BNIS Daily Report of April 7, 2021
TBLA: Riding Two Sweet Business
We reiterate BUY on TBLA and retain our target price of IDR1.200 based on the blended forward P/E and DCF-based valuation. We expect FY21F EPS growth of 30.3% YoY (vs. FY20: 2.3% YoY). TBLA’s two main businesses of biodiesel and sugar remain to be lucrative with minimal competition.
- Biodiesel sales volume expected to grow at +32% YoY in FY21F from economic recovery.
- Low production cost to ensure spacious sugar’s margin.
Analyst: Firman Hidayat (email@example.com)