Astra International's Shares Could Face Near-Term Volatility — Market Talk

About this update from Pt Astra International Tbk

Astra International's shares could be volatile in the near term, due to likely weaker 1H results, DBS Group Research's Elizabelle Pang says. It's expected to deliver softer mining earnings, noting that the Indonesian conglomerate's March auto sales fell on year from holiday-related seasonality and still-weak purchasing power, she says. She anticipates the country's four-wheeler industry volume to decline amid ongoing macro volatility, although the company could maintain its over 50% market share in the sector. The analyst recommends investors to buy on share-price falls, given the longer-term rerating potential of the company as it undergoes a strategic review.DBS maintains a buy rating and target price of 7,500 rupiah. Shares fall 2.0% to 6,175 rupiah. ([email protected])

View stock analysis, news, and events for Pt Astra International Tbk