Indonesia Market Today - 1 December 2020

A. INDONESIA MORNING MARKET REVIEW

Tuesday (01/12/2020). After yesterday, the JCI was hit by profit taking by foreign investors who entered the level of 5,000 on some blue chip counters, this Tuesday there is still a chance that the JCI will decline slightly as the DJIA has decreased by -0.91% and the EIDO has decreased by -4.06%. Another negative factor came from falling prices for several commodities, such as: Oil -0.75%, Gold -0.64%, Nickel -2.25%, Tin -1.43% & CPO -0.82%. On the other hand, * the only commodity whose price strengthened in Early BIRD`s monitoring was: Coal rose + 1.08% * so that it has the potential to push up stocks below the commodity * including: * ITMG, ADRO, PTBA HRUM, INDY & UNTR *

Indonesia is the 3rd most corrupt country in Asia

Transparency International released a report entitled Global Corruption Barometer-Asia, ranking * Indonesia as the number three most corrupt country in Asia *. According to the global corruption index monitoring agency, Indonesia lost to India and Cambodia. * Indonesia`s Corruption Perception Index (IPK) last year rose two points to 40 * from 38th in 2018. According to TI, a score of 0 means very corrupt and 100 very clean.

B. INDONESIA CORPORATE NEWS

1. PT Adhi Karya (ADHI)

The company has signed a new contract for the construction of the Solo-Yogyakarta-NYIA Kulonprogo toll road. Under this contract, ADHI worked on two development packages for Package 1.1 for the 22.3 KM Kartasura-Klaten Section and Package 2.2 for the 14 KM Monjali-Gamping Section. The total contract value signed was IDR 7.8 trillion (excluding taxes). This work is planned to be carried out for 730 calendar days from the issuance of the Work Commencement Order.

2. PT Bayan Resources (BYAN)

Reviewing the 2020 target, the company estimates revenue in the range of US $ 1.2 billion (or the equivalent of Rp. 16.94 trillion using an exchange rate of 1 USD = Rp. 14,119), where as of November 5, 2020 the company has pocketed a coal sale and purchase contract commitment of 10.6 million. tons with an average selling price of US $ 39 per ton to US $ 40 per ton and production volume in the range of 30-31 million tons. Meanwhile, until the third quarter of 2020, the company posted revenues of US $ 1 billion, down 12% compared to the same period last year of US $ 1.14 billion. Furthermore, until the end of quarter 3/2020, the company booked a profit for the period attributable to the parent entity of US $ 108.22 million or a decrease of 48.35% compared to the same period in 2019 of US $ 229.73 million.

3. PT Perusahaan Gas Negara (PGAS)

Until the third quarter of 2020, the company recorded a net profit of USD 53.25 million, or a decrease of 58.91% compared to the same period in 2019 of USD 129.1 million. Meanwhile, revenue at the end of quarter 3/2020 was recorded at USD2.15 billion, down 23.47% compared to the same period in 2019 amounting to USD2.81 billion.

4. PT Indofood CBP Sukses Makmur (ICBP)

Until the 3/2020 quarter, the company posted an increase in net profit of 1.80% to IDR 3.96 trillion from IDR 3.89 trillion in the 3rd quarter of 2019. Meanwhile, until the 3rd quarter of 2020, the company posted a sales increase of 3.35% to Rp33.89 trillion from Rp32.79 trillion in the 3rd quarter of 2019.

5. PT Fast Food Indonesia (FAST)

Until the end of quarter 3/2020, the company booked a loss for the current period of IDR 298.33 billion or a sharp drop of -269.8% because in the same period of 2019 the company still booked IDR 175.7 billion. This loss was caused by a correction in revenue of 28.47 percent on an annual basis to only IDR 3.59 trillion. The company`s largest revenue was still recorded by sales of food and beverages to third parties which contributed IDR3.54 trillion, followed by CD consignment sales of IDR41.5 billion by the end of the third quarter of 2020.

6. PT Wijaya Karya (WIKA)

The company is currently participating in a project tender with a total value of IDR 7 trillion which has the potential to be booked in December 2020 so that the company is optimistic that it can meet the target of obtaining new contracts throughout 2020. On the other hand, until November 2020 the company has booked new contracts worth IDR 18 trillion or reflects the achievement of the target of 84.22. % of this year`s target of IDR 21.37 trillion.

C. MARKET STATISTICS

DJIA -271.7 -0.91% 29638
NASDAQ -7.11 -0.06% 12198
GOLD -11.4 -0.64% 1779.30
OIL -0.34 -0.75% 45.18
*COAL (Dec/Newcastle) +0.75 +1.08% 70.30!!*
NICKEL -370 -2.25% 16052.50
TIN -270 -1.43% 18665
CPO (Jan`21) -28 -0.82% 3370
EIDO -0.92 -4.06% 21.76
*TLK 22.45 (3170) vs 3230 (TLKM)*
*US 10yr -0.0360 -4.10 0.8420*
*INDO 10yr +0.0096 +0.15% 6.4557*
*INDO CDS (5 yrs) `0.017 -0.02% 72.507*
*IDR (Spot) 14,120*

*IDX Range : 5,560 - 5,648*
*USD/IDR Range: 14,070 - 14,200*

D. STOCK WATCHLIST

ITMG, AALI, BRIS, JSMR, ADHI, LSIP, HRUM, GGRM, BBRI, AKRA.

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