20140523_2

TRIM DAILY PT Trimegah Securities Tbk - www.trimegah.com 1

We initiate Bank Jatim (BJTM) with a Buy and TP Rp530 (23% upside) as 1) It is

a proxy for East Java’s strong economic growth outlook, 2) Stronger growth

potential on the back of relatively lower LDR at 80% versus industry’s 91%, and

3) More resilient NIM. BJTM currently trades at 1.0x 2014 PBV, lower than BJBR’s

1.1x PBV. BJTM’s 17.5% 2014 ROE is lower than BJBR’s 2014 ROE of 20%, but

going in different directions. We expect BJTM’s ROE to grow to 20% in 2015 while

BJBR’s ROE to slightly decline to 19.5%. Today is the last day of IPA (Indonesian

Petroleum Association) convention. Of the oil and gas upstream, we highlight

Medco (MEDC) as the company is on track to complete Senoro LNG next year,

higher gas price, and plans to continue divesting non-core assets (at profit).

Ticker Last S1 R1 Trend 3M Technical Call

JCI 4970 4948 4996 Bullish Bullish

ASII 7600 7550 7675 Bullish BOW

PGAS 5725 5650 5825 Bullish BOW

ITMG 29000 28400 29625 Bullish BOW

PTBA 11400 11125 11725 Bullish BOW

DOID 186 180 189 Bullish BOW

MEDC 3110 3035 3235 Bullish BOW

JSMR 6125 6100 6200 Bullish BOW

INTP 23300 23200 23450 Akumulasi Lanjut

Buy

ENRG 95 94 98 Akumulasi Lanjut

Buy

GGRM 53500 52775 53850 Distribusi Awal Sell

SMGR 14950 14825 15075 Akumulasi Awal Spec Buy

BUMI 215 210 218 Akumulasi Awal Spec Buy

TRIM Daily

TRIM Highlights

May 23, 2014

Jakarta Composite Index (JCI) increased by 59.59 points or +1.21% to 4,969.9 yesterday. Index movers were mostly driven by Finance (+1.89%), Infrastructure Utility & Transportation (+1.65%), and Mining (+1.63%). Total transaction value was Rp6.0tr with regular market transaction of Rp5.3tr. IDX recorded Rp373bn net buy by foreign investors. JCI still have a potential upside for today in trading range of 4948-4996.

Market Review

In U.S., the U.S. initial jobless claims climbed to 326,000 in the week May 16 (vs consensus: +310,000), following an upwardly revised 298,000 in prior week. The U.S. existing home sales up 1.3% MoM to a 4.65mn annual rate in April (vs consensus: 4.69mn) from an annual rate of 4.59mn in prior month. In China, the China HSBC preliminary manufacturing PMI rose to 49.7 in May (vs consensus: 48.3) from 48.1 in prior month.

Global Wrap

Trader’s Pick

JCI 4,969.9

Global Indices

Reksa Dana Trimegah Asset Management

Dual Listing (NYSE)

Others

(USD) (Rp) Chg %

43.6 12,577.4 1.02 2.4TLKM

Change 1.21%

Transaction Volume (m) 6,297.4

Transaction Value (Rpbn) 6,040.0

Mkt Cap (Rptr) 4,924.9

Market P/E (x) 15.9

Market Div. Yield (%) 2.0

Price Chg %

Dow Jones 16,543.1 10.0 0.1

Nasdaq 4,154.3 22.8 0.6

Nikkei 14,337.8 295.6 2.1

ST Times 3,265.7 3.9 0.1

FTSE 6,820.6 -0.5 -0.0

Hang Seng 22,953.8 117.2 0.5

NAB Chg %

Trim Kapital 8,494.2 108 1.28

Trim Kapital + 3,157.4 45.9 1.48

Trim Syariah SHM 1,571.0 17.3 1.12

Tram Consumption +1,369.2 18.3 1.35

Trim Komb 2 1,871.2 20.4 1.10

Trim Syariah B 2,218.7 18.6 0.84

Trim Dana Stabil 2,100.5 -1.4 -0.07

Trim Dana Tetap 2 1,671.1 -1.0 -0.06

Tram PDPT USD 1.1 -0.0 -0.05

Tram Reguler INC 994.7 0.0 0.00

Tram Strategic Fund 1,071.2 0.2 0.01

Trim Kas 2 1,079.5 0.2 0.02

Chg %

USD IDR 11,531 22.0 0.2

10 yr Indo Govr bond (%) 8.02 -0.0 -0.1

10 yr US govt bond (%) 2.6 0.02 0.8

Spread (%) 5.46 -0.03 -0.9

EIDO 28.7 0.6 2.1

Foreign YtD (USDmn) 3,612 29 0.8

PT Trimegah Securities Tbk - www.trimegah.com TRIM DAILY 2

News of the Day

Dividend Table

TICKER dividend Price Rating Target Dividend EX Date TYPE Pay Date

(Rp/shares) (22-May-14) price yield

BDMN 127 4,235 Hold 4,250 3.0% 5/30/2014 BDVD Forecast -

INDF 165 6,775 NA 7,891 2.4% 7/17/2014 BDVD Forecast -

INTP 470 23,300 Buy 27,400 2.0% 6/20/2014 BDVD Forecast -

GGRM 900 53,500 Buy 58,938 1.7% 7/31/2014 BDVD Forecast -

KLBF 20 1,615 Hold 1,611 1.2% 6/13/2014 BDVD Forecast -

ADRO 11 1,300 Buy 1,300 0.9% 5/29/2014 BDVD Forecast -

UNVR 320 30,025 Hold 28,445 1.1% 6/30/2014 BDVD Forecast -


News of the Day

BBRI: not sitting tight

we were at prasetya mulya finance and business school in BSD (bumi serpong damai) and noticed a BRI van parked near the food court area. Apparently BRI is sponsoring a sport event arranged by students, who not only can withdraw cash at the van if they already have an acct with BRI (there is an ATM in the van). students can also open accounts int he van (there is an account officer sitting inside the air condi-tioned van).

comment:

most companies are happy to sponsor a sport event arranged by university students, but we like the fact that BRI is taking the one step further of opening accts on the spot. BBRI is our top pick in banking sector on the back of our confidence in the bank's ability to grow its funding.


News of the Day

MAPI: To distribute Dividend of Rp20/share, Yield

0.37%

MAPI will distribute cash dividend of Rp20/share with yield

0.37% (last price Rp5,375/share). Cum date dividend is on

Jun 13, 2014 with payment on Jul 2, 2014. Source: Bisnis

Indonesia

ISAT: Looking for Rp10tr for debt refinancing

ISAT is looking for Rp9-10tr from external funding. The

funds will be used for debt repayment. ISAT has Rp5.4tr debt

which will be due this year and Rp3tr next year. Further-

more, ISAT plans to retire the USD650mn bonds in Jun15,

earlier from the original maturity date in 2020. ISAT has

obtained the bank loan facility from several banks. Source:

Investor Daily

WTON: Plans to build new plant in Lampung

WTON plans to build a new plant in Bakauheni, Lampung. For

the first stage, WTON will operate 2 lines of cylinder pile and

could be increased to 8 lines with total capacity reaching

700,000 ton. The funds needed for the first stage approxi-

mately Rp350bn, which will be funded from IPO proceeds.

WTON set 2014 revenues growth of 35%YoY to Rp3.5tr.

Source: Kontan

Comment:

The news is positive. Currently, WTON operates 8 plants with

capacity totaling 2.0mn ton/year, the biggest in Indonesia.

Management’s revenues target is 11% higher than ours. We

are targeting 2014 revenues to reach Rp3.2tr up 20% YoY

and net income to reach Rp300bn up 25% YoY. We have a

Buy recommendation on WTON, with TP of Rp880/sh. WTON

is traded at 14PE of 22.6x.

PBRX: Rp400bn expansion plans

PBRX is readying Rp400bn for expansion to Vietnam, 4

garment factories and expansion of garment retail network.

Rp300bn is allocated for Vietnam expansion and the new

factories while Rp100bn for network expansion. It will be

funded internally and through bank loans. The 4 garment

factories is expected to be operational by 4Q14 and expected

to increase its capacity to 90mn by 2016 pieces while the

expanded retail network is expected to contribute 3% to its

revenue. A dividend of Rp1/share has also been approved in

its latest AGM. Source: Investory Daily

Comment:

Currently its capacity is at 42mn pieces and the 90mn pieces

target is from the additional 2 new factories in 2015 and 1 new

factory in 2016. Current retail contribution is at 1% to revenue.

Total dividend is at Rp6.3bn with a dividend yield of 0.23%.

LTLS: Pays out cash dividends amounting to Rp33 per

share

PT Lautan Luas Tbk allocated its net income to pay out cash

dividends amounting to Rp33 per share or Rp25.740.000.000

to the company's shareholders on June 18 2014. The dividend

payments will be made starting on July 2 2014. The dividend

yield amounts to 3%. Source: Bisnis Indonesia

SUPR: Expansion of building 1,000 more towers, mainly

in the Java Island.

SUPR are preparing a total capex of Rp1,7tn to expand 1,000

more towers. One of their main sources of funding is coming

from a collective loan from Standard Chartered, which is

USD30mn/ Rp354bn. Within the 1Q of 2014 they have started

to create 161 towers where 50% of it is being built in the

Jabodetabek area. According to Nobel the costs of each tower

could accumulate to Rp1,2bn. By 2014, SUPR are targeting a

20% increase in revenue from USD840mn to USD1bn. They

are also targeting a 20% increase in Net Profit from

Rp167,5bn to Rp237bn. Source: Investor Daily


Statistics

YTD (Rp) 16.28% 6,297.4

YTD (USD) 24.69% 6,040.0

Moving Avg 20day 41,739.0 4,924.9

Moving Avg 50day 4,796.8 2,876.2

Moving Avg 200day 4,640.3 15.0

Indonesia & Sectors +/- (%)YTD (%)

MSCI Indonesia 5,895.9 93.2 1.6 20.1

JII 672.5 7.7 1.2 14.9

LQ45 847.5 12.2 1.5 19.2

JAKFIN Index 671.4 12.5 1.9 24.3

JAKINFR Index 1,091.7 17.7 1.6 17.3

JAKMINE Index 1,567.6 25.1 1.6 9.7

JAKCONS Index 2,023.3 0.8 0.0 13.5

JAKTRAD Index 868.9 8.4 1.0 11.9

JAKMIND Index 1,315.4 15.6 1.2 9.2

JAKBIND Index 526.6 4.0 0.8 9.5

JAKPROP Index 436.2 4.4 1.0 29.4

JAKAGRI Index 2,345.4 20.9 0.9 9.6

Commodities +/- (%)YTD (%)

CRB Index 307.6 -0.2 -0.07 9.8

Oil & Gas

Crude Oil (USD/bbl) 103.7 -0.3 -0.32 5.4

Natural Gas 4.4 -0.1 -2.55 3.0

COAL (Australia,wk) 72.9 0.0 0.00 -13.8

COAL (AUS Daily) 74.7 -0.3 -0.40 -14.4

Industrial Metals

Alumunium (USD/tonne) 1,768.3 28.3 1.62 0.4

Nickel (USD/tonne) 19,700 200 1.03 41.7

Tin (USD/tonne) 23,190 215.0 0.94 3.8

Precious Metal

Gold (USD/t oz.) 1,295.0 6.9 0.54 7.7

Silver (USD/t oz.) 19.5 0.2 0.94 0.9

Soft Commodities

CPO (Malaysia - Rm/tonne) 2,550 8.0 0.31 -3.0

Rubber (JPY/kg) 1,922 -9.0 -0.47 -27.7

Corn (USD/bu.) 477 2.3 0.47 13.0

Wheat (USD/bu.) 659 -5.0 -0.75 8.9

Soybeans (USD/bu.) 1,519 13.5 0.90 15.7

Rice (Indonesia) (Rp/kg) 8,600 0.0 0.00 0.0

Volume (m)

Nilai (Rpbn)

Mkt Cap (Rptr)

Market P/E (x)

Market Div. Yield (%)

CPO (Malaysia - Rm/tonne)

Indices Region +/- (%) YT D (%)

MXWO MSCI Word 1,692.4 5.85 0.35 1.88

SPX S&P 500 1,892.5 4.46 0.24 2.39

US

16,543.1 10.0 0.06 -0.20

Nasdaq US 4,154.3 22.80 0.55 -0.53

Europe

EURO 50 Europe 341.0 0.68 0.20 3.89

FTSE London 6,820.6 -0.48 -0.01 1.06

DAX Jerman 9,720.9 23.04 0.24 1.77

CAC France 4,478.2 9.18 0.21 4.24

SMI Swiss 8,694.0 38.08 0.44 5.99

BRIC

BOVESPA Brazil 52,806.2 602.8 1.15 2.52

MICEX Russia 1,430.5 -9.36 -0.65 -4.85

SENSEX India 24,374.4 76.4 0.31 15.30

NIFTY India 7,276.4 23.50 0.32 15.47

SHCOMP China 2,021.3 -3.67 -0.18 -4.48

SZCOMP China 1,028.7 0.68 0.07 -2.74

Nikkei Japan 14,337.8 295.6 2.11 -11.99

TPX Japan 1,169.3 19.29 1.68 -10.21

HSI Hong kong22,953.8 117.2 0.51 -1.51

KOSPI S.Korea 2,015.6 7.26 0.36 0.21

TAIEX Taiwan 8,969.6 107.21 1.21 4.16

FSSTI Singapore 3,265.7 3.88 0.12 3.10

ASEAN

SET Thailand 1,405.2 2.29 0.16 8.20

PCOMP Philipines 6,830.6 68.2 1.01 15.97

KLCI Malaysia 1,875.1 -1.91 -0.10 0.44

VNINDEX Vietnam 541.7 -2.15 -0.40 7.35

Developed ASIA

Dow Jones Industrial

Kurs Region +/- (%) YT D (%)

USDEUR Euro 0.732 0.002 0.22 0.76

USDGBP UK 0.593 0.001 0.17 -1.81

USDCHF Switzerland 0.894 0.001 0.11 0.29

USDCAD Canada 1.089 -0.002 -0.19 2.32

USDAUD Australia 1.084 0.003 0.29 -3.69

USDNZD New Zealand 1.168 0.002 0.13 -4.30

USDJPY Japan 101.74 0.370 0.36 -3.33

USDCNY China 6.24 0.00 0.02 2.97

USDHKD Hongkong 7.754 0.001 0.01 -0.00

USDSGD Singapore 1.252 0.000 0.02 -0.91

Rupiah Indonesia 11,531 22.00 0.19 -5.26

-

14.3

-4.2

-

20.6

-2.8

-2.2

-

22.6

-0.2

-3.6

-5.4

-0.7

SKBM

SILO

STTP

ANJT

BBMD

BSSR

SMGR

FAST

MERK

ICBP

2.2

3.6

2.2

4.8

2.2

3.6

2.2

2.2

1.3

3.1

BBCA

EMTK

CPIN

SCMA

PGAS

ITMG

TLKM

BMRI

ASII

BBRI1,018,01

4

311,301

287,302

287,237

274,673

211,781

202,443

178,719

166,503

160,365

TLKM

BBRI

TRAM

ASII

BMRI

MPPA

PGAS

BBCA

BBNI

SILO

499,033

323,433

305,471

298,135

289,645

271,680

248,024

227,058

209,060

178,474

0 1,000,000

SIPD

BKSL

TRAM

CPGT

BIPI

ENRG

TLKM

BUMI

META

TMPI

4,809

4,685

4,484

4,239

4,123

4,100

3,863

3,798

3,486

3,294

TLKM

BBRI

SSMS

CPGT

BKSL

BBNI

INDF

ASII

KLBF

GGRM

JCI Winners (%) JCI Losers (%) JCI Value (Rpmn) JCI Volume (Lot) JCI VFreq (Lot)


World Economic Calendar

19-May-14 JN Machine Orders MoM (%) Mar 5.8 19.1 -4.6

JN Machine Orders YoY (%) Mar 4.4 16.1 10.8

21-May-14 US Fed Releases Minutes from April 29-30 FOMC Meeting

EC Consumer Confidence May A -8.3 -7.1 -8.6

JN Trade Balance (JPY bn) Mar -646.3 -808.9 -1,446.0

JN Exports YoY (%) Mar 4.4 5.1 1.8

JN Imports YoY (%) Mar 1.2 3.4 18.1

22-May-14 US Initial Jobless Claims (000's) 16-May 310 326 297

US Markit US Manufacturing PMI May P 55.9 56.2 55.4

US Existing Home Sales (mn) Apr 4.69 4.65 4.59

US Existing Home Sales MoM (%) Apr 2.2 1.3 -0.2

CH HSBC China Manufacturing PMI May P 48.3 49.7 48.1

EC Markit Eurozone Manufacturing PMI May P 53.2 52.5 53.4

GE Markit/BME Germany Manufacturing PMI May P 54.0 52.9 54.1

23-May-14 US New Home Sales (000's) Apr 425 -- 384

US New Home Sales MoM (%) Apr 10.7 -- -14.5

GE IFO Business Climate May 110.9 -- 111.2

GE IFO Expectations May 106.5 -- 107.3

27-May-14 US Durable Goods Orders (%) Apr -0.2 -- 2.6

US Consumer Confidence Index May 83.0 -- 82.3

US Markit US Composite PMI May P -- -- 55.6

US Markit US Services PMI May P -- -- 55.0

US Dallas Fed Manf. Activity May -- -- 11.7

GE Retail Sales MoM (%) Apr -- -- -0.7

GE Retail Sales YoY (%) Apr -- -- -1.9

29-May-14 US GDP Annualized QoQ (%) 1Q S -0.5 -- 0.1

US Pending Home Sales MoM (%) Apr -0.1 -- 3.4

30-May-14 US Personal Income (%) Apr 0.3 -- 0.5

US Personal Spending (%) Apr 0.2 -- 0.9

US PCE Deflator YoY (%) Apr -- -- 1.1

US PCE Core YoY (%) Apr -- -- 1.2

US Chicago Purchasing Manager May 60 -- 63

US Univ. of Michigan Confidence May F 82.5 -- 81.8

JN Natl CPI YoY (%) Apr -- -- 1.6

JN Industrial Production MoM (%) Apr P -- -- 0.7

1-Jun-14 CH Manufacturing PMI May -- -- 50.4

2-Jun-14 ID Trade Balance (USD mn) Mar -- -- 673

ID Exports YoY Mar -- -- 1.24

ID Imports YoY (%) Mar -- -- -2.34

ID CPI YoY (%) Apr -- -- 7.25

ID CPI NSA MoM (%) Apr -- -- -0.02

ID HSBC Indonesia Manufacturing PMI Apr -- 51.1

US ISM Manufacturing May -- -- 54.9

3-Jun-14 US Factory Orders (%) Apr -- -- 1.1

EC Unemployment Rate (%) Apr -- -- 11.8

4-Jun-14 US ADP Employment Change (000's) May -- -- 220

US Trade Balance (USD bn) Apr -- -- -40.4

Date Time Country Event Period Survey Actual Prior


Research Team

Sebastian Tobing, CFA

Head of Research & Institutional Sales

([email protected])

Frederick Daniel Tanggela

Equity Analyst

([email protected])

Robby Hafil

Equity Analyst

([email protected])

Melvina Wildasari

Equity Analyst

([email protected])

Maria Renata

Equity Analyst

([email protected])

Gina Novrina Nasution, CSA

Equity Analyst

([email protected])

Hapiz Sakti Azi

Research Associate

([email protected])

Paula Ruth

Research Associate

([email protected])

Joshua N.C. Tjeuw

Research Associate

([email protected])

Rovandi

Research Associate

([email protected])

Institutional Sales

Daniel Dwi Seputro

Head of Institutional Equity Sales

([email protected])

Dewi Yusnita

Equity Institutional Sales

([email protected])

Meitawati


([email protected])

Fachruly Fiater


([email protected])

Henry Sidarta


([email protected])

Raditya Andyono


([email protected])

Nancy Pardede


([email protected])

Equity Capital Market Team

JAKARTA

Nathanael Benny Prasetyo

Head of Retail ECM

([email protected])

Ariawan Anwar

Artha Graha, Jakarta

([email protected])

Windra Djulnaily

Pluit, Jakarta

([email protected])

Musji Hartono

Mangga Dua, Jakarta

([email protected])

Ferry Zabur

Kelapa Gading, Jakarta

([email protected])

Very Wijaya

BSD, Jakarta

([email protected])

SUMATRA

Juliana Effendy

Medan, Sumatera Utara

([email protected])

Tantie Rivi Watie

Pekanbaru, Riau

([email protected])

Hari Mulyono Soewandi

Palembang, Sumatra Selatan

([email protected])

EAST INDONESIA

Wiranto Sunyoto

Branch Area Manager

([email protected])

Sonny Muljadi

Surabaya, Jawa Timur

([email protected]

Ni Made Dwi Hapsari Wijayanti

Denpasar, Bali

([email protected])

Ivan Jaka Perdana

Malang, Jawa Timur

([email protected])

Agus Jatmiko

Balikpapan, Kalimantan Timur

([email protected])

Arifin Pribadi

Ujung Pandang, Sulawesi Selatan

([email protected])

CENTRAL JAVA

Agus Bambang Suseno

Solo, Jawa Tengah

([email protected])

Andrew Jatmiko

Yogyakarta, Jawa Tengah

([email protected])

Muhammad Ishaq

Semarang, Jawa Tengah

[email protected])

WEST JAVA

Asep Saepudin

Bandung, Jawa Barat

([email protected])

Ariffianto

Cirebon, Jawa Barat

([email protected])

PT Trimegah Securities Tbk

Gedung Artha Graha 18th Floor

Jl. Jend. Sudirman Kav. 52-53

Jakarta 12190, Indonesia

t. +62-21 2924 9088

f. +62-21 2924 9150

www.trimegah.com

DISCLAIMER

This report has been prepared by PT Trimegah Securities Tbk on behalf of itself and its affiliated companies and is provided for information

purposes only. Under no circumstances is it to be used or considered as an offer to sell, or a solicitation of any offer to buy. This report has

been produced independently and the forecasts, opinions and expectations contained herein are entirely those of Trimegah Securities.

While all reasonable care has been taken to ensure that information contained herein is not untrue or misleading at the time of publication,

Trimegah Securities makes no representation as to its accuracy or completeness and it should not be relied upon as such. This report is

provided solely for the information of clients of Trimegah Securities who are expected to make their own investment decisions without reliance

on this report. Neither Trimegah Securities nor any officer or employee of Trimegah Securities accept any liability whatsoever for any direct or

consequential loss arising from any use of this report or its contents. Trimegah Securities and/or persons connected with it may have acted

upon or used the information herein contained, or the research or analysis on which it is based, before publication. Trimegah Securities may in

future participate in an offering of the company’s equity securities.

20140523_2

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