Opening
IHSG keeps getting stronger throughout this week. Tomorrow most likely will have a negative correction or else going to 5300. Let us see in tomorrow’s trading. Anyhow, today we are going to see about a telecommunication company other than Telekomunikasi Indonesia (TLKM) of course because TLKM already been emphasized and discussed in the past LCA (Listed Company Analysis).
Company Information
PT Indosat Tbk (ISAT) is a fully integrated Indonesian telecommunications network and service provider and provides a complement of national and international telecommunications services in Indonesia. The stakes of ISAT are owned by Ooredoo Asia Pte Ltd 65%, Government of Indonesia at 14.29%, and publicly traded about 20.71%.
The current President’s Director is Ahmad Abdulaziz A A Al-Neama, and The Commissioner is Sheikh Mohammed bin Abdulla bin Mohammed Al Thani.
ISAT first IPO-ed on 19 October 1994 with PT Merrill Lynch and PT Danareksa Sekuritas (Persero) as the underwriters. The initial price was at IDR 7.000/share.
Key Financial Statistics
Pictures provided.
Highlights of 2020
- ISAT Losses on Q1-2020 IDR 605.6 B due to the severance package as the effects of COVID-19 on the business.
- Indosat Tbk held a joint-project with the Nexford University to give scholarship to 10.000 Indonesian Students.
- ISAT partnership with NetFoundry in cloud-native networking to boost their Network-as-a-Service (NaaS) to the digital and telco Industry.
- ISAT focusing on providing the youth and students in Indonesia an easier path to the Internet together with Direktorat Jenderal Pendidikan Tinggi Indonesia (DIKTI).
Target Price
| Nomura | Neutral Rating | 2.500 |
| Trimegah Securities | Buy Rating | 3.500 |
| Bahana Securities | Buy Rating | 3.000 |
| Ciptadana Sekuritas | Buy Rating | 3.150 |
| DBS Bank | Buy Rating | 3.000 |
| Danareksa | Buy Rating | 3.000 |
| Kresna Securities | Buy Rating | 3.280 |
| Mirae Asset Daewoo Co., Ltd | Buy Rating | 3.050 |
| RHB Research | Buy Rating | 4.000 |
| Yuanta Securities Investment | Buy Rating | 4.130 |
| BCA Sekuritas | Buy Rating | 4.150 |
| Credit Suisse | Buy Rating | 3.950 |
| Goldman Sachs | Hold Rating | 2.310 |
| Indo Premier Securities | Buy Rating | 3.300 |
| Macquarie | Buy Rating | 3.500 |
| Mandiri Sekuritas | Buy Rating | 3.200 |
| Hopemity | Buy Rating | 3.000 |
Closing
Buy while the telco companies in their low point. Believe me, it’s going to soaring high soon. ISAT could reach IDR 3.500/share soon. Every sector has its own pros and cons. The telco has a lot of pros in facing the COVID-19 new ecosystem. If you believe in Indonesia to become and successfully become a better nation with great positioning in this world, not going toward China faction or USA faction. This will help Indonesia to steadily become the market top of mind for stocks market that have a positive impact and good return to them.
Mindful invest, don’t be greedy. Do the right thing.
emitting hope since 2018 