Indonesia Market Today - 5 November 2020

A. INDONESIA MORNING MARKET REVIEW

Thursday (05/11/2020). The Dow Jones index strengthened quite sharply on the 3rd day of +367.6 (+ 1.34%) * so that for 3 consecutive days the DJIA strengthened sharply by +1345.9 points (+5%) * where it has the potential to become a positive sentiment for trading this Thursday . On the other hand, the JCI actually fell by -23.03 points (-0.44%) for 3 days, especially on Wednesday there was a sudden drop that was not fundamental in nature but was thought to be more * sentiment * following the unclear results of the presidential election in the US so that the JCI fell. Yesterday was actually an opportunity to buy cheap stocks with strong fundamentals, especially after posting an increase in the top and bottom line in Q3/2020. Furthermore, the chance for JCI to rebound this Thursday is also driven by rising commodity prices such as: Oil + 3.09%, Coal + 0.08%, Nickel + 0.54%, Timah + 0.69% & CPO + 1.79% so that it has the potential to push up stocks below these commodities while day this awaits * the announcement of Q3/2020 GDP data which is estimated to be around -2.3% to -3.3% *.

B. INDONESIA CORPORATE NEWS

1. PT Telekomunikasi Indonesia (TLKM)

Until the end of quarter 3/2020, the company posted revenue of Rp. 99.94 trillion, down 2.62% compared to the same period in 2019 of Rp. 102.63 trillion. On the other hand, until the end of quarter 3/2020, * the company posted a profit attributable to the parent entity of IDR 16.67 trillion, or a slight increase of 1.34% * compared to the same period in 2019 of IDR 16.45 trillion.

2. PT Barito Pacific (BRPT)

During the 3/2020 quarter alone, the company booked US $ 11.29 million for the current period attributable to owners of the parent entity until the third quarter of 2020. Even though in the second quarter of 2020, the company still suffered a loss of US $ 8.9 million. However, * the company`s performance until the end of September 2020 recorded a 9.46% decline * compared to the same period in 2019 of US $ 12.47 million. On the other hand, the company has successfully completed the construction of the MTBE and Butene-1 plants, the first in Indonesia. The completion of the two factories adds TPIA`s total production capacity to 4.2MTA. Meanwhile, BRPT has absorbed a capex of around US $ 120 million, most of which was allocated for the completion of the construction of two factories and regular expenses.

3. PT Semen Indonesia (SMGR)

Although until the end of quarter 3/2020 the company posted a decrease in revenue of 8.89% yoy to IDR 25.62 trillion, due to a decrease in cost of revenue by 11.5%, financial expenses decreased by 26.16% yoy and sales expenses decreased by 7.11. %, had an impact until the end of quarter 3/2020 * the company booked a net profit increase of 19.37% yoy to IDR 1.54 trillion*.

4. PT Timah (TINS)

The bad news came from the issuer TINS following that until the end of quarter 3/2020 the company actually booked a loss for the current period attributable to the owner of the parent company of Rp255.153 billion or an increase of 45.14% * compared to the same period in 2019 of only Rp175,789 billion. The low profit achievement was caused by a decrease in operating income until the 3rd quarter of 2020 by around 18.42% yoy from Rp14.56 trillion to Rp11.88 trillion. One reason is that tin sales until the end of September 2020 were lower or 9.49% to 45,548 tonnes from the same period last year which was recorded at 50,326 tonnes. The average selling price of refined tin also fell 21.73% to USD16,832 from USD19,083.

C. MARKET STATISTICS

*DJIA +367.6 +1.34% 27847!!*
*NASDAQ +430.2 +3.85% 115900!!*
GOLD -4.4 -0.23% 1903.60
*OIL +1.17 +3.09% 39*
*COAL (Nov/Newcastle) +0.05 +0.08% 60.60*
*NICKEL +82.5 +0.54% 15420*
*TIN +125 +0.69% 18200!!*
*CPO (Dec`) +55 +1.70% 3295!!*
*EIDO +0.32 +1.68% 19.39*
TLK 17.68 (2575) vs 2580 (TLKM)
*US 10yr -0.1140 -12.93% 0.7680*!!
INDO 10yr +0.0172 +0.25% 6.8583
*INDO CDS (5yr) -1.157 -0.031% 93.345*
IDR (Spot) 14,565

*IDX Range : 5,054 - 5,138*
*USD/IDR Range: 14,500 - 14,640*

D. STOCK WATCHLIST

SMGR, ICBP, ACES, JPFA, TOWR, MBAP, ANTM, ASII, TLKM, BRIS.

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