NH Korindo Sekuritas Indonesia

(1)

Morning Brief

JCI moved lower on Friday as investors awaited the release of U.S. job data on

Friday night.

Top Losers: Misc Industries (-0.90%), Consumer (-0.61%), Finance

(-.39%).

Today’s Outlook: Stable Growth in US Employment

Today we estimate JCI to rally with the support

range of 6392-6403 and

resistance range of 6485

-

6491

. From global, the positive sentiment comes from

the release of the U.S. job data on Friday night. Although there was the hike of

313,000 in job, the unemployment level settled at 4.1%. Markets previously

estimated that the unemployment level was potential for the decline of 4.0%. It

indicates that the pressure form inflation and the hike in wages are insignificant

yet.

The U.S. markets closed high on Friday after the release of topping

-

estimate U.S.

job data.

Europe

European markets rallied on Friday as the release of the U.S. job data stating the

increment of 313 in February's jobs.

Asia

Asia markets rallied on Friday after the news of Trump's plan to meet Kim Jong

Un.

Company News

PGAS

: Posts Net Profit of IDR1.92 Trillion

EXCL

: Refinances Debt of IDR2.6 Trillion

RALS

: Is Optimistic to Post Sales of IDR1.49 Trillion

ADHI

: Injects Capital of IDR2 Trillion to Its Subsidiary

(2)

Stocks Recommendation

PTBA

Last = 2890

Analysis

PTBA posted 4Q17 net profit of IDR1.85 trillion

soaring to 94.3% from 4Q16's net profit of

IDR954 billion.

Range

2840 – 3060

Action

Trading Buy. Cut Loss If Below 2840

PPRO

Last = 186

Analysis

PPRO's 4Q17 net profit was IDR153.4% hiking

by 42.5% from 4Q16 net profit of IDR108

billion.

Range

183 – 202

Action

Trading Buy. Cut Loss If Below 183

ANTM

Last = 850

Analysis

ANTM posted 4Q17 profit of IDR468.0 billion

topping 4Q16' profit of IDR26.5 billion.

Range

825 -

955 Action

Trading buy. Cut Loss If Below 825

Source: Bloomberg

Sector Rotation

Source: Bloomberg

Relative Rotation Graph

-

Last 10 Days

98 99 100 101 102

97 98 99 100 101 102 103 104

Agriculture

Mining

Lagging

Improving

Weakening

Infrastructure

Basic Ind. Consumer

Finance Misc Ind.

Trade

Property

Lagging

Improving

Leading

(3)

(4)

Company News

Domestic & Global News

BI: January 2018 Retail Sales Is Corrected

Bank Indonesia (BI) indicated a correction to January 2018 retail sales growth. It is reflected in Real Sales Index (Indeks

Penjualan Riill, “IPR”) contracted by 1.8% y

-

y after the prior growth of 0.7% y

-

y in the prior month. BI accounted that the

decline in retail sales aligned with the end the end of Christmas and New Year Celebration. (Kontan)

Nonfarm Payrolls Increase by 313,000 in February

The economy added 313,000 jobs in February, crushing expectations, while the unemployment rate remained at 4.1

percent, according to a Labor Department report Friday that could help quell inflation fears. Economists surveyed by

Reuters had been expecting nonfarm payroll growth of 200,000 and the unemployment rate to decline one

-

tenth of a

point to 4 percent. (CNBC)

PGAS

: Posts Net Profit of IDR1.92 Trillion

PGAS posted 2017’s net profit of USD143.1 million or equal

to IDR1.92 trillion (with the exchange rate of IDR for USD

at 13,381). It revenue also increased from USD2.93 million

in the prior year into USD2,97 billion. Its EBITDA also grew

by USD23 million from the same period of prior year. It is

optimistic that its performance will be better. (Bisnis

Indonesia)

EXCL

: Refinances Debt of IDR2.6 Trillion

EXCL plans to perform refinancing of its debt of IDR2.6

trillion to be mature in 2018. It will pay gradual

settlement to the Islamic bond debt maturing on May 8,

2018. The debt amounts to IDR1.04 trillion with the

coupon of 7.25%. In 2017, EXCL posted the growth of

7.19% in revenue compared to 2016's revenue growth of

IDR22.87. (Kontan)

RALS

: Is Optimistic to Post Sales of IDR1.49 Trillion

RALS is optimistic to be capable of posting Q118 sales of

IDR1.49 trillion. Although January’s sales declined by IDR31

billion or equal to

-

5.44% from January in the prior year,

February’s sales inclined by 2017. The better company

performance enabled it to achieve Q118 growth of 39% in

total sales compared to the same period of the prior year.

It also prepares the capex of IDR175 billion to add three

new stores. (Kontan)

ADHI

: Injects Capital of IDR2 Trillion to Its Subsidary

(5)

Global Economic Calendar

Date

Country

Hour

Jakarta

Event

Period

Actual

Consensus

Tuesday

JPN

06:50

PPI YoY

Feb

2.50%

2.70%

13 -

Mar

JPN

11:30

Tertiary Industry Index MoM

Jan

-

0.30%

-

0.20%

USA

19:30

CPI MoM

Feb

0.20%

0.50%

USA

19:30

CPI Ex Food and Energy MoM

Feb

0.20%

0.30%

USA

19:30

CPI YoY

Feb

2.20%

2.10%

USA

19:30

CPI Ex Food and Energy YoY

Feb

1.80%

Wednesday

JPN

06:50

Core Machine Orders MoM

Jan

5.20%

-

11.90%

14 -

Mar

GER

14:00

CPI MoM

Feb F

0.50%

GER

14:00

CPI YoY

Feb F

1.40%

USA

19:30

Retail Sales Advance MoM

Feb

0.30%

-

0.30%

USA

19:30

Retail Sales Ex Auto MoM

Feb

0.30%

0.00%

USA

19:30

Retail Sales Ex Auto and Gas

Feb

0.30%

-

0.20%

USA

19:30

Retail Sales Control Group

Feb

0.40%

0.00%

USA

19:30

PPI Final Demand MoM

Feb

0.10%

0.40%

USA

19:30

PPI Ex Food and Energy MoM

Feb

0.20%

0.40%

USA

19:30

PPI Ex Food, Energy, Trade MoM

Feb

0.20%

0.40%

USA

19:30

PPI Final Demand YoY

Feb

2.80%

2.70%

USA

19:30

PPI Ex Food and Energy YoY

Feb

2.60%

2.20%

Thursday

USA

19:30

Import Price Index MoM

Feb

0.30%

1.00%

15 -

Mar

USA

19:30

Import Price Index ex Petroleum MoM

Feb

0.20%

0.50%

Friday

EU

17:00

CPI YoY

Feb F

1.20%

1.30%

16 -

Mar

EU

17:00

CPI MoM

Feb

0.20%

-

0.90%

USA

19:30

Housing Starts

Feb

1286k

1326k

USA

20:15

Industrial Production MoM

Feb

0.30%

-

0.10%

Source: Bloomberg

Domestic Economic Calendar

Source: Bloomberg

Date

Hour

Jakarta

Event

Period

Actual

Consensus

Prev.

Thursday

11:00

Imports YoY

Feb

26.44%

15 -

Mar

11:00

Exports YoY

Feb

7.86%

11:00

Trade Balance

Feb

-

$677m

Corporate Calendar

Date

Event

Company

Thursday

Annual & Extraordinary Shareholder Meeting

WOMF

15 -

Mar

(6)

DISCLAIMER

This report and any electronic access hereto are restricted and intended only for the clients and related entity of PT NH

Korindo Sekuritas Indonesia. This report is only for information and recipient use. It is not reproduced, copied, or made

available for others. Under no circumstances is it considered as a selling offer or solicitation of securities buying. Any

recommendation contained herein may not suitable for all investors. Although the information here is obtained from reliable

sources, it accuracy and completeness cannot be guaranteed. PT NH Korindo Sekuritas Indonesia, its affiliated companies,

respective employees, and agents disclaim any responsibility and liability for claims, proceedings, action, losses, expenses,

damages, or costs filed against or suffered by any person as a result of acting pursuant to the contents hereof. Neither is PT NH

Korindo Sekuritas Indonesia, its affiliated companies, employees, nor agents liable for errors, omissions, misstatements,

negligence, inaccuracy arising herefrom.

PT. NH Korindo Sekuritas Indonesia

Member of Indonesia Stock Exchange

Head Office :

Wisma Korindo 7

th

_Floor

Jl. M.T. Haryono Kav. 62

Pancoran, Jakarta 12780

Indonesia

Telp: +62 21 7976202

Fax : +62 21 7976206

Branch Office BSD:

ITC BSD Blok R No.48

Jl. Pahlawan Seribu Serpong

Tangerang Selatan 15322

Indonesia

Telp : +62 21 5316 2049

Fax : +62 21 5316 1687

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