Astra International (ASII) – Maintain HOLD
Price: Rp49,400 – Target Price: Rp45,000
Anticipating the rise of BI rate
- Strong positive correlation between Auto sales and GDP.
- ASII continues to book result, even by assuming conservative GDP.
- Car and motorcycle sales recorded highest level in July’10.
- We found that ASII share price is negatively correlated to BI rate by 78%.
- Maintain Hold, TP of Rp45,000 reflects PE’10-11E 14.9-12.9x.