Risk factor
Very poor trading liquidity
Profitability factor
Undervalued vs peers
About
PT Steel Pipe Industry of Indonesia Tbk, an Indonesian enterprise, specializes in the production and distribution of steel pipes and associated goods. Its operations are segmented across Steel Pipe Mill, Spiral Steel Pipe Mill, Strips and Plate, and a dedicated Services and Other offerings division. The company's diverse product range includes structural piping, such as Electric Resistance Welded (ERW) steel pipes, ideal for bridge and general construction ventures as well as building envelope applications. It also produces Submerged Arc Welded (SSAW) steel pipes, which are suitable for various demanding structural purposes like foundation work, piers, bridges, and large-scale building developments. Further expanding its portfolio, the firm provides pipes for water, oil, and gas conveyance; stainless steel pipes, available in both decorative tubing and industrial grades; galvanized pipes; and robust steel poles for telecommunication, electrical, and street lighting infrastructure. Additionally, it fabricates mechanical tubes crucial for manufacturing furniture, bus frames, bicycle components, and automotive parts. The company also offers a comprehensive suite of auxiliary services. Established in 1971, PT Steel Pipe Industry of Indonesia Tbk is headquartered in Surabaya, Indonesia, and functions as a subsidiary of PT Cakra Bhakti Para Putra.
Company Valuation
Based on key historical and expected multiples, the stock is undervalued relative to its peers. In particular, the stock is underpriced on P/E, of fair value on EV/EBITD.