Asiamoney’s 2013 Best Domestic Equity House 28 August 2014 Disclosure: Bahana Securities does and seeks to do business with companies covered in its research reports. Investors should consider this report as only a single factor in making their investment decision. Beacon Indonesia Morning Brief IDX: 5,165 (+0.4%) Turnover: IDR4.4tn (-5.6%) Foreign net BUY: IDR268bn (from net SELL: IDR202bn) CORPORATE FLASH Bank Pem. Daerah Jawa Timur (BJTM IJ): 7M14 earnings: Progressing well Analyst: Teguh Hartanto Solid 25.7% y-y 7M14 earnings growth Strong NII offset higher operating costs Loan growth of 20.7% y-y brought down LDR to 85.9% To see the full version of this report, please click here Telekomunikasi Indonesia (TLKM IJ): Improved competitive landscape Analyst: Leonardo Henry Gavaza, CFA Increased pricing on easing competition Continued strong data segment growth Flexi consolidation to strengthen infrastructure To see the full version of this report, please click here TODAY’S NEWS POLITICS SBY-Jokowi meeting: a new tradition of leadership ECONOMICS BI: July’s trade balance to reach a slight surplus BI: 3Q14 CA deficit to ease to USD8bn Government sold IDR2.8tn sharia bonds New government expects 5.8% economic growth Govt: 7M14 investment application reached IDR1,800tn INDUSTRY Coal firms want trade rules reviewed; outstanding taxes and royalties to be paid by October BPJT: 5 toll roads must meet minimum service standard (SPM) CORPORATE JPFA: 2Q14 performance in line with our and consensus’ estimates ADRO: 2Q14 net profit of USD42mn; 53% below our estimate BMRI plans to establish branches in 3 countries ADRO obtains USD1bn bank loan CMNP to divest 20% stake PWON increases stake in Simatupang land bank APLN acquires Klender land bank through subsidiary LPKR revises 2014 marketing sales and capex targets Newmont to continue contract renegotiation with Indonesian government RALS to obtain technical know-how on supermarket from SPAR INDICES Asia Last Chg% ytd % y-y % Hang Seng (HK) 24,918.8 (0.6) 6.9 13.9 IDX (Indonesia) 5,165.2 0.4 20.8 30.2 KLCI (Malaysia) 1,872.4 0.6 0.3 10.1 KOSPI (Korea) 2,074.9 0.3 3.2 10.0 Nikkei (Japan) 15,534.8 0.1 (4.6) 14.7 PCOMP (Phil.) 7,160.5 0.2 21.6 21.0 SENSEX (India) 26,520.1 0.3 25.3 47.6 SET (Thailand) 1,563.4 0.2 20.4 20.8 SHCOMP (China) 2,209.5 0.1 4.4 5.0 Shenzhen (China) 1,209.2 0.6 14.3 17.5 STI (Singapore) 3,341.5 0.6 5.5 10.1 TWSE (Taiwan) 9,485.6 1.0 10.2 21.3 VNI (Vietnam) 628.8 (0.0) 24.6 29.5 Europe, USA and EMs CAC 40 (France) 4,395.3 0.0 2.3 11.0 DAX (Germany) 9,569.7 (0.2) 0.2 17.3 Dow Jones (USA) 17,122.0 0.1 3.3 15.5 FTSE 100 (UK) 6,830.7 0.1 1.2 6.2 IBOV (Brazil) 60,950.6 1.9 18.3 22.2 MEXBOL (Mexico) 45,601.0 0.3 6.7 16.2 NGSEINDX (Nigeria) 41,121.1 (0.3) (0.5) 13.3 Nasdaq (USA) 4,569.6 (0.0) 9.4 27.2 RTSI (Russia) 1,260.7 0.1 (12.6) (3.0) S&P 500 (USA) 2,000.1 0.0 8.2 22.3 XU100 (Turkey) 80,467.4 (0.4) 18.7 22.9 ETF, ADRS & COMMODITIES Last Chg% ytd % y-y % EIDO US (USD) 29.1 0.6 27.4 37.7 TLK US (IDR) 2,756 0.7 32.9 36.1 Aluminum (USD/mtn) 2,085.5 0.1 15.8 10.5 Coal (USD/t) 69.3 (1.0) (20.6) (12.8) Corn (USD/mtn) 140.7 (1.5) (11.8) (41.8) Coffee (USD/t) 3,673.3 3.7 55.1 47.1 Copper (USD/t) 7,051.0 (0.6) (4.6) (3.4) Cotton (USD/t) 1,505.8 0.1 (19.3) (19.2) CPO (USD/t-Rottdm) 730.0 (0.7) (19.8) (11.5) Gold (USD/oz.) 1,283.4 0.1 6.4 (9.5) Iron ore (USD/mtn) 88.2 (0.8) (34.3) (36.4) Milk (USD/t) 528.8 0.0 36.6 41.7 Nickel (USD/t) 18,635.0 (0.9) 33.4 30.1 Oil (USD/barrel) 93.7 (0.1) (4.8) (14.9) Rice (IDR/kg) 8,600.0 2.4 1.2 1.8 Rubber (USD/t) 1,646.0 0.2 (27.5) (32.5) Silver (USD/oz) 19.5 0.1 0.1 (20.0) Soybean oil (USD/t) 720.2 (1.1) (15.8) (25.9) Steel (USD/t) 533.1 (0.2) (5.8) (11.0) Sugar (USD/t) 492.1 (0.3) 7.6 0.3 Tins (USD/t) 21,915.0 (0.8) (2.8) 1.0 Wheat (USD/t) 206.6 1.0 (12.2) (19.5) Source: Bloomberg ECONOMIC INDICATORS MARKET DATA 13A 14F 15F 13A 14F 15F Cur acc bal (%GDP) (3.2) (3.1) (2.6) Op.prof.gwt.(%) 8.5 12.7 12.3 Fiscal bal (%GDP) (2.4) (2.5) (2.5) EPS growth (%) 3.3 13.9 13.3 GDP growth (%y-y) 5.8 5.2 5.5 P/E (x) 23.5 19.9 17.3 Private spending (%) 5.3 5.2 5.1 PEG (x) 7.2 1.4 1.3 Investment (%y-y) 4.7 5.4 6.6 EV/EBITDA (x) 10.8 9.9 8.9 Total exports (%y-y) 5.3 6.0 7.0 P/BV (x) 6.8 7.3 5.8 Total imports (%y-y) 1.2 5.0 5.4 P/BV exc. UNVR&LPPF 4.0 3.4 2.9 Inflation (%y-y) 8.4 5.9 6.0 Div. Yield (%) 2.1 2.3 2.5 IDR/USD 12,170 11,900 11,950 Net gearing (%) 17.5 19.7 17.0 BI rate (% p.a.) 7.5 7.75 7.75 ROAE (%) 29.2 29.3 30.8 Brent Oil (Usd/bbl) 110.8 110.0 105.0 ROAA (%) 11.7 12.0 12.1 FX reserve (USDb) 99.4 103.5 106.0 ROIC (%) 13.4 22.0 26.6 Source: Bahana estimates Source: Bahana estimates CURRENCIES & RATES Last Prev. Ytd % y-y % AUD/USD 0.934 0.932 (4.7) (0.6) USD/EUR 1.319 1.317 4.0 (1.4) IDR/USD 11,681 11,713 (4.0) 17.7 JPY/USD 103.940 104.140 (1.3) (6.4) SGD/USD 1.248 1.249 1.2 2.1 JIBOR (%) 5.85 5.85 (0.2) 1.0 BI rate (%) 7.50 7.50 0.0 1.0 TD – 1 month (%) 7.11 7.16 0.4 1.4 CDS (bps) 133.09 132.50 (42.9) (56.0) Source: Bloomberg
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Asiamoney’s
2013
Best Domestic
Equity House
28 August 2014
Disclosure: Bahana Securities does and seeks to do business with companies covered in its research reports. Investors should consider this report as only a single factor
in making their investment decision.
Beacon Indonesia Morning Brief
IDX: 5,165 (+0.4%) Turnover: IDR4.4tn (-5.6%)
Foreign net BUY: IDR268bn (from net SELL: IDR202bn)
CORPORATE FLASH Bank Pem. Daerah Jawa Timur (BJTM IJ): 7M14 earnings: Progressing well Analyst: Teguh Hartanto Solid 25.7% y-y 7M14 earnings growth
Strong NII offset higher operating costs
Loan growth of 20.7% y-y brought down LDR to 85.9% To see the full version of this report, please click here
Telekomunikasi Indonesia (TLKM IJ): Improved competitive landscape
Analyst: Leonardo Henry Gavaza, CFA Increased pricing on easing competition
Continued strong data segment growth
Flexi consolidation to strengthen infrastructure To see the full version of this report, please click here
TODAY’S NEWS
POLITICS
SBY-Jokowi meeting: a new tradition of leadership
ECONOMICS BI: July’s trade balance to reach a slight surplus
Charoen Pokphand Indonesia CPIN IJ BUY 4,800 19.1 4,030 4,035 (0.1)
Garuda Indonesia GIAA IJ BUY 615 41.7 434 435 (0.2)
Semen Baturaja SMBR IJ REDUCE 375 (8.3) 409 410 (0.2)
Waskita Karya WSKT IJ BUY 1,000 13.6 880 885 (0.6) Sido Muncul SIDO IJ BUY 1,050 35.5 775 780 (0.6)
Timah TINS IJ BUY 1,700 18.9 1,430 1,440 (0.7)
Indofood Sukses Makmur INDF IJ BUY 7,950 14.4 6,950 7,000 (0.7)
Mitra Adiperkasa MAPI IJ HOLD 5,750 (3.8) 5,975 6,025 (0.8)
Holcim Indonesia SMCB IJ HOLD 2,500 (13.8) 2,900 2,925 (0.9)
Matahari Department Store LPPF IJ BUY 14,700 (8.4) 16,050 16,200 (0.9) Krakatau Steel KRAS IJ REDUCE 400 (20.8) 505 510 (1.0)
Express Transindo Utama TAXI IJ BUY 1,800 35.3 1,330 1,345 (1.1)
Semen Indonesia SMGR IJ BUY 18,400 13.2 16,250 16,450 (1.2)
Surya Semesta Internusa SSIA IJ HOLD 780 (1.9) 795 805 (1.2)
AKR Corporindo AKRA IJ REDUCE 4,150 (15.6) 4,915 4,980 (1.3)
Ciputra Property CTRP IJ HOLD 720 (3.4) 745 755 (1.3) Matahari Putra Prima MPPA IJ BUY 3,700 24.6 2,970 3,010 (1.3)
Erajaya Swasembada ERAA IJ HOLD 1,325 21.0 1,095 1,110 (1.4)
Sri Rejeki Isman SRIL IJ BUY 230 50.3 153 156 (1.9)
Bumi Resources BUMI IJ REDUCE 180 (5.8) 191 195 (2.1)
Ace Hardware Indonesia ACES IJ REDUCE 660 (28.3) 920 940 (2.1)
Wintermar Offshore Marine WINS IJ BUY 1,600 23.1 1,300 1,330 (2.3) Adi Sarana Armada ASSA IJ REDUCE 190 (10.8) 213 218 (2.3)
United Tractors UNTR IJ REDUCE 18,000 (18.6) 22,125 22,675 (2.4)
Source: Bloomberg, Bahana estimates
When a report covers six or more subject companies please access important disclosures for Daiwa Capital Markets Hong Kong Limited at http://www.daiwacm.com/hk/research_disclaimer.html or contact
your investment representative or Daiwa Capital Markets Hong Kong Limited at Level 26, One Pacific Place, 88 Queensway, Hong Kong.
BANKS N 1,007,270 1,053 219,474 240,815 92,501 101,419 73,722 82,263 17.8 11.9 14.7 13.1 na na 3.3 2.8 2.0 2.2 na na 24.3 22.9 3.0 3.0 na na
BBCA IJ BUY 11,850 12,700 24,655 50.8 292,162 145 37,422 42,343 17,079 19,349 14,254 16,090 21.6 12.9 20.5 18.2 na na 4.6 3.8 1.0 1.2 na na 24.6 22.9 3.0 3.1 na na
BBRI IJ BUY 11,125 13,100 24,669 43.2 274,444 351 52,661 59,319 26,121 28,525 21,344 24,123 14.3 13.0 12.9 11.4 na na 3.5 2.9 2.3 2.2 na na 29.7 27.6 3.6 3.6 na na
BMRI IJ BUY 10,550 12,000 23,333 40.0 246,167 322 51,197 56,532 23,552 25,662 18,204 20,283 17.4 11.4 13.5 12.1 na na 2.8 2.4 2.2 2.3 na na 22.5 21.5 2.7 2.6 na na
BBNI IJ BUY 5,350 6,650 18,649 39.8 99,770 135 28,839 32,513 11,219 12,715 9,054 10,224 28.5 12.9 11.0 9.8 na na 2.1 1.8 2.7 2.8 na na 19.9 19.9 2.5 2.5 na na
BDMN IJ REDUCE 3,760 3,400 9,585 32.4 36,038 12 23,155 22,471 5,605 5,695 4,042 4,241 0.7 4.9 8.9 8.5 na na 1.2 1.1 2.8 3.5 na na 13.5 12.9 2.4 2.2 na na
BTPN IJ REDUCE 4,260 3,900 5,840 57.2 24,880 1 7,449 7,734 2,878 2,879 2,131 2,267 6.9 6.4 11.7 11.0 na na 2.5 2.0 0.0 1.8 na na 24.2 20.5 3.3 3.1 na na
BBTN IJ BUY 1,150 1,320 10,568 35.0 12,153 60 6,437 6,815 2,136 2,262 1,562 1,653 14.5 5.8 7.8 7.4 na na 1.1 1.0 3.9 3.4 na na 14.3 13.6 1.3 1.2 na na
BJBR IJ HOLD 860 900 9,696 25.0 8,339 17 5,980 6,142 1,622 1,671 1,376 1,304 15.4 (5.2) 6.1 6.4 na na 1.2 1.2 9.1 9.4 na na 21.7 18.7 1.9 1.8 na na
BJTM IJ BUY 442 520 14,918 18.0 6,594 3 2,839 3,136 1,116 1,360 824 1,025 2.4 24.3 8.0 6.4 na na 1.2 1.1 9.2 10.1 na na 14.7 17.3 2.7 2.9 na na
BBKP IJ** HOLD 740 600 9,087 46.9 6,724 6 3,494 3,810 1,174 1,300 930 1,053 10.6 0.5 6.4 6.4 na na 1.1 1.0 3.5 3.5 na na 16.6 15.9 1.4 1.4 na na
2012 total 25,098 51 CENT 02/01/13 Centrin Online Retail 685
52 TKGA 03/08/13 Toko Gunung Agung Retail 480
53 TRIM 04/08/13 Trimegah Securities Finance 276
54 AUTO 04/25/13 Astra Otoparts Misc. Industry 2,988
55 BBNP 05/13/13 Bank Nusantara Parahyangan Banking 296
56 DNET 06/03/13 Dyviacom Intrabumi Trade 7,000
57 BKSW 06/04/13 Bank QNB Kesawan Banking 649
58 KPIG 06/11/13 MNC Land Construction 2,443
59 HERO 06/14/13 Hero Supermarket Retail 2,980
60 INDS 07/01/13 Indospring Trade 357
61 JKON 07/02/13 Jaya Konstruksi Manggala Pratama Construction 457
62 AGRO 07/04/13 Bank Rakyat Indonesia Agroniaga Banking 450
63 BNII 07/05/13 Bank International Indonesia Banking 1,501
64 WEHA 07/08/13 Panorama Transportasi Infrastructure 75
65 INDX 07/08/13 Tanah Laut Infrastructure 69
66 BACA 08/07/13 Bank Capital Indonesia Banking 204
2013 total 20,910
Grand total 86,655 Source: various media (Bloomberg, Kontan, Bisnis Indonesia, Investor Daily, Jakarta Globe, Jakarta Post, Kompas, Indonesian Finance Today)
PT Bahana Securities – Equity Research – Bahana Beacon - The Daily 11
Asiamoney’s
2013
Best Domestic
Equity House
1H14 Results Round-ups to consensus Operating profit (IDRbn) Net profit (IDRbn)
No Company Ticker Actual Consensus (%) Comment Actual Consensus (%) Comment
1 ACE Hardware Indonesia ACES IJ 294 676 43.5 In Line 246 576 42.6 In Line 2 Adhi Karya ADHI IJ 129 1,043 12.3 Below 60 451 13.3 Below 3 Adi Sarana Armada ASSA IJ 96 na na Below 27 98 27.5 Below 4 Agung Podomoro Land APLN IJ 583 1,619 36.0 Below 355 959 37.0 Below 5 AKR Corporindo AKRA IJ 481 1,208 39.8 In Line 375 820 45.8 In Line
6 Alam Sutera Realty ASRI IJ 897 1,921 46.7 Below 515 1337 38.5 In Line
7 Astra Agro Lestari AALI IJ 1,924 4,084 47.1 In Line 1369 2852 48.0 Below 8 Astra International ASII IJ 9,920 20,620 48.1 Above 9638 20822 46.3 In Line 9 Austindo Nusantara Jaya* ANJT IJ 17 na na Above 6 na na Below 10 Bank Bukopin BBKP IJ 637 1,326 48.0 In Line 516 955 54.0 Above 11 Bank Central Asia BBCA IJ 9,777 19,366 50.5 In Line 7852 16176 48.5 In Line
12 Bank Danamon BDMN IJ 2,071 4,868 42.5 Below 1489 3526 42.2 Below
13 Bank Jabar Banten BJBR IJ 630 1,637 38.5 Below 478 1267 37.7 Below 14 Bank Jatim BJTM IJ 748 1,390 53.8 In Line 543 1043 52.1 Below 15 Bank Mandiri BMRI IJ 12,552 26,660 47.1 In Line 9585 20271 47.3 In Line 16 Bank Negara Indonesia BBNI IJ 6,058 12,426 48.8 In Line 4936 9923 49.7 In Line 17 Bank Rakyat Indonesia BBRI IJ 13,728 29,457 46.6 In Line 11744 23995 48.9 In Line
18 Bank Tabungan Negara BBTN IJ 743 2,030 36.6 Below 539 1499 36.0 Below
19 Bank Tabungan Pensiunan Negara BTPN IJ 1,357 3,002 45.2 In Line 996 2188 45.5 Below 20 Bekasi Fajar Industrial Estate BEST IJ 136 618 22.0 Below 125 620 20.2 Below 21 Bukit Asam PTBA IJ 1,331 2,278 58.4 Above 1156 1882 61.5 Above 22 Bumi Resources* BUMI IJ 111 230 48.2 Below (101) (146) 69.3 Below 23 Bumi Serpong Damai BSDE IJ 1,145 2,616 43.8 In Line 2565 2260 113.5 Above
24 Cardig Aero Service CASS IJ 161 369 43.7 Below 49 127 38.2 In Line
25 Charoen Pokphand Indonesia CPIN IJ 1,772 4,406 40.2 Below 1251 3204 39.0 Below 26 Ciputra Development CTRA IJ 953 2,083 45.7 Below 601 1193 50.3 Below 27 Ciputra Property CTRP IJ 250 416 60.0 Below 127 352 36.0 Below 28 Citra Marga Nusaphala Persada CMNP IJ 247 na na Below 205 464 44.3 Below 29 Erajaya Swasembada ERAA IJ 200 572 35.0 Below 126 361 34.8 Below
30 Express Transindo TAXI IJ 99 278 35.8 In Line 79 139 56.9 In Line
31 Gajah Tunggal GJTL IJ 519 1,410 36.8 Below 228 931 24.5 Below 32 Garuda Indonesia* GIAA IJ (390) 35 (1,123.9) Below (376) (27) 1388.0 Below 33 Gudang Garam GGRM IJ 4,073 8,518 47.8 Below 2713 5359 50.6 In Line 34 Harum Energy* HRUM IJ 18 55 33.4 Below 18 36 48.6 Below 35 Holcim Indonesia SMCB IJ 701 1,938 36.2 Below 449 1201 37.4 Below
36 Indocement Tunggal Prakarsa INTP IJ 2,701 6,697 40.3 Below 2509 5447 46.1 In Line
37 Indofood CBP ICBP IJ 1,647 3,165 52.0 In Line 1348 2496 54.0 In Line 38 Indofood Sukses Makmur INDF IJ 4,254 8,781 48.4 In Line 2137 4148 51.5 In Line 39 Indomobil Sukses International IMAS IJ 160 609 26.4 In Line 49 709 6.9 Below 40 Jasa Marga JSMR IJ 1,586 2,986 53.1 Above 812 1613 50.3 Above 41 Kalbe Farma KLBF IJ 1,328 2,995 44.4 Below 993 2239 44.3 Below
42 Lippo Cikarang LPCK IJ 447 800 56.0 In Line 403 734 54.9 In Line
43 Lippo Karawaci LPKR IJ 1,034 1,943 53.2 Above 673 1627 41.4 In Line 44 London Sumatra Indonesia LSIP IJ 641 1,341 47.8 In Line 471 1075 43.8 In Line 45 Malindo Feedmill MAIN IJ 147 507 29.0 Below 87 346 25.2 Below 46 Matahari Department Store LPPF IJ 707 2,172 32.6 In Line 362 1607 22.5 In Line 47 Mayora Indah MYOR IJ 626 1,400 44.8 In Line 304 813 37.4 In Line
55 Salim Ivomas Pratama SIMP IJ 1,262 2,595 48.6 Above 498 1088 45.7 In Line 56 Sampoerna Agro SGRO IJ 302 540 55.9 Above 186 320 58.1 Above 57 Semen Baturaja SMBR IJ 66 360 18.2 Below 88 368 23.9 In Line 58 Semen Indonesia SMGR IJ 3,563 7,760 45.9 In Line 2740 5873 46.6 Above 59 Sido Muncul SIDO IJ 242 589 41.1 Below 353 461 76.7 In Line
60 Summarecon Agung SMRA IJ 695 1,491 46.6 In Line 542 1143 47.4 In Line
61 Supermarket HERO HERO IJ 5 na na Below 95 na na Below 62 Supra Boga Lestari RANC IJ 6 25 23.1 Below 10 42 22.6 Below 63 Surya Citra Media SCMA IJ 1,074 2,268 47.4 In Line 813 1718 47.3 In Line 64 Surya Semesta Internusa SSIA IJ 308 770 40.0 Below 190 594 32.0 Below 65 Telekomunikasi Indonesia TLKM IJ 14,165 29,104 48.7 In Line 7403 15528 47.7 In Line
66 Tempo Scan Pacific TSPC IJ 449 na na Below 414 688 60.2 Below
67 Timah TINS IJ 360 944 38.1 In Line 203 671 30.2 In Line 68 Total Bangun Persada TOTL IJ 90 191 47.1 Below 78 177 43.9 Above 69 Unilever Indonesia UNVR IJ 3,841 7,867 48.8 Below 2848 5824 48.9 Below 70 United Tractors UNTR IJ 4,287 7,847 54.6 In Line 3324 5793 57.4 In Line 71 Vale Indonesia* INCO IJ 118 241 49.0 Above 68 176 38.5 In Line
72 Waskita Karya WSKT IJ 181 779 23.2 Below 61 421 14.4 In Line
73 Wijaya Karya WIKA IJ 584 1,344 43.5 In Line 283 695 40.6 Below 74 Wijaya Karya Beton WTON IJ 221 422 52.4 Above 172 302 57.0 Above
PT Bahana Securities – Equity Research – Bahana Beacon - The Daily 13
Asiamoney’s
2013
Best Domestic
Equity House
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Equity House
contents of and/or omissions from this document. Consequently DAIWA expressly disclaims any and all liability for, or based on or relating to any such information contained in or errors in or omissions in this report. Accordingly, you are recommended to seek your own legal, tax or other advice and should rely solely on your own judgment, review and analysis, in evaluating the information in this document. The data contained in this document is subject to change without any prior notice DAIWA reserves its right to modify this report as maybe required from time to time. DAIWA is committed to providing independent recommendations to its Clients and would be happy to provide any information in response to any query from its Clients. This report is strictly confidential and is being furnished to you solely for your information. The information contained in this document should not be reproduced (in whole or in part) or redistributed in any form to any other person. We and our group companies, affiliates, officers, directors and employees may from time to time, have long or short positions, in and buy sell the securities thereof, of company(ies) mentioned herein or be engaged in any other transactions involving such securities and earn brokerage or other compensation or act as advisor or have the potential conflict of interest with respect to any recommendation and related information or opinion. DAIWA prohibits its analyst and their family members from maintaining a financial interest in the securities or derivatives of any companies that the analyst cover. This report is not intended or directed for distribution to ,or use by any person, citizen or entity which is resident or located in any state or country or jurisdiction where such publication, distribution or use would be contrary to any statutory legislation, or regulation which would require DAIWA and its affiliates/ group companies to any registration or licensing requirements. The views expressed in the report accurately reflect the analyst’s personal views about the securities and issuers that are subject of the Report, and that no part of the analyst’s compensation was, is or will be directly or indirectly, related to the recommendations or views expressed in the Report. This report does not recommend to US recipients the use of Daiwa Capital Markets India Private Limited or any of its non – US affiliates to effect trades in any securities and is not supplied with any understanding that US recipients will direct commission business to Daiwa Capital Markets India Private Limited.
Taiwan
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in respect of any matter arising from or in connection with the research. DBP-Daiwa Capital Markets Philippines, Inc. recommends that investors independently assess, with a professional advisor, the specific financial risks as well as the legal, regulatory, tax, accounting, and other consequences of a
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This research report is produced by Daiwa Capital Markets Europe Limited and/or its affiliates and is distributed in the European Union, Iceland, Liechtenstein, Norway and Switzerland. Daiwa Capital Markets Europe Limited is authorised and regulated by The Financial Conduct Authority (“FCA”) and is a member of the London Stock Exchange, Eurex and NYSE Liffe. Daiwa Capital Markets Europe Limited and/or its affiliates may, from time to time, to the extent permitted by law, participate or invest in other financing transactions with the issuers of the securities referred to herein (the “Securities”), perform services for or solicit business from such issuers, and/or have a position or effect transactions in the Securities or options thereof and/or may have acted as an underwriter during the past twelve months for the issuer of such securities. In addition, employees of Daiwa Capital Markets Europe Limited and/or its affiliates may have positions and effect transactions in such securities or options and may serve as Directors of such issuers. Daiwa Capital Markets Europe Limited may, to the extent permitted by applicable UK law and other applicable law or regulation, effect transactions in the Securities before this material is published to recipients.
This publication is intended for investors who are not Retail Clients in the United Kingdom within the meaning of the Rules of the FCA and should not therefore be distributed to such Retail Clients in the United Kingdom. Should you enter into investment business with Daiwa Capital Markets Europe’s affiliates outside the United Kingdom, we are obliged to advise that the protection afforded by the United Kingdom regulatory system may not apply; in particular, the benefits of the Financial Services Compensation Scheme may not be available.
Daiwa Capital Markets Europe Limited has in place organisational arrangements for the prevention and avoidance of conflicts of interest. Our conflict management policy is available at http://www.uk.daiwacm.com/about-us/corporate-governance-regulatory. Regulatory disclosures of investment banking relationships are available at https://daiwa3.bluematrix.com/sellside/Disclosures.action.
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United States
This report is distributed in the U.S. by Daiwa Capital Markets America Inc. (DCMA). It may not be accurate or complete and should not be relied upon
as such. It reflects the preparer’s views at the time of its preparation, but may not reflect events occurring after its preparation; nor does it reflect
PT.Bahana Securities’ or DCMA’s views at any time. Neither PT.Bahana Securities, DCMA nor the preparer has any obligation to update this report or to continue to prepare research on this subject. This report is not an offer to sell or the solicitation of any offer to buy securities. Unless this report
says otherwise, any recommendation it makes is risky and appropriate only for sophisticated speculative investors able to incur significant losses.
Readers should consult their financial advisors to determine whether any such recommendation is consistent with their own investment objectives,
financial situation and needs. This report does not recommend to U.S. recipients the use of any of PT.Bahana Securities’ or DCMA’s non-U.S.
affiliates to effect trades in any security and is not supplied with any understanding that U.S. recipients of this report will direct commission business to
such non-U.S. entities. Unless applicable law permits otherwise, non-U.S. customers wishing to effect a transaction in any securities referenced in this
material should contact a Daiwa entity in their local jurisdiction. Most countries throughout the world have their own laws regulating the types of
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For “Ownership of Securities” information please visit BlueMatrix disclosure Link at https://daiwa3.bluematrix.com/sellside/Disclosures.action .
PT Bahana Securities – Equity Research – Bahana Beacon - The Daily 15
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2013
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Equity House
Investment Banking Relationships
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Research Analyst Conflicts
For updates on “Research Analyst Conflicts” please visit BlueMatrix disclosure link at https://daiwa3.bluematrix.com/sellside/Disclosures.action. The
principal research analysts who prepared this report have no financial interest in securities of the issuers covered in the report, are not (nor are any
members of their household) an officer, director or advisory board member of the issuer(s) covered in the report, and are not aware of any material
relevant conflict of interest involving the analyst or DCMA, and did not receive any compensation from the issuer during the past 12 months except as
noted: no exceptions.
Research Analyst Certification
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https://daiwa3.bluematrix.com/sellside/Disclosures.action . The views about any and all of the subject securities and issuers expressed in this
Research Report accurately reflect the personal views of the research analyst(s) primarily responsible for this report (or the views of the firm
producing the report if no individual analysts[s] is named on the report); and no part of the compensation of such analyst(s) (or no part of the
compensation of the firm if no individual analyst[s)] is named on the report) was, is, or will be directly or indirectly related to the specific
recommendations or views contained in this Research Report.
For stocks and sectors in Indonesia covered by Bahana Securities, the following rating system is in effect:
Stock ratings are based on absolute upside or downside, which is the difference between the target price and the current market price. Unless otherwise specified, these ratings are set with a 12-month horizon. It is possible that future price volatility may cause a temporary mismatch between upside/downside for a stock based on the market price and the formal rating. "Buy": the price of the security is expected to increase by 10% or more. "Hold": the price of the security is expected to range from an increase of less than 10% to a decline of less than 5%. "Reduce": the price of the security is expected to decline by 5% or more.
Sector ratings are based on fundamentals for the sector as a whole. Hence, a sector may be rated “Overweight” even though its constituent stocks are all rated “Reduce”; and a sector may be rated “Underweight” even though its constituent stocks are all rated “Buy”. “Overweight”: positive fundamentals for the sector. “Neutral”: neither positive nor negative fundamentals for the sector. “Underweight”: negative fundamentals for the sector.
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Investment Banking Relationships For “Investment Banking Relationship”, please visit BlueMatrix disclosure Link at https://daiwa3.bluematrix.com/sellside/Disclosures.action . Relevant Relationships (Bahana Securities) Bahana Securities may from time to time have an individual employed by or associated with it serves as an officer of any of the companies under its research coverage.
Bahana Securities market making Bahana Securities may from time to time make a market in securities covered by this research.
Additional information may be available upon request.
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(This Notification is only applicable where report is distributed by Daiwa Securities Co. Ltd.)
If you decide to enter into a business arrangement with us based on the information described in materials presented along with this document, we ask you to pay close attention to the following items.
In addition to the purchase price of a financial instrument, we will collect a trading commission* for each transaction as agreed beforehand with you. Since
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In some cases, we may also charge a maximum of ¥ 2 million (including tax) per year as a standing proxy fee for our deposit of your securities, if you are
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For derivative and margin transactions etc., we may require collateral or margin requirements in accordance with an agreement made beforehand with
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There is a risk that you will incur losses on your transactions due to changes in the market price of financial instruments based on fluctuations in interest
rates, exchange rates, stock prices, real estate prices, commodity prices, and others. In addition, depending on the content of the transaction, the loss could exceed the amount of the collateral or margin requirements.
There may be a difference between bid price etc. and ask price etc. of OTC derivatives handled by us.
Before engaging in any trading, please thoroughly confirm accounting and tax treatments regarding your trading in financial instruments with such experts
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