Risk factor
Very high price volatility
Profitability factor
Weak margins and returns
About
PT Digital Mediatama Maxima Tbk, established in Jakarta, Indonesia, in 2015, specializes in developing and delivering digital trade marketing and cloud-based advertising exchange platforms. Its extensive services include supplying hardware for advertising, developing operating systems, and providing complete maintenance for both hardware and infrastructure. The company also manages diverse advertising content, encompassing advertisements on back walls, digital posters, and various forms of signage. DMMX engages in leasing advertising infrastructure, such as digital kiosks and signage, complete with ongoing maintenance and content management. A core part of their offering is the Advertising Exchange Hub platform, a proprietary cloud-based system designed for commercial display management. Furthermore, the company offers B2B trade marketing solutions, covering promotional campaigns, e-commerce marketplace integration, and sales activation. They also distribute airtime packages, available as physical or electronic vouchers, and cellular phone starter packs. Beyond these, PT Digital Mediatama Maxima Tbk provides digital content and entertainment services, including the operation of specialized game hub platforms. The company was formerly known as PT Digital Marketing Solution until it adopted its current name in January 2019.
Company Valuation
Based on key historical and expected multiples, the stock is slightly overvalued relative to its peers. Specifically, the stock is 'expensive' on P/E, neutral on EV/EBITD