Search result for: "ASII"

While we are still cautious on Indonesia’s short-term equity market outlook owing to economic and political uncertainties, we are of the view that its long-term fundamentals are intact. We foresee 2014 GDP growth dipping to 5.4% while Bank Indonesia (BI) may have to raise the BI rate to 7.75-8.25%. As short-term macroeconomic fundamentals are weak,.

Bank Permata’s key strengths are its two main shareholders, Standard Chartered Bank (SCB) and Astra International, Tbk (ASII IJ). Both have a joint ownership of 89.12% in Bank Permata, Tbk (BNLI IJ). SCB is a British multinational bank operating in over 70 countries and has a credit rating of A+ by S&P. Whereas, Astra is.

Company Profile Surya Semesta Intermusa (SSIA) was established in 1971 as an investment company and went public in 1997. Through its units, the Company is involved in property development (industrial estates, commercial offices and shopping malls), construction and hospitality (hotels and resorts). It has a strong relationship with the Astra Group (NEUTRAL, ASII: IJ, TP:.

We attended United Tractors’  (UNTR IJ, SELL, TP IDR19,700) annual analyst meeting yesterday and witnessed an unusually pessimistic note from the largest player within the Indonesian heavy equipment market. Yet, we are delighted to learn that our new call and target price on UNTR found a firmer foundation as the company confirmed of our FY.

Earlier in our IIMS report, we already stated that we like the Agya and Ayla twins upon seeing it in the International Motor Show. We positively view Astra’s bold move to introduce the cars even though government hasn’t finalizing the LCGC incentive. The exterior is appealing and the interior is spacey with a very affordable.

ASII’s domestic 4W market share rose to 57.1% in Jan-May 2012, from 54.3% in the same period last year, while its 2W market share rose to 55.2% from 51.2%. Although vehicle sales were temporary affected by the implementation of a new downpayment policy, we expect ASII’s vehicle sales growth to outperform that of the industry..

We see a promising outlook for domestic vehicle sales in the long term, although there might be hiccups in the short-term due to the new higher downpayment policy. Although 4W vehicle sales growth is likely to soften in the second-half, our calculation shows that FY12 car sales might still be higher than that in FY11,.

IMAS, which is aiming for FY12 4W vehicles sales to crank up by more than 50% y-o-y, is banking on its newly launched MPV Nissan Evalia carving out a 20%-25% share of the MPV market. Although a lucrative segment, competition in MPVs is tough as its competitors had earlier this year launched new models before.

The large majority of ASII’s earnings are related to Indonesia’s domestic consumer sector, which is pretty much in line with the country’s macroeconomic picture. The company’s earnings growth is also driven by growing coal mining activities. Given its earnings structure, we believe ASII can benefit immensely from strong domestic economic growth, supported by rising income.