Risk factor
Very high price volatility
Profitability factor
Greatly overvalued vs peers
About
PT Sinergi Multi Lestarindo Tbk is an Indonesian enterprise primarily involved in the distribution of chemical products. The company's extensive range of chemicals serves critical roles within the food and beverage, personal care, and broader industrial sectors. Its diverse product applications include key components for seasonings, condiments, processed meats and seafood, dairy and beverage items, sauces, mayonnaise, baked goods, snacks, confectionery, nutraceuticals, coatings, and animal nutrition. For personal care, their chemicals are essential in facial, body, and hair care formulations, as well as baby products and cosmetics. Industrially, their portfolio supports the production of PVC products, plastic resins, various fillers, additives, and pigments. Established in 2013, the firm maintains its headquarters in Jakarta Barat, Indonesia, and operates as a subsidiary of PT Sinergi Asia Corporindo.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. In particular, the stock is 'expensive' on EV/EBITDA.