Equity Research

Thursday, February 12, 2015

Danareksa Sekuritas – Equity Research

FROM RESEARCH

Bank Mandiri: Solid performance despite challenges (BMRI IJ. Rp 11,750. BUY. TP Rp 12,400)

BMRI posted Net Interest Income of IDR39.1 tn in FY14, up 15.7% YoY - beating our forecast of IDR36.3 tn. Other operating income, however, only reached 81.1% of our full year forecast due to weak growth in fee-based income (+4.9% YoY). Operating expenses, meanwhile, grew at a modest pace of 12.6% YoY to IDR25.4 tn in FY14. At the bottom line, BMRI recorded IDR19.9 tn of net profits in FY14, still within our expectations and reaching 102.1% of our full year forecast. For the time being we maintain our BUY call on the stock with a Target Price of IDR12,400, implying PBV 2015-16F of 2.5-2.2x.

MARKET NEWS

*Analysts’ comment inside

Antam Cut Rights Issue Targets to Rp5.3tn (ID) Economic Slowdown Hold January performance on 2W (BI) Cement Sales January 2015: Stagnant Demand (BI) OJK: Lending Rate Potentially Decline 50bps (BI)

IDX ANNOUNCEMENT

Cash Announcement

Code Ex-Date Date Payable Amount (Rp)

ADRO 05-Jan-2014 16-Jan-2014 US$ 0.00094

AISA 05-Jan-2014 14-Jan-2014 8.5

Source: KSEI

MORNING HIGHLIGHT

Key Index

Close

Chg Ytd Vol

(%) (%) (US$ m)

Asean - 5

Indonesia 5,337 0.3 2.1 371

Thailand 1,605 0.6 7.2 1,776

Philippines 7,686 (0.5) 6.3 201

Malaysia 1,799 (0.7) 2.1 634

Singapore 3,445 0.3 2.4 719

Regional

China 3,158 0.5 (2.4) 36,203

Hong Kong 24,315 (0.9) 3.0 8,383

Japan 17,653 (0.3) 1.2 11,492

Korea 1,941 (0.3) 1.3 3,744

Taiwan 9,462 0.7 1.7 3,069

India 28,534 0.6 3.8 525

NASDAQ 4,801 0.3 1.4 69,227

Dow Jones 17,862 (0.0) 0.2 6,530

Currency and Interest Rate

Rate

w-w m-m ytd

(%) (%) (%)

Rupiah (Rp/1US$) 12,723 (0.7) (1.0) (2.7)

SBI rate (%) 6.93 0.0 0.0 (0.3)

10-y Govt Indo bond 7.41 0.3 (0.4) (0.4)

Hard Commodities

Unit Price

d-d m-m ytd

(%) (%) (%)

Coal US$/ton 62 n/a (0.6) (27.0)

Gold US$/toz 1,221 0.2 (1.0) 3.1

Nickel US$/mt.ton 14,691 (0.5) (3.6) (2.5)

Tin US$/mt.ton 17,629 (3.0) (9.8) (9.3)

Soft Commodities

Unit Price

d-d m-m ytd

(%) (%) (%)

Cocoa US$/mt.ton 2,929 (0.2) (2.0) 2.4

Corn US$/mt.ton 145 (0.5) (1.1) (9.2)

Crude Oil US$/barrel 55 (3.1) 9.1 (4.7)

Palm oil MYR/mt.ton 2,306 (0.6) (1.5) (10.4)

Rubber USd/kg 140 0.4 (3.6) (7.9)

Pulp US$/tonne 903 n/a (3.1) (0.4)

Coffee US$/60kg bag 138 0.5 6.6 41.0

Sugar US$/MT 377 (1.8) (4.0) (3.6)

Wheat US$/mt.ton 193 0.8 (6.7) (10.9)

Source: Bloomberg

Equity Research

Thursday, February 12, 2015

Danareksa Sekuritas – Equity Research

PT Danareksa Sekuritas Jl. Medan Merdeka Selatan No. 14 Jakarta 10110 Indonesia Tel (62 21) 350 9777, 350 9888 Fax (62 21) 350 1709

Equity Research Team

Agriculture Helmy Kristanto helmyk@danareksa.com (62-21) 2955 824 Automotive Helmy Kristanto helmyk@danareksa.com (62-21) 2955 824 Auto Component Joko Sogie jokos@danareksa.com (62-21) 29555 888 ext.3512 Banking Eka Savitri ekas@danareksa.com (62-21) 29555 888 ext.3509 Cement Helmy Kristanto helmyk@danareksa.com (62-21) 2955 824 Coal Stefanus Darmagiri stefanus.darmagiri@danareksa.com (62-21) 29555 888 ext.3530 Construction Joko Sogie jokos@danareksa.com (62-21) 29555 888 ext.3512 Consumer Jennifer Frederika Yapply jennifer.yapply@danareksa.com (62-21) 29555 888 ext.3508 Heavy Equipment Stefanus Darmagiri stefanus.darmagiri@danareksa.com (62-21) 29555 888 ext.3530 Media Lucky Ariesandi, CFA lucky.ariesandi@danareksa.com (62-21) 29555 888 ext.3520 Metal Mining Stefanus Darmagiri stefanus.darmagiri@danareksa.com (62-21) 29555 888 ext.3530 Pharmaceutical Armando Marulitua armandom@danareksa.com (62-21) 29555 888 ext.3503 Property Anindya Saraswati anindyas@danareksa.com (62-21) 29555 888 ext.3506 Retail Anindya Saraswati anindyas@danareksa.com (62-21) 29555 888 ext.3506 Strategy Helmy Kristanto helmyk@danareksa.com (62-21) 2955 824 Telecommunication Lucky Ariesandi, CFA lucky.ariesandi@danareksa.com (62-21) 29555 888 ext.3520 Transportation Joko Sogie jokos@danareksa.com (62-21) 29555 888 ext.3512 Utilities Lucky Ariesandi, CFA lucky.ariesandi@danareksa.com (62-21) 29555 888 ext.3520

Sales team

Ermawati A. Erman ermawatiae@danareksa.com (62 21) 29555 888 ext. 3151 Asfarita Andalusia asfarita@danareksa.com (62 21) 29555 888 ext. 3134 Novrita E. Putrianti novrita@danareksa.com (62 21) 29555 888 ext. 3128 Ehrliech Suhartono ehrliech@danareksa.com (62 21) 29555 888 ext. 3132 Yunita L. Nababan yunita@danareksa.com (62 21) 29555 888 ext. 3145 Bram Taarea bramt@danareksa.com (62 21) 29555 888 ext. 3127 Martin Joshua martinjs@danareksa.com (62 21) 29555 888 ext. 3126 Laksmita Armandani laksmitaa@danareksa.com (62 21) 29555 888 ext. 3125 Muhammad Hardiansyah mhardiansyah@danareksa.com (62 21) 29555 888 ext. 3109 Tuty Sutopo tuty@danareksa.com (62 21) 29555 888 ext. 3121 Upik Yuzarni upik_y@danareksa.com (62 21) 29555 888 ext. 3137

Thursday, 12 February 2015

Danareksa research reports are also available at Reuters Multex and First Call Direct and Bloomberg.

BANKING/RESULT

Bank Mandiri Solid performance despite challenges

BMRI posted Net Interest Income of IDR39.1 tn in FY14, up 15.7% YoY - beating our forecast of

IDR36.3 tn. Other operating income, however, only reached 81.1% of our full year forecast due

to weak growth in fee-based income (+4.9% YoY). Operating expenses, meanwhile, grew at a

modest pace of 12.6% YoY to IDR25.4 tn in FY14. At the bottom line, BMRI recorded IDR19.9 tn

of net profits in FY14, still within our expectations and reaching 102.1% of our full year forecast.

For the time being we maintain our BUY call on the stock with a Target Price of IDR12,400,

implying PBV 2015-16F of 2.5-2.2x.

Soft loans growth Loans only grew 13.4% YoY on a consolidated basis to IDR530.0 tn as of December 2014,

supported by high growth in the micro segment, up 33.2% YoY to IDR36.0 tn as of December

2014. Assets quality remained sound: gross NPLs were flat at 2.2% as of December 2014 with Bank

Syariah Mandiri’s NPF standing at 6.8% while the NPLs for the bank only were recorded at 1.7% as

of December 2014. Going forward, the management expects BSM’s NPF to decline to the 5% level

as of December 2015F on the back of restructuring, more intensified collection and write-offs of

some bad debt financing.

Sound liquidity On the funding side, BMRI booked 14.4% YoY growth to IDR636.4 tn as of December 2014 backed

by 30.3% YoY growth in TD to IDR255.9 tn as of December 2014. As a result, the CASA proportion

dropped to 59.8% as of December 2014 from 61.2% as of September 2014. Nonetheless, the

blended CoF was still well managed at 3.8% in FY14 compared to 3.9% in 9M14 as the bank

benefited from the guidance of the Financial Services Authority (OJK) on capping the TD rate at

9.75% maximum. Furthermore, the blended CoF should also have been helped by a better mix of

TD in the wholesale and retail segments. As of December 2014, wholesale TD accounted for 49.4%

of the total and retail TD the remaining 50.6% (compared to 53.4% and 46.6% respectively as of

December 2013).

Better NIM The Net Interest Margin (NIM) expanded to 6.0% in FY14 thanks to the higher yield on earning

assets of 9.6%, mostly coming from the 6.0% yield on VR bonds. However, fee-based income only

grew by 4.9% YoY to IDR9.1 tn due to the weak contribution from sharia subsidiaries. Operating

expenses, meanwhile, grew 12.6% YoY to IDR25.4 tn. The Cost to Income Ratio (CIR) stood at

46.8% in FY14, or higher on an annual basis as the management reclassified LPS fees from interest

expenses as other operating expenses of IDR1.2 tn in FY14 and IDR1.0 tn in FY13.

2013 2014 2015F 2016F 2017F

Net interest income, IDR bn 32,777 39,132 40,203 44,912 51,429

PPOP, IDR bn 28,408 28,827 33,245 36,297 40,230

PBT, IDR bn 24,062 26,008 28,180 31,045 34,574

Net income, IDR bn 18,204 19,872 21,218 23,420 26,054

EPS, IDR 780 852 909 1,004 1,117

Dividend yield, % 2.0 2.2 1.9 2.1 2.4

ROAE, % 22.5 20.7 19.1 18.6 18.1

PBV, x 3.1 2.6 2.3 2.0 1.8

PER, x 15.1 13.8 12.9 11.7 10.5

BVPS, IDR 3,747 4,493 5,007 5,760 6,597 Source: Company, Danareksa Sekuritas

BUY Target Price, IDR 12,400

Upside 5.5%

BMRI IJ/ BMRI.JK

Last Price, IDR 11,750

No. of shares (bn) 23.3

Market Cap, IDR bn 274,167 (US$ mn) 21,403

3M T/O, US$mn 17.4

Last Recommendation

26-Jan-15 BUY IDR12,400

30-Dec-14 BUY IDR12,400

28-Nov-14 BUY IDR12,400

FY14 Result, A/F, % (INLINE)

FY14, IDR bn A/F, %

Net Int. Income 39,132 108.0

PPOP 28,827 93.8

Net profit 19,872 102.1

Key chart: LDR and NPL

Consensus

Our Cons % Diff

Target Price, IDR 12,400 11,941 4

EPS 2015F, IDR 909 968 -6

PBV 2015F, x 2.3 2.32 -1

Eka Savitri (62-21) 2955 5777 ext 3509 ekas@danareksa.com

12 February 2015 Bank Mandiri

2

Exhibit 1. BMRI’s FY14 result (IDR bn unless stated)

FY13 FY14 YoY % 3Q14 4Q14 QoQ % FY14F A/F %

NII 33,810 39,132 15.7 9,376 11,654 24.3 36,247 108.0

PPOP 25,782 28,827 11.8 7,328 6,106 (16.7) 30,744 93.8

PBT 24,062 26,008 8.1 6,434 7,016 9.0 25,833 100.7

Net Profit 18,204 19,872 9.2 4,868 5,418 11.3 19,463 102.1

Source: Company, Danareksa Sekuritas

Exhibit 2. Balance Sheet (IDR bn unless stated)

Dec 13 Sep 14 Dec 14 YoY % QoQ %

Assets 733,100 798,161 855,040 16.6 7.1

Loans 467,170 500,300 529,974 13.4 5.9

Government Bonds 82,227 87,640 86,154 4.8 (1.7)

CASA 359,957 361,766 380,512 5.7 5.2

Deposits 556,342 590,890 636,382 14.4 7.7

Interbank deposits 12,672 28,471 17,774 40.3 (37.6)

Borrowings 15,997 15,547 24,227 51.4 55.8 Source: Company

Exhibit 3. Key Ratios (%)

Dec 13 Sep 14 Dec 14

NPL 1.9 2.2 2.2

LDR 84.0 84.7 83.3

CAR 14.9 16.5 16.6

NIM 5.7 5.6 6.0

CoF 3.4 3.9 3.8

CIR 43.3 43.7 46.8

ROE 22.5 20.9 20.7 Source: Company

Equity Research

Thursday, February 12, 2015

Danareksa Sekuritas – Equity Research

Antam Cut Rights Issue Targets to Rp5.3tn (ID)

ANTM assess to cut the rights issue proceed to Rp5.3tn from the initial plan of Rp10.7tn, along with the decrease of PMN into

Rp3.5tn from Rp7.0tn. Currently, the government still controls 65% of the company's shares, while the public is 35%. ANTM

ensures the rights issue will be carried out in 2015. ANTM plans to work on three mega-projects worth a total of US$3.8bn, i.e.

1) bauxite processing project into alumina grade at Mempawah, 2) nickel ore processing project into ferronickel in East

Halmahera, and 3) anode slime processing project.

Economic Slowdown Hold January performance on 2W (BI)

Motorcycle industry players predict wholesale sales in the first quarter of 2015 will be down by 10% to 15% compared to the

same period last year benchmarking to the sales in January which were only at 513,816 units. Based on data from AISI, total

sales in January fell 11.45% compare to the same period last year of 580,288 units. Compared to total sales in December 2014 of

561,253 units, January sales fell 8.45%. According to AISI, this slower performance is due to the economic slowdown in some

areas.

Cement Sales January 2015: Stagnant Demand (BI)

Cement demand on January this year increased by only 0.6% over the same month last year. Based on data from Cement

Association (ASI), the domestic demand in the first months of last year reached 4.64 million tons, while in the first months of this

year reached 4.78 million tons. Cement demand in Java stagnant at 2.55 million tons, down, Sumatra down 9.6% to 924 000

tonnes, Sulawesi down 4.1% to 334 000 tonnes, while Bali and Nusa Tenggara also experienced lower demand by 14.9% to

295,000 tonnes. Sales in Kalimantan was higher by 16.1% to 435,000 tons, and Maluku-Papua grew 50% to 133,000 tons.

Demand in Java is still dominated by the contribution of 54% of the national demand.

OJK: Lending Rate Potentially Decline 50bps (BI)

OJK assesses there is an opportunity for banks in Indonesia to reduce lending by 50bps, after restrictions on interest rates in

October 2014. Banks that included in BUKU III and IV have opportunity to reduce its lending rate given cost efficiency from last

year’s interest rates restrictions. Moreover, OJK stated increase in government infrastructure spending this year also has great

potential to ease bank liquidity.

MARKET NEWS

Price Mkt Cap

Target Rp Bn 2015 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 2016 2015 2015

Danareksa Universe 3,203,131 204,219 232,406 312.4 355.6 12% 14% 15.7 13.8 13.5 12.1 2.8 2.5 19.3

Auto 334,665 25,124 29,427 460.2 539.0 18% 17% 13.3 11.4 10.7 9.3 2.4 2.0 18.9

Astra International BUY 7,875 8,300 318,808 23,976 28,096 592 694 16% 17% 13.3 11.3 11.0 9.4 2.4 2.1 33.5 19.1

Gajah Tunggal BUY 1,530 2,000 5,332 730 895 209 257 183% 23% 7.3 6.0 5.3 4.8 0.8 0.7 75.3 11.5

Selamat Sempurna BUY 4,900 5,300 7,054 419 437 291 303 14% 4% 16.8 16.2 9.7 9.2 5.0 4.2 net cash 32.3

Banks 1,065,722 82,196 93,183 763.1 865.1 12% 13% 13.0 11.4 2.5 2.2 21.1

BCA HOLD 13,925 12,100 343,321 18,714 21,363 742 856 11% 15% 18.8 16.3 NA NA 3.7 3.1 NA 22.1

BNI BUY 6,725 7,450 125,412 12,142 13,914 651 746 13% 15% 10.3 9.0 NA NA 1.8 1.6 NA 19.1

BRI BUY 11,700 13,150 288,629 26,786 30,574 1,086 1,239 13% 14% 10.8 9.4 NA NA 2.5 2.0 NA 25.0

Bank Tabungan Negara BUY 1,025 1,400 10,832 1,199 1,441 114 137 11% 21% 9.0 7.5 NA NA 0.8 0.8 NA 9.4

Bank Mandiri BUY 11,750 12,400 274,167 21,218 23,420 909 1,004 9% 10% 12.9 11.7 NA NA 2.3 2.0 NA 19.5

Bank Tabungan Pensiunan BUY 4,000 5,450 23,361 2,137 2,472 366 423 17% 16% 10.9 9.4 NA NA 1.7 1.4 NA 16.7

Cement 190,089 12,525 15,375 725 890 7% 23% 15.2 12.4 9.3 8.2 2.9 2.5 20.0

Holcim HOLD 1,975 2,300 15,134 923 1,213 120 158 12% 31% 16.4 12.5 8.3 6.5 1.4 1.3 30.0 9.1

Indocement BUY 23,800 28,300 87,613 5,741 6,595 1,559 1,792 8% 15% 15.3 13.3 9.1 7.7 3.1 2.8 net cash 21.2

Semen Indonesia BUY 14,725 18,800 87,342 5,861 7,567 988 1,276 5% 29% 14.9 11.5 9.6 9.0 3.3 2.8 12.3 23.2

Construction 124,997 4,779 5,645 126 148 27% 18% 26.2 22.1 12.9 11.3 4.2 3.7 17.2

Jasa Marga BUY 7,025 7,600 47,770 1,742 1,959 256 288 10% 12% 27.4 24.4 14.8 13.7 3.7 3.4 113.5 14.1

Wijaya Karya BUY 3,555 4,000 21,860 843 1,004 137 164 37% 19% 25.9 21.7 10.6 8.9 3.7 3.1 8.9 15.4

Pembangunan Perumahan BUY 3,960 4,100 19,176 762 936 157 193 29% 23% 25.2 20.5 11.1 9.3 6.1 4.9 17.1 27.1

Adhi Karya BUY 3,500 3,900 6,305 419 530 232 294 56% 27% 15.1 11.9 8.0 6.8 3.1 2.6 92.7 22.4

Waskita Karya BUY 1,800 1,650 17,510 618 725 64 75 47% 17% 28.0 23.9 14.7 12.8 5.3 4.5 40.0 20.5

Wika Beton HOLD 1,420 1,350 12,376 396 491 45 56 32% 24% 31.3 25.2 17.3 14.1 5.0 4.2 net cash 17.1

Consumer 523,377 18,559 21,047 232 263 13% 13% 28.2 24.9 19.1 16.9 7.8 7.0 29.6

Indofood CBP BUY 14,075 13,800 82,071 3,408 3,968 584 680 20% 16% 24.1 20.7 16.4 14.3 5.0 4.4 net cash 22.3

Indofood BUY 7,350 7,600 64,536 5,942 6,572 563 623 18% 11% 13.1 11.8 7.4 6.6 2.2 2.0 14.8 21.0

Kalbe Farma HOLD 1,855 1,900 86,953 2,481 2,895 53 62 18% 17% 35.0 30.0 24.0 20.6 8.2 7.1 net cash 25.1

Kimia Farma BUY 1,340 1,550 7,442 312 379 56 68 31% 21% 23.8 19.7 17.0 14.2 3.6 3.1 net cash 16.1

Unilever SELL 35,675 26,000 272,200 5,972 6,717 783 880 10% 12% 45.6 40.5 32.3 28.7 51.3 47.0 21.0 124.3

Nippon Indosari Corpindo BUY 1,295 1,615 6,555 234 291 46 58 21% 26% 28.2 22.3 15.1 12.6 5.7 4.6 41.4 22.2

Mandom BUY 18,000 19,300 3,619 210 226 1,045 1,126 8% 8% 17.2 16.0 9.3 8.6 2.5 2.3 2.6 15.3

Heavy Equipment 72,353 6,144 6,734 1,344 1,474 7% 10% 11.8 10.7 5.1 4.2 1.7 1.5 15.2

Hexindo Adiperkasa HOLD 3,650 3,650 3,066 220 260 262 309 13% 18% 14.0 11.8 6.7 5.4 1.1 1.0 net cash 8.0

United Tractors BUY 18,575 23,300 69,287 5,924 6,475 1,588 1,736 7% 9% 11.7 10.7 5.0 4.2 1.7 1.6 net cash 15.7

Mining 134,689 9,730 11,016 150 169 6% 13% 13.8 12.2 6.2 5.5 1.4 1.3 10.2

Adaro Energy BUY 980 1,280 31,346 2,607 2,662 82 83 -7% 2% 12.0 11.8 4.7 4.3 1.0 1.0 37.0 8.1

Timah BUY 1,105 1,400 8,230 651 765 87 103 40% 18% 12.6 10.8 6.1 5.5 1.5 1.4 10.2 12.4

Vale Indonesia BUY 3,595 4,700 35,721 2,240 2,753 225 277 23% 23% 16.0 13.0 6.7 5.5 1.6 1.5 2.5 10.0

Aneka Tambang HOLD 1,070 1,100 10,206 194 400 20 42 -148% 106% 52.5 25.5 16.8 12.5 0.8 0.8 62.8 1.6

Bukit Asam BUY 11,025 15,500 25,403 2,031 2,170 934 998 -1% 7% 11.8 11.0 8.5 7.8 2.7 2.4 net cash 22.7

Indo Tambangraya Megah HOLD 17,100 21,500 19,322 1,888 2,064 1,671 1,827 -13% 9% 10.2 9.4 4.5 4.1 1.9 1.9 net cash 18.5

Harum Energy HOLD 1,650 1,750 4,461 119 202 44 75 -53% 69% 37.4 22.1 6.0 4.7 1.2 1.2 net cash 3.1

Plantation 67,288 5,510 5,938 211 227 11% 8% 12.2 11.3 6.6 5.9 1.8 1.6 14.9

Astra Agro Lestari BUY 25,100 27,100 39,526 2,770 2,832 1,759 1,798 4% 2% 14.3 14.0 8.5 8.0 3.4 3.1 net cash 24.5

Sampoerna Agro BUY 1,990 2,600 3,761 464 550 245 291 18% 19% 8.1 6.8 5.2 4.4 1.1 1.0 31.8 14.5

PP London Sumatra HOLD 1,895 2,090 12,929 1,055 1,133 155 166 8% 7% 12.3 11.4 6.4 5.5 1.6 1.5 net cash 13.9

Salim Ivomas Pratama BUY 700 850 11,071 1,221 1,423 77 90 33% 17% 9.1 7.8 4.6 4.1 0.7 0.7 37.6 8.2

Property 85,799 5,943 6,634 81 90 -25% 12% 14.4 12.9 10.8 9.5 2.0 1.8 14.4

Alam Sutera BUY 640 700 12,576 1,254 1,516 64 77 15% 21% 10.0 8.3 9.3 7.9 1.8 1.5 75.3 18.9

Bumi Serpong Damai BUY 2,085 2,100 38,305 2,369 2,617 135 150 -36% 10% 15.4 13.9 12.9 11.3 2.5 2.2 net cash 16.6

Metropolitan Land BUY 445 620 3,373 290 322 38 43 14% 11% 11.6 10.5 7.8 7.2 1.6 1.4 27.7 14.2

Surya Semesta Internusa HOLD 1,260 1,040 5,929 464 415 99 88 32% -11% 12.8 14.3 6.0 6.2 2.0 1.8 net cash 16.9

Lippo Karawaci BUY 1,110 1,200 25,616 1,565 1,763 72 82 -38% 13% 15.3 13.6 11.7 10.0 1.6 1.5 29.1 10.1

Telco & Infrastructure 447,606 21,246 25,395 155 186 31% 20% 21.1 17.6 6.3 5.6 3.5 3.1 17.8

XL Axiata BUY 5,150 5,500 43,953 1,208 1,776 141 208 -236% 47% 36.4 24.7 6.5 5.8 2.9 2.6 114.2 8.3

Indosat HOLD 3,850 3,820 20,921 312 588 57 108 -152% 89% 67.1 35.6 3.7 3.4 1.3 1.3 132.4 2.0

Telkom BUY 2,860 3,250 288,288 16,211 18,544 161 184 6% 14% 17.8 15.5 5.6 4.9 3.6 3.3 net cash 21.8

Sarana Menara Nusantara BUY 3,850 4,525 39,281 1,702 2,121 167 208 35% 25% 23.1 18.5 11.6 9.9 6.0 4.8 107.9 29.8

Tower Bersama SELL 8,975 6,600 43,049 1,629 2,042 320 367 3% 15% 28.0 24.4 14.1 13.1 3.5 3.0 98.7 18.2

MNC Sky Vision HOLD 1,715 1,710 12,115 184 324 26 46 71% 76% 65.9 37.4 10.0 8.4 6.0 5.3 117.0 9.5

Tranportation 25,647 1,253 1,554 501 621 62% 24% 20.5 16.5 11.2 9.2 5.8 4.6 32.3

Blue Bird BUY 10,250 12,200 25,647 1,253 1,554 501 621 62% 24% 20.5 16.5 11.2 9.2 5.8 4.6 47.8 32.3

Utility 128,480 11,088 10,313 457 425 3% -7% 11.6 12.5 7.8 8.4 3.1 2.9 28.7

PGN BUY 5,300 6,650 128,480 11,088 10,313 457 425 3% -7% 11.6 12.5 7.8 8.4 3.1 2.9 net cash 28.7

Retail 28,066 1,376 1,698 53 66 28% 23% 20.4 16.5 10.2 8.6 3.0 2.7 15.7

Mitra Adi Perkasa BUY 5,700 6,250 9,462 352 543 212 327 112% 54% 26.9 17.4 8.7 7.2 3.3 2.8 84.7 13.0

Ramayana BUY 785 910 5,570 409 444 58 63 9% 9% 13.6 12.5 6.8 6.1 1.6 1.5 net cash 11.8

Ace Hardware BUY 760 920 13,034 615 711 36 41 17% 14% 21.1 18.5 15.1 12.9 4.6 3.8 net cash 23.8

Equity

Valuation Rating Price (Rp)

Net profit, Rp bn EPS (Rp) Net Gearing ROE EPS Growth PER (x) EV / EBITDA (x) PBV (x)

Equity Research

Thursday, February 12, 2015

Danareksa Sekuritas – Equity Research

LEADERS Price as on

Code 11-Feb-2015 10-Feb-15 Chg, % w-w, % m-m, % YTD, % Rating

Kimia Farma KAEF 1,340 1,275 5.1 3.1 0.8 (8.5) BUY

Aneka Tambang ANTM 1,070 1,035 3.4 1.9 (1.8) 0.5 HOLD

Astra International ASII 7,875 7,625 3.3 1.9 12.5 6.1 BUY

XL Axiata EXCL 5,150 5,025 2.5 5.3 19.1 5.9 BUY

Waskita Karya WSKT 1,800 1,760 2.3 1.7 26.3 22.4 BUY

Wika Beton WTON 1,420 1,395 1.8 4.8 8.4 9.2 HOLD

Indo Tambangraya Megah ITMG 17,100 16,800 1.8 2.7 16.9 11.2 HOLD

Alam Sutera ASRI 640 630 1.6 7.6 8.5 14.3 BUY

Astra Agro Lestari AALI 25,100 24,725 1.5 6.2 (2.7) 3.5 BUY

Ace Hardware ACES 760 750 1.3 1.3 (0.7) (3.2) BUY

Sources: Bloomberg

LAGGARDS Price as on

Code 11-Feb-2015 10-Feb-15 Chg, % w-w, % m-m, % YTD, % Rating

Sarana Menara Nusantara TOWR 3,850 4,000 (3.8) (6.0) (3.8) (7.2) BUY

Tower Bersama TBIG 8,975 9,225 (2.7) (5.0) (4.5) (7.5) SELL

Ramayana RALS 785 805 (2.5) (5.4) 2.6 (0.6) BUY

Surya Semesta Internusa SSIA 1,260 1,290 (2.3) 12.0 14.5 17.8 HOLD

Bank Tabungan Negara BBTN 1,025 1,045 (1.9) 2.5 (14.9) (14.9) BUY

Indosat ISAT 3,850 3,920 (1.8) (3.9) (14.2) (4.9) HOLD

Timah TINS 1,105 1,125 (1.8) (2.6) (7.1) (10.2) BUY

Mitra Adi Perkasa MAPI 5,700 5,800 (1.7) (3.0) 5.6 12.3 BUY

Adaro Energy ADRO 980 995 (1.5) (2.0) (1.5) (5.8) BUY

Sampoerna Agro SGRO 1,990 2,020 (1.5) 7.3 (1.2) (5.2) BUY

Sources: Bloomberg

COVERAGE PERFORMANCE

Equity Research

Thursday, February 12, 2015

Danareksa Sekuritas – Equity Research

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