BRIDS Market Pulse: Chart of the week – JCI P/E Band (10-year)

Stock Code	Last Price	Change	Change %
POLU	12,375	2,025	19.57%
UNTR	27,225	775	2.93%
STTP	10,525	250	2.43%
UANG	1,060	210	24.71%
INDY	1,860	200	12.05%
NRCA	940	180	23.68%
KONI	2,050	170	9.04%
SONA	4,200	160	3.96%

BRIDS Market Pulse

In the spotlight

JCI finished the week flat (-0.1% w-w), underperforming most of the EM peers. Despite positive surprise from 2Q25 GDP numbers, Consumers (-3.7% w-w) and Telco (-0.8%) sectors dragged down the index, offsetting the slight outperformance in Banks (+0.4%), along with correction in large-cap illiquid and conglo stocks (DCII, BRPT, TPIA). Foreign funds flow improved to neutral (+US$8mn) compared to outflows in majority of the ASEAN EM peers, with reversal of flows into BBCA and BMRI. MSCI’s Aug25 review announced the inclusion of DSSA and CUAN into the index, with exclusion of ADRO (into MSCI Small Cap).
2Q25 GDP growth came in at 5.12%, beating our and consensus expectations of 4.8%. The stronger-than-expected growth was attributed to the improved household Consumption (+4.97% y-y), the highest since 4Q23, and jump in GFCF to 6.99% y-y, highest since 2Q21, driven by ~30% y-y rise in gov’t capital spending. A higher number of holidays in 2Q25 boosted travel demand, lifting transport, F&B, and accommodation sectors, as reflected in sector growth: Transport & Storage (+8.52%), Accommodation & Restaurant (+8.04%), and Food & Beverage Industry (+6.15%). On spending side, Gov’t consumption was flat at -0.33% y-y while Net Export grew 5.8% y-y thanks to stronger exports.
ISAT (Buy, TP Rp2,600): we reiterate expectation of earnings inflection in 2H25 as price repair initiatives progress. We cut our FY25-27F net profit est. by 6.4-1.3%, reflecting weak mobile revenue in 1H25, but see brighter outlook in 2H25 from price repair. ISAT raised entry-level prices by 10% and continued phasing out freebies in Jun25, supporting ARPU recovery beyond starter pack effects. We maintain TP at Rp2,600, blending DCF and raised EV/EBITDA to mean, reflecting room for re-rating on 2H25 yield recovery. ISAT remains our top pick in the Telco sector.
HEAL: A challenging 1H25 patient volume disrupted margin but LT prospect remains intact. HEAL’ soft 1H25 was driven by tightening BPJS claim, fewer working days, and weaker private patient vol., disrupting scale-driven margin strategy. We lower our FY25F/26F EPS forecast by 25/29% to reflect challenging 1H25 results and cautious BPJS outlook despite improving Jul25 volume. We maintain Buy rating as we see LT prospect remaining intact; we roll forward our DCF to arrive at a new TP of Rp1,850.