Take a peek at interesting stocks and sectors next year, what are they?

Reporter: Akhmad Suryahadi | Editor: Wahyu T. Rahmawati

KONTAN.CO.ID – JAKARTA. A number of sectors and stocks are expected to have attractive prospects next year. Head of Research at FAC Sekuritas Indonesia, Wisnu Prambudi Wibowo, said that one of the interesting sectors was the financial sector consumer non-cyclical or primary consumer goods, in this case the sub-sector plantation aka plantation.

Primary consumer goods sector

A number of sentiments are believed to drive the performance of this sector. First, there is a decrease in production from Malaysia, which is one of the producers of crude palm oil or crude palm oil (CPO) is the largest in the world. Second, an increase in biofuel consumption, which is indicated by the onset of the B30 to B40 transition. This could push up CPO prices.

Third, there is a discourse to stop CPO exports and encourage downstreaming by the Indonesian government. Indonesia as the largest producer can raise the price of CPO, because the actual demand is still high.

Preferred stocks in this sector include PT Astra Agro Lestari Tbk (AALI), PT Dharma Satya Nusantara Tbk (DSNG), and PT Salim Ivomas Pratama Tbk (SIMP).

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Non-primary consumer goods sector

Sector consumer cyclical or non-primary consumer goods sector with sub-sectors broadcasting. Sentiment in this sector is shifting and increased use of services streaming over the top (OTT). There has also been an increase in digital production content. Plus, there is a shift in society from conventional entertainment to the media online.

Preferred stocks in this sector include PT Surya Citra Media Tbk (SCMA) and PT Media Nusantara Citra Tbk (MNCN).

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Subsektor electronic retail

Third, sector electronic retail. Sentiment from this sector is that work from home (WFH) and distance learning (PJJ) systems in the future will still be high. Plus, Indonesia is a share of smart work (smartphone) the big one. Digital penetration in Indonesia, especially Java Island, is quite high. The preferred stock in this sector is PT Erajaya Swasembada Tbk (ERAA).

Banking subsector

Next is the financial sector, namely the banking sub-sector. The Financial Services Authority (OJK) projects that the credit channel will increase by 9.27% ​​next year. In addition, there is also an extension of the credit relaxation policy until 2023 to encourage economic growth. Preferred stocks in the sector banking including PT Bank Central Asia Tbk (BBCA), PT Bank Negara Indonesia Tbk (BBNI), PT Bank Rakyat Indonesia Tbk (BBRI), PT Bank Syariah Indonesia Tbk (BREEZE), and PT Bank Mandiri Tbk (BMRI).

There is also a consumer financing sub-sector, which is considered attractive as the economy improves. Sentiment in this sector includes relaxation of financing and prospects for financing used motorcycles and cars. Shares of PT BFI Finance Indonesia Tbk (BFIN) according to Vishnu is interesting to observe.

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Infrastructure sector

Lastly, according to Wisnu, the infrastructure sector, namely: integrated telco service also interesting. In 2022, the need for data packages is still very high, including for business, education, and social media purposes. Shares of PT Telkom Indonesia Tbk (TLKM) becomes a choice.

In a report quoted by Kontan.co.id, Tuesday (30/11), the Valbury Sekuritas Indonesia Research Team revealed that there are a number of prospective sectors in the midst of economic recovery. Among them are sectors consumer, which is a defensive sector both during the pandemic and during the recovery period.

Preferred stocks include PT Indofood Sukses Makmur Tbk (INDF) and PT Indofood CBP Sukses Makmur Tbk (ICBP). These two issuers have dominance in instant noodle products and cooking spices as well as an increase in market share abroad after the acquisition of Pinehill

Another interesting sector is the metal mining sector, in line with the government’s focus on continuing to develop the electric car battery supply industry. The preferred stock is PT Vale Indonesia Tbk (INCO) and PT Aneka Tambang Tbk (ANTME).

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JCI Projection 2022

Wisnu sees, next year the JCI will move in the range of 7,200-7,400. A number of sentiments, both positive and negative, still overshadow the movement of the index.

First, the escalation of Covid-19 and its mutation. This is reflected in the spread of the delta variant which had made daily cases in the country soar in the middle of this year. “Near the end of the year, there are new virus mutations. Cases in countries in Europe such as Germany, England, and the Netherlands have increased,” said Wisnu to Kontan.co.id, recently. The spread of this mutation still has the potential to be a barrier to economic growth.

In addition, Vishnu saw, there was still policy easing (tapering) in 2022. Vaccination inequality between developed countries and third world countries is also an obstacle to economic recovery.

On the other hand, there are a number of supports for next year’s index movement, including the accelerated economic recovery. The International Monetary Agency (IMF) projects that Indonesia’s economic growth will reach 5.9% in 2022. This economic growth projection is driven by a number of aspects, such as massive vaccinations and structural and bureaucratic reforms.

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