DB:KM6

Stock Analysis Report

Adhi Karya (Persero)

Executive Summary

PT Adhi Karya (Persero) Tbk primarily engages in the construction business in Indonesia.

Snowflake

Fundamentals

Good value with moderate growth potential.

Share Price & News

How has Adhi Karya (Persero)'s share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.1%

KM6

1.9%

DE Construction

4.1%

DE Market


1 Year Return

28.3%

KM6

-21.8%

DE Construction

2.4%

DE Market

Return vs Industry: KM6 exceeded the German Construction industry which returned -21.8% over the past year.

Return vs Market: KM6 exceeded the German Market which returned 2.4% over the past year.


Shareholder returns

KM6IndustryMarket
7 Day4.1%1.9%4.1%
30 Day-2.5%-2.6%1.7%
90 Day-9.4%5.2%3.7%
1 Year32.1%28.3%-18.6%-21.8%5.6%2.4%
3 Year-43.7%-46.9%-9.6%-16.3%19.2%8.9%
5 Year-44.4%-56.5%97.9%75.6%43.2%23.7%

Price Volatility Vs. Market

How volatile is Adhi Karya (Persero)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Adhi Karya (Persero) undervalued compared to its fair value and its price relative to the market?

6.91x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: KM6 (€0.08) is trading above our estimate of fair value (€0.04)

Significantly Undervalued: KM6 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: KM6 is good value based on its PE Ratio (6.9x) compared to the Construction industry average (11.1x).

PE vs Market: KM6 is good value based on its PE Ratio (6.9x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: KM6 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: KM6 is good value based on its PB Ratio (0.7x) compared to the XE Construction industry average (1.1x).


Next Steps

Future Growth

How is Adhi Karya (Persero) forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

13.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KM6's forecast earnings growth (13.1% per year) is above the savings rate (0.2%).

Earnings vs Market: KM6's earnings (13.1% per year) are forecast to grow faster than the German market (12.9% per year).

High Growth Earnings: KM6's earnings are forecast to grow, but not significantly.

Revenue vs Market: KM6's revenue (11.5% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: KM6's revenue (11.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: KM6's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has Adhi Karya (Persero) performed over the past 5 years?

14.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KM6's earnings have grown by 14.2% per year over the past 5 years.

Accelerating Growth: KM6's earnings growth over the past year (8.3%) is below its 5-year average (14.2% per year).

Earnings vs Industry: KM6 earnings growth over the past year (8.3%) exceeded the Construction industry 8.1%.


Return on Equity

High ROE: KM6's Return on Equity (10.1%) is considered low.


Return on Assets

ROA vs Industry: KM6's Return on Assets is below or equal to the Construction industry average last year.


Return on Capital Employed

ROCE Improving: KM6 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Adhi Karya (Persero)'s financial position?


Financial Position Analysis

Short Term Liabilities: KM6's short term assets (IDR26,104.1B) exceeds its short term liabilities (IDR19,358.5B)

Long Term Liabilities: KM6's short term assets (26,104.1B) exceeds its long term liabilities (5,654.2B)


Debt to Equity History and Analysis

Debt Level: KM6's debt to equity ratio (164%) is considered high

Reducing Debt: KM6's debt to equity ratio has increased from 141.3% to 164% over the past 5 years.

Debt Coverage: KM6's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: KM6's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet

Inventory Level: KM6 has a low level of unsold assets or inventory.

Debt Coverage by Assets: KM6's debt is covered by short term assets (assets are 2.492980x debt).


Next Steps

Dividend

What is Adhi Karya (Persero)'s current dividend yield, its reliability and sustainability?

2.31%

Current Dividend Yield


Dividend Yield vs Market

company2.3%marketbottom25%1.5%markettop25%3.8%industryaverage3.5%forecastin3Years3.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: KM6's dividend (2.31%) is higher than the bottom 25% of dividend payers in the German market (1.45%).

High Dividend: KM6's dividend (2.31%) is low compared to the top 25% of dividend payers in the German market (3.78%).

Stable Dividend: Whilst dividend payments have been stable, KM6 has been paying a dividend for less than 10 years.

Growing Dividend: KM6's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (15.9%), KM6's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KM6's dividends in 3 years are forecast to be well covered by earnings (19.3% payout ratio).


Next Steps

Management

What is the CEO of Adhi Karya (Persero)'s salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Budi Harto (60yo)

3.5yrs

Tenure

Rp2,929,086,991

Compensation

Engineer Budi Harto, MM has been President Director of PT Adhi Karya (Persero) Tbk since April 08, 2016. Engineer Harto served as Deputy Managing Director at PT Adhi Karya (Persero) Tbk since April 22, 201 ...


CEO Compensation Analysis

Compensation vs. Market: Budi's total compensation ($USD207.02K) is about average for companies of similar size in the German market ($USD806.28K).

Compensation vs Earnings: Budi's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.5yrs

Average Tenure

57yo

Average Age

Experienced Management: KM6's management team is considered experienced (2.5 years average tenure).


Board Age and Tenure

4.1yrs

Average Tenure

57yo

Average Age

Experienced Board: KM6's board of directors are considered experienced (4.1 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Imam Baehaki

    General Manager of Marketing Department

    • Tenure: 0yrs
  • Pundjung Brata (54yo)

    Director of Operation II & Director

    • Tenure: 5.3yrs
    • Compensation: Rp2.62b
  • Budi Harto (60yo)

    President Director

    • Tenure: 3.5yrs
    • Compensation: Rp2.93b
  • Entus Mukhson (57yo)

    Director of Finance & Director

    • Tenure: 1.5yrs
    • Compensation: Rp362.19m
  • Budi Soediro (58yo)

    Director of Operation I & Director

    • Tenure: 4.1yrs
    • Compensation: Rp2.62b
  • M. Kamali

    General Manager of Finance

    • Tenure: 0yrs
  • - Wiyono (56yo)

    Head of Internal Audit

    • Tenure: 4.2yrs
  • V. Sarathi (57yo)

    Director of QHSE and Development & Director

    • Tenure: 2.6yrs
    • Compensation: Rp2.20b
  • Susetyo Rohadi

    Head of Construction Division II

    • Tenure: 0yrs
  • Agus Karianto (51yo)

    Director of Human Resources & Director

    • Tenure: 1.5yrs
    • Compensation: Rp362.19m

Board Members

  • Pundjung Brata (54yo)

    Director of Operation II & Director

    • Tenure: 5.3yrs
    • Compensation: Rp2.62b
  • Budi Harto (60yo)

    President Director

    • Tenure: 3.5yrs
    • Compensation: Rp2.93b
  • Bobby Achirul Nazief (60yo)

    Commissioner

    • Tenure: 7.3yrs
    • Compensation: Rp1.18b
  • Entus Mukhson (57yo)

    Director of Finance & Director

    • Tenure: 1.5yrs
    • Compensation: Rp362.19m
  • Mochamad Rachman (55yo)

    President Commissioner

    • Tenure: 4.1yrs
    • Compensation: Rp1.32b
  • Wicipto Setiadi (62yo)

    Commissioner

    • Tenure: 4.6yrs
    • Compensation: Rp1.18b
  • Hironimus Hilapok (41yo)

    Independent Commissioner

    • Tenure: 4.6yrs
    • Compensation: Rp1.18b
  • Budi Soediro (58yo)

    Director of Operation I & Director

    • Tenure: 4.1yrs
    • Compensation: Rp2.62b
  • V. Sarathi (57yo)

    Director of QHSE and Development & Director

    • Tenure: 2.6yrs
    • Compensation: Rp2.20b
  • Agus Karianto (51yo)

    Director of Human Resources & Director

    • Tenure: 1.5yrs
    • Compensation: Rp362.19m

Company Information

PT Adhi Karya (Persero) Tbk's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PT Adhi Karya (Persero) Tbk
  • Ticker: KM6
  • Exchange: DB
  • Founded: 1960
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: Rp4.469t
  • Listing Market Cap: Rp283.975m
  • Shares outstanding: 3.56b
  • Website: https://adhi.co.id

Number of Employees


Location

  • PT Adhi Karya (Persero) Tbk
  • South Building
  • Jl. Raya Pasar Minggu KM. 18
  • Jakarta
  • 12510
  • Indonesia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ADHIIDX (Indonesia Stock Exchange)YesOrdinary SharesIDIDRMar 2004
KM6DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2004

Biography

PT Adhi Karya (Persero) Tbk primarily engages in the construction business in Indonesia. The company undertakes various projects, such as buildings, roads, bridges, water works, airports, seaports, and lan ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 20:48
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.