FR CGS-CIMB (YU) : Adi Sarana Armada
On the highway
ASSA IJ / ASSA.JK | ADD - Maintained | Rp284.00 tp:Rp406.00▲
Mkt.Cap:US$69.45m | Avg.Daily Vol:US$0.02m | Free Float:40.00%
Transport
Author(s):Peter P. SUTEDJA +62 (21) 30061726, Namira LAHUDDIN
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■ ASSA’s 1Q18 core net profit beat our expectations at 31% of our FY18 forecast.
■ This was due to lower-than-expected borrowing costs and higher used car margins.
■ We fine-tune our forecasts according to the latest trend of disposal margins and borrowing costs.
■ The stock is trading at 0.8x FY18F P/BV. Our target price reflects its deep undervaluation and the growth potential in a recovery environment. Maintain Add.
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