Smooth Indonesian Elections Cause Conducive Investment Climate for IPOs
The Indonesia Stock Exchange (IDX) is optimistic that its target of a total of 30 new initial public offerings (IPOs) in 2014 will be achieved as the 2014 elections are expected to bring positive market sentiments. Companies and investors are confident that a stronger and more balanced government will be inaugurated in October 2014; one that will foster higher economic growth. Moreover, previous election years have always shown that Indonesia's stock market gets a positive boost amid these elections.
This optimistic view has not waned after the parliamentary election (held on 9 April 2014) showed a fragmented outcome, and thus a source for political uncertainty. Contrary to most projections, the PDI-P (Indonesia's main opposition party) was unable to post a clear victory, securing only around 19 to 20 percent of the popular vote based on the quick count results (the official result will be released on 9 May 2014). The PDI-P was expected to secure a huge win due to the party's support for highly popular Jakarta Governor Joko Widodo (Jokowi) as its presidential candidate. When on 14 March 2014 Jokowi announced that he would run for president, the news was well-received by the market. At the end of that day, Indonesia's benchmark stock index (Jakarta Composite Index) jumped 3.23 percent (attributed to the 'Jokowi effect'). However, on 10 April 2014 - one day after the 2014 parliamentary election - the Jakarta Composite Index immediately plummeted more than three percent as the market was not happy to see the election result (again we witnessed the 'Jokowi effect'). Now the market has absorbed both the positive and negative impact of the 'Jokowi effect' and is back in balance, it is time to look ahead. Market participants, particularly domestic ones, seem highly optimistic, evidenced by the three-day winning streak that emerged after the market had reacted to the legislative election result.
Per 15 April 2014, ten Indonesian companies conducted an IPO on the Indonesia Stock Exchange (Eka Sari Lorena Transport lists today). An indicator of the popularity of these IPOs is that they are all oversubscribed.
Last Update: 29 Mar 2021
Portfolio IPO 2014
| Company | P: 29 Mar 2021 | P: 28 Mar 2021 | Gain/Loss | P/E ttm | Yield % | Gain/Loss YTD |
| Bank Panin SyariahPNBS | 83 | 82 | 1.22% | N/A | 0.00% | -4.60% |
| Asuransi Mitra Maparya Tbk.ASMI | 925 | 930 | -0.54% | N/A | 0.00% | -6.57% |
| Bank Ina Perdana Tbk.BINA | 1,560 | 1,550 | 0.65% | N/A | 0.00% | 64.21% |
| Capitol Nusantara Indonesia Tbk.CANI | 186 | 186 | 0.00% | N/A | 0.00% | 22.37% |
| Tunas Alfin Tbk.TALF | 310 | 258 | 20.16% | N/A | 0.00% | 13.97% |
| Bali Towerindo Sentra Tbk.BALI | 700 | 690 | 1.45% | N/A | 0.00% | -6.04% |
| Wijaya Karya BetonWTON | 334 | 344 | -2.91% | N/A | 0.00% | -20.85% |
| Graha Layar PrimaBLTZ | 4,600 | 4,650 | -1.08% | N/A | 0.00% | 53.85% |
| Intermedia Capital Tbk.MDIA | 63 | 66 | -4.55% | N/A | 0.00% | 3.28% |
| Eka Sari Lorena TransportLRNA | 180 | 185 | -2.70% | N/A | 0.00% | 1.69% |
| Combined Total | 8,941 | 8,941 | 0.00% | 30.60% |
Green colour indicates upward movement
Red colour indicates downward movement
P = price; E = earnings; D = dividend; Yield = D/P
"N/A" indicates P/E < 0 (negative earnings)
"-" indicates E,D,P or YTD is not available
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