving this research report ("Report"), you confirm that: (i) you have previously requested PT BCA Sekuritas to deliver this Report to you and you are legally entitled to receive the Report in accordance with Indonesian prevailing laws and regulations, and (ii) you have fully read, understood and agreed to be bound by and comply with the terms of this Report as set out below. Your failure to comply with the terms below may constitute a violation of law. This Report is strictly confidential and is for private circulation only to clients of PT BCA Sekuritas. This Report is being supplied to you strictly on the basis that it will remain confidential and that you will maintain its confidentiality at all times. Without the prior written consent of PT BCA Sekuritas authorized representative(s), no part of this Report may be (i) copied or reproduced in any form by any means, (ii) redistributed or delivered, directly or indirectly, to any person other than you, or (iii) used for any other purpose that is not in line with the terms of the Report.. PT BCA Sekuritas, its affiliates and related companies, their directors, associates, connected parties and/or employees (excluding the individual analysts who prepare this Report) may own or have positions in securities of the company(ies) covered in this Report and may from time to time buy or dispose, or may have material interest in, those securities. Further, PT BCA Sekuritas, its affiliates and its related companies do and seek to do business with the company(ies) covered in this Report and may from time to time: (i) act as market maker or have assumed an underwriting commitment in the securities of such company(ies), (ii) sell to or buy those securities from other investors for its own account, (iii) perform or seek to perform significant investment banking, advisory or underwriting services for or relating to such company(ies), or (iv) solicit any investment, advisory or other services from any entity covered in this Report. Furthermore, the personnel involved in the preparation of this Report may also participate in the solicitation of the businesses as described above. The views expressed in this Report reflect the personal views of the individual analyst(s) at PT BCA Sekuritas about the securities or companies mentioned in the Report and the compensation of the individual analyst(s), is, or will be directly or indirectly related to the performance of PT BCA Sekuritas activities. PT BCA Sekuritas prohibits the individual analyst(s) who prepared this Report from receiving any compensation, incentive or bonus based on specific investment banking transactions or for providing a specific recommendation for, or view of, a particular company (including those covered in the Repot). However, the individual analyst(s) may receive compensation based on the scope of his/their coverage of company(ies) in the performance of his/their duties or the performance of his/their recommendations. In reviewing this Report, you should be aware that any or all of the above activities of PT BCA Sekuritas, its affiliates and related companies, their directors, associates, connected parties and/or employees, among other things, may give rise to real or potential conflicts of interest between them and you. The content of this Report is prepared based on data believed to be correct and reliable on the date of this Report. However, this Report: (i) is not intended to contain all necessary information that a prospective investor may need, (ii) is not and should not be considered as an investment advice in any way, and (iii) cannot be relied as a basis for making an informed investment decision. Accordingly, PT BCA Sekuritas does not guarantee the adequacy, accuracy, completeness, reliability or fairness of any content of this Report and PT BCA Sekuritas, its affiliates and related companies, their directors, associates, connected parties and/or employees (including the analysts) will not be liable in any way for any consequences (including but not limited to any direct, indirect or consequential losses, loss of profits and damages) arising from or relating to any reliance on or use of the content of this Report by any person (including you). This Report is general in nature and has been prepared for information purposes only. It is intended for circulation amongst PT BCA Sekuritas clients only and does not consider any specific investment objectives, financial situation and the particular needs of any specific person who may receive this Report. The entire content of this Report is not and cannot not be construed or considered as an offer, recommendation, invitation or solicitation to enter into any transaction (including trading and hedging) relating to the securities, other financial instruments, and other form of investments issued or offered by the company(ies) covered in this Report. It is your own responsibility to: (i) independently evaluate the content of this Report, (ii) consider your own individual investment objectives, financial situation and particular needs, and (iii) consult your own professional and financial advisers as to the legal, business, financial, tax and other aspects before participating in any transaction in respect of the securities of company(ies) covered in this Report. Please note that the securities of the company(ies) covered in this Report might not be eligible for sale in all jurisdictions or to all categories of investors. The availability of those securities and your eligibility to invest in those securities will be subject to, among others, the prevailing laws of the relevant jurisdiction covering those securities. Furthermore, the value and income of any of the securities covered in this Report can fall as well as rise and an investor (including you) may get back less than invested. Future returns are not guaranteed, and a loss of original capital may be incurred. Foreign-currency denominated securities are subject to fluctuation in exchange rates that could have a positive or adverse effect on the value, price or income of such securities and financial instruments. Past performance is not indicative of comparable future results and no guarantee regarding future performance is provided in this Report. This Report is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to the applicable laws or regulation of such jurisdiction.