OTCPK:TLKM.F

Stock Analysis Report

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia

Executive Summary

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk provides telecommunications, information, and media and edutainment services worldwide.

Rewards

Trading at 52.7% below its fair value

Earnings are forecast to grow 8.54% per year

Earnings grew by 9.8% over the past year

Risk Analysis

Has a high level of debt

Unstable dividend track record



Snowflake Analysis

Outstanding track record established dividend payer.


Similar Companies

Share Price & News

How has Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TLKM.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

TLKM.F

-0.2%

US Telecom

0.9%

US Market


1 Year Return

0.7%

TLKM.F

14.9%

US Telecom

20.0%

US Market

Return vs Industry: TLKM.F underperformed the US Telecom industry which returned 15.4% over the past year.

Return vs Market: TLKM.F underperformed the US Market which returned 20.1% over the past year.


Shareholder returns

TLKM.FIndustryMarket
7 Day0%-0.2%0.9%
30 Day0%-1.1%1.4%
90 Dayn/a1.0%8.8%
1 Year0.7%0.7%20.5%14.9%22.5%20.0%
3 Year4.3%4.3%17.9%0.7%49.9%40.3%
5 Year29.8%29.8%39.8%8.4%73.2%54.1%

Price Volatility Vs. Market

How volatile is Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TLKM.F ($0.28) is trading below our estimate of fair value ($0.59)

Significantly Below Fair Value: TLKM.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TLKM.F is good value based on its PE Ratio (17.7x) compared to the Telecom industry average (18.2x).

PE vs Market: TLKM.F is good value based on its PE Ratio (17.7x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: TLKM.F is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: TLKM.F is overvalued based on its PB Ratio (3.6x) compared to the US Telecom industry average (1.5x).


Next Steps

Future Growth

How is Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

8.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TLKM.F's forecast earnings growth (8.5% per year) is above the savings rate (1.7%).

Earnings vs Market: TLKM.F's earnings (8.5% per year) are forecast to grow slower than the US market (14.6% per year).

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

Revenue vs Market: TLKM.F's revenue (6.8% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: TLKM.F's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TLKM.F's Return on Equity is forecast to be low in 3 years time (14.8%).


Next Steps

Past Performance

How has Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia performed over the past 5 years?

7.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TLKM.F has high quality earnings.

Growing Profit Margin: TLKM.F's current net profit margins (15.1%) are higher than last year (14.1%).


Past Earnings Growth Analysis

Earnings Trend: TLKM.F's earnings have grown by 7% per year over the past 5 years.

Accelerating Growth: TLKM.F's earnings growth over the past year (9.8%) exceeds its 5-year average (7% per year).

Earnings vs Industry: TLKM.F earnings growth over the past year (9.8%) exceeded the Telecom industry -23.8%.


Return on Equity

High ROE: TLKM.F's Return on Equity (25.3%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia's financial position?


Financial Position Analysis

Short Term Liabilities: TLKM.F's short term assets (IDR45,127.0B) do not cover its short term liabilities (IDR53,880.0B).

Long Term Liabilities: TLKM.F's short term assets (IDR45,127.0B) exceed its long term liabilities (IDR44,664.0B).


Debt to Equity History and Analysis

Debt Level: TLKM.F's debt to equity ratio (41.4%) is considered high.

Reducing Debt: TLKM.F's debt to equity ratio has increased from 24.8% to 41.4% over the past 5 years.

Debt Coverage: TLKM.F's debt is well covered by operating cash flow (115.3%).

Interest Coverage: TLKM.F's interest payments on its debt are well covered by EBIT (14.4x coverage).


Balance Sheet

Inventory Level: TLKM.F has a high level of physical assets or inventory.

Debt Coverage by Assets: TLKM.F's debt is not covered by short term assets (assets are 0.9x debt).


Next Steps

Dividend

What is Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia's current dividend yield, its reliability and sustainability?

4.54%

Current Dividend Yield


Dividend Yield vs Market

company4.5%marketbottom25%1.4%markettop25%3.7%industryaverage4.9%forecastin3Years5.1%

Current dividend yield vs market & industry

Notable Dividend: TLKM.F's dividend (4.54%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: TLKM.F's dividend (4.54%) is in the top 25% of dividend payers in the US market (3.69%)


Stability and Growth of Payments

Stable Dividend: TLKM.F's dividend payments have been volatile in the past 10 years.

Growing Dividend: TLKM.F's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (53.4%), TLKM.F's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TLKM.F's dividends in 3 years are forecast to be covered by earnings (82.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.1yrs

Average management tenure


CEO

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Harry Zen
Director of Finance3.8yrsRp22.07b0.00074% IDR193.0k
Siti Choiriana
Director Consumer Service & Director2.1yrsRp3.40bno data
Zulhelfi Abidin
Director of Network2.8yrsRp15.82bno data
R. Rustamadji
Vice President of Corporate Finance0yrsno datano data
Andi Setiawan
VP of Investor Relations & Corporate Secretary4.9yrsno datano data
Arif Prabowo
Vice President Corporate Communications0yrsno datano data
Danang Nugroho
Vice President of Organization Development0yrsno datano data
Rachel Goh
Chief Marketing Officer0yrsno datano data
Edi Witjara
Director of Human Capital Management & Director0.8yrsno data0.000030% IDR7.8k
Tjatur Purwadi
Head of Internal Audit0yrsno datano data

2.1yrs

Average Tenure

53yo

Average Age

Experienced Management: TLKM.F's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Harry Zen
Director of Finance3.8yrsRp22.07b0.00074% IDR193.0k
Siti Choiriana
Director Consumer Service & Director2.1yrsRp3.40bno data
Zulhelfi Abidin
Director of Network2.8yrsRp15.82bno data
Edi Witjara
Director of Human Capital Management & Director0.8yrsno data0.000030% IDR7.8k
Achmad Sugiarto
Director of Strategic Portfolio & Director0.8yrsno datano data
Edwin Aristiawan
Director of Wholesale & International Service and Director0.8yrsno datano data
Faizal Djoemadi
Director of Digital Business & Director0.8yrsno data0.00013% IDR33.9k
Bogi Witjaksono
Director of Enterprise & Business Service and Director0.8yrsno data0.000060% IDR15.6k
Ririek Adriansyah
Director7.8yrsRp12.27b0.0012% IDR305.1k
Emma Martini
President Director0.8yrsno datano data

0.8yrs

Average Tenure

51yo

Average Age

Experienced Board: TLKM.F's board of directors are not considered experienced ( 0.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk
  • Ticker: TLKM.F
  • Exchange: OTCPK
  • Founded: 1884
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: Rp357.615t
  • Listing Market Cap: Rp26.080b
  • Shares outstanding: 99.06b
  • Website: https://www.telkom.co.id

Number of Employees


Location

  • Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk
  • Jalan Japati No. 1
  • Bandung
  • Jawa Barat
  • 40133
  • Indonesia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TLKNYSE (New York Stock Exchange)ADR EA REP 100 SER'B'IDR250USUSDNov 1995
PTIDB (Deutsche Boerse AG)ADR EA REP 100 SER'B'IDR250DEEURNov 1995
TLK NBMV (Bolsa Mexicana de Valores)ADR EA REP 100 SER'B'IDR250MXMXNNov 1995
TLKM.FOTCPK (Pink Sheets LLC)YesSeries B SharesUSUSDOct 1997
TCIDDB (Deutsche Boerse AG)YesSeries B SharesDEEUROct 1997
TLKMIDX (Indonesia Stock Exchange)YesSeries B SharesIDIDROct 1997

Biography

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk provides telecommunications, information, and media and edutainment services worldwide. It operates in four segments: Mobile, Consumer, Enterprise, and Wholesale and International. The company offers mobile services, including mobile voice, SMS, value-added, and mobile broadband services. It also provides fixed voice and broadband services; and wholesale telecommunications services, including network, data and Internet, interconnection, and value-added services, as well as voice hubbing, data center, platform, and solutions; and engages in the satellite and tower operations, and infrastructure and network management activities. In addition, the company offers information and communications technology platform services, such as enterprise connectivity IT, data center and cloud, business process outsourcing, and devices and hardware sales and services. Further, it provides smart enabler platform services, including financial, digital advertising, and big data and data analytics services, as well as Internet of Things services. Additionally, the company offers mobile-based digital services, such as TV and video-on-demand IPTV services; e-Commerce services that include blanja.com, an online marketplace for consumer-to-consumer and business-to-consumer sales; digital content and lifestyle services; and big data and smart platform services. It also provides property development, lease, facilities, and management services; and multimedia portal, broadcasting, satellite, system integrator, digital content exchange hub, payment, health insurance administration, directory information, data and information, and trading services. As of December 31, 2018, the company had approximately 163.0 million mobile cellular subscribers; 11.1 million fixed wireline network subscribers; and 113.8 million broadband subscribers. The company was founded in 1884 and is headquartered in Bandung, Indonesia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 23:58
End of Day Share Price2019/12/30 00:00
Earnings2019/09/30
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.