AKR Corporindo (AKRA) – HOLD (Downgrade)
Price: Rp2,975- Target Price: Rp3,400
Entering Indonesia energy sector
- Excellent 1H11 performance.
- 2nd interim dividend.
- New business in coal mining and coal logistics.
- We revised our forecast and using DCF calculation we derived a new target price of Rp3,400 reflecting 25.6x – 14.2x PE’11-12F.
- Therefore, we downgrade our recommendation to investors from BUY to HOLD as the stock only has 14% upside potential and current valuation is higher than JCI valuation at 16.04x PE’11. HOLD
- AKRA_110819_YY (635.8 KiB)