Risk factor
Very high price volatility
Profitability factor
Greatly overvalued vs peers
About
PT Bakrie & Brothers Tbk is a diversified Indonesian conglomerate with a broad operational footprint both domestically and abroad, encompassing automotive components, general trading, construction, telecommunications, and oil and gas. The company structures its diverse activities into two primary segments: Infrastructure and Manufacturing, and Trading, Services, and Investment. Its manufacturing endeavors include producing automotive parts for various vehicles and heavy machinery, a range of building materials like fiber cement products and conduit pipes, and steel pipes designed for industrial and general applications, alongside offering specialized fabrication services. Bakrie & Brothers is also actively involved in the distribution, trading, and construction of diverse building products, from gypsum and roofing to autoclaved aerated concrete, electrical lighting, and pre-engineered bathrooms. Further business ventures include infrastructure asset development, steel construction, strategic investments, oil and gas trading, management consulting, and operations within the energy and electrical power sectors. Additionally, the company produces industrial organic chlor chemicals and trades in ammonium nitrate and olein. It also delivers comprehensive services in information technology, telecommunications, system integration, and multimedia networking. Established in 1942, PT Bakrie & Brothers Tbk maintains its headquarters in Jakarta Selatan, Indonesia.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. Specifically, the stock is 'expensive' on P/E, overvalued on EV/EBI