Indofood Sukses Makmur (INDF IJ): Diversified growth at a holding discount

Indofood Sukses Makmur (INDF IJ)
BUY / TP: IDR:8,000 (+16.8%)
Analyst: Erdji Herlando

Diversified growth at a holding discount
• CBP business remains strong under weakening consumer purchasing power
• Agribusiness to benefit from Super El Niño and government program implementation
• Its wheat flour and pasta subsidiary, Bogasari, has shown sustained market expansion and its distribution business has reported steady growth
• We initiate coverage with a BUY recommendation and a TP of IDR8,000 (US$0.45)