RISET FR CIMB 26 APRIL 2013

RISET FR CIMB 26 APRIL 2013 :


1.Astra Agro Lestari   | A time for waiting
AALI IJ / AALI.JK | NEUTRAL - Maintained | Rp17,500.00 - Tgt. Rp19,000.00
Mkt.Cap: US$2836m | Avg.Daily Vol: US$2.53m | Free Float: 20.30%
Plantations | Author(s): Erindra KRISNAWAN, Erisca WIRAATMADJA

Annualised 1Q13 earnings were slightly below expectations at 17% of our FY13 forecast and 15% of consensus as strong production was unable to offset the weaker-than-expected ASP. We take comfort in its more controlled operating costs this year despite a sharp wage hike. We cut our FY13-15 earnings by 3-5% to incorporate a higher ASP discount to our benchmark CPO price. Subsequently, we lower our target price, still based on 13.7x CY14 P/E (in line with the market). Maintain Neutral on the stock due to an unexciting CPO price outlook. (26 APRIL 2013)



2.United Tractors   | Age of austerity
UNTR IJ / UNTR.JK | NEUTRAL - Maintained | Rp18,450.00 - Tgt. Rp18,900.00
Mkt.Cap: US$7082m | Avg.Daily Vol: US$9.12m | Free Float: 40.00%
Industrial Machinery | Author(s): Erindra KRISNAWAN, Erisca WIRAATMADJA

Despite already bearish expectations for 2013 growth, UT's 1Q13 earnings disappointed as the mining industry's cost saving efforts hit deeper to its historically defensive parts and maintenance business. 1Q13 core earnings came in below our and consensus expectations, at 19% of full-year forecasts due to cost saving efforts. We lower FY13-15 EPS by 3-7%, and consequently cut our target price to Rp18,900, still based on 12x CY14 P/E, a 10% discount to its 3-year average. Maintain Neutral. (25 APRIL 2013) 


3.Bank Rakyat Indonesia   | Fruits of expansion
BBRI IJ / BBRI.JK | NEUTRAL - Upgrade | Rp8,750.00 - Tgt. Rp9,000.00
Mkt.Cap: US$22210m | Avg.Daily Vol: US$22.96m | Free Float: 43.00%
Banks | Author(s): Erwan TEGUH, Soegiarto HADI, F