Indonesia Market Today - 9 September 2020

A. INDONESIA MORNING MARKET REVIEW

Wednesday (09/09/2020)

JCI in trading this Wednesday has the opportunity to experience selling pressure * referring to the sharp combination of the DJIA`s drop of -2.35% due to disappointing news regarding the Corona virus vaccine being researched by pharmaceutical company AstraZeneca for a while being suspended following an adverse reaction to participants in the United Kingdom and falling share prices technology and the decline in EIDO by -1.08% and the fall of several commodity prices such as: Oil -5.90%, Nickel -1.74% & Tin -1.46% amidst the attainment of the highest number of victims who were infected and died due to Corvid19, where on Tuesday there was an increase of around +3.046 people (up + 1.55%) are infected with Corvid * so that so far the number of victims infected by Corvid19 has reached 200,035 people with the addition of the death toll on Tuesday as many as +100 people (up + 1.23%) so that so far the death toll has reached 8,230 people, up to 10,000 dead in the near future (Fatality Rate of 4.11%)*.

US CDC Classifies Indonesia as a High Risk Country for Covid-19.

The United States Centers for Disease Control and Prevention (CDC) classifies Indonesia as a Level 3 Warning in its Travel Alert. Level 3 warning means Indonesia has a high risk of Covid-19. The CDC recommends that travelers avoid all non-essential international travel to Indonesia.

59 Countries Close Their Doors to Indonesian Citizens, This is the Attitude of the Indonesian Government.

At least 59 countries have prohibited Indonesian citizens from entering their country. This is related to the high number of positive cases of Covid-19 in the country. Apart from * Malaysia *, other countries that limit visits from Indonesia include * Hungary, United Arab Emirates *, and * South Africa *.

B. INDONESIA CORPORATE NEWS

1. PT Chandra Asri Petrochemical (TPIA)

The company has started operating the two units of the MTBE and B1 plants, which are the first in Indonesia. The construction of the two factories was successfully completed on schedule even in the midst of a pandemic, in order to continue to support the Indonesian government`s target to substitute imports through the Increased Use of Domestic Products (P3DN) program promoted by the Ministry of Industry. The operation of these two factories is in line with the Indonesian Government`s target for import substitution of 35% by 2022, the MTBE (Methyl Tert-butyl Ether) Plant with a capacity of 128 KTA to supply domestic needs for octane booster, which is still being imported, and Factory B1 (Butene 1). ) with a capacity of 43 KTA will be absorbed for the operational needs of the Chandra Asri factory of 33 KTA, with the rest targeted for the domestic market.

2. PT Ramayana Lestari Sentosa (RALS)

During semester 1/2020, the company`s net profit fell sharply by 99.1%, where this realization was equivalent to a profit of IDR 5.36 billion, a drastic decrease when compared to the profit in the previous year of IDR 589.83 billion. Meanwhile, during semester 1/2020, the company recorded gross sales of Rp. 2.2 trillion, down 58.3% from Rp. 5.27 trillion in semester 1 / 2019. Specific gross sales in the second quarter of 2020 contributed the largest decrease of 77.5. % impact of outlet closings, limits on outlet operating hours, and decreased purchasing power.

3. PT Buana Lintas Lautan (BULL)

The company announced that it will conduct a private placement of up to 10% of the total issued and fully paid shares. This corporate action requires the blessing of shareholders through an extraordinary general meeting of shareholders (EGMS) which will be held on October 15, 2020. Using such assumptions, the maximum total shares to be issued by the Company is 1.18 shares with nominal value. IDR 100 per share, then the issued and fully paid capital after PMTHMETD will increase by IDR 118 billion.

4. PT Saratoga Investama Sedaya (SRTG)

The company sold around 131.9 million of its shares in * PT Merdeka Copper Gold (MDKA) *. This share sale is intended for divestment activities. prior to the transaction, the company owned approximately 4.32 billion units of shares or 19.74% shares in Merdeka Copper. However, after the transaction, Saratoga`s share ownership in Merdeka Copper decreased to 4.18 billion units of shares or 19.13%. The number of shares sold was 131.9 million units with a selling price of Rp 1,620. With this sales price, Saratoga could raise IDR 213.6 billion.

5. PT Estika Tata Tiara (BEEF)

The company posted a revenue increase of 18% to Rp 684.62 billion during the first semester of 2020, compared to the same period last year of Rp 580.03 billion. However, the company posted a net loss of IDR 78.44 billion, compared to the first semester of 2019 with a net profit of IDR 32.02 billion. Meanwhile, the increase in total revenue was contributed by the sale of biological assets by Rp 326.44 billion, down 43.72% from the same period last year of Rp 580.03 billion. Sales of offal meat and local beef products amounted to Rp 43 billion, cut 25.65% from the previous Rp 57.84 billion. Meanwhile, sales of beef offal and imported beef products amounted to Rp 198.24 billion, or a correction of 0.37%, compared to the same period last year with Rp 198.99 billion, advanced products of Rp 105.79 billion, down 24.28% from the previous. Rp. 139.72 billion, and the rest was contributed by other sales of Rp. 11.13 billion.

6. PT Atlas Resources (ARII)

Regarding the bankruptcy lawsuit, based on Decision Number 90 / Pdt.Sus. PKPU / 2020 / PN.Niaga.Jkt.Pst. The Panel of Judges at the Court has decided to grant an extension to the Company for 19 (nineteen) days from 26 August 2020 to 14 September 2020, said Lidwina S. Nugraha, Independent Director of ARII. This PKPU decision has not had a significant impact on the information or material facts on the operational, legal, financial condition or business continuity of the Company. The company is preparing a Peace Proposal so that the PKPU above can be completed according to the set time.

C. MARKET STATISTICS

DJIA -632.42 -2.25% 27500
NASDAQ -465.44 -4.11% 10847
*GOLD +1.6 +0.08% 1938.60*
OIL -2.31 -5.90% 36.84
*COAL (Okt/Newcastle) +0.90 +1.80% 50.80*
NICKEL -265 1.74% 14940
TIN -267.50 -1.46% 18050
*CPO (Nov`) +68 +2.43% 2870*
EIDO -0.21 -1.08% 19.17
*TLK 19.59 (2892) vs 2860 (TLKM)*
US 10yr -0.0370 -5.13% 0.6840
INDO 10yr +0.0196 +0.28% 7.0247
*INDO CDS (5yr) +0.395 +0.44% 89.28*
IDR (Spot) 14,765

*IDX Range : 5,197 - 5,282*
*USD/IDR Range: 14,680 - 14,820*

D. STOCK WATCHLIST

BBRI, ERAA, INT, INDF, JPFA, BMRI, ACES, RALS, CPIN, ASII.

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