Riset Perusahaan Gas Negara oleh Mandiri Sekuritas

Perusahaan Gas Negara: 1H10 Above ours, within consensus (PGAS, Rp 4,000, Buy, TP: Rp 5,260).

   PGAS 1H10 result announcement showed a net income which already has been reported in newspaper weeks before. Based on full result reported, differences in our forecast lies in our cost assumptions. Therefore we have make cost adjustments. We also do volume upgrade to our forecasts. In his comment to Bloomberg, PGAS CEO, Hendy P. Santoso, hinted 2011 revenue will be flat as no additional supply indicated. This also has been our view that although still attractive, PGAS lacks catalyst, as no new supply is seen until the completion of its Floating Storage Regasification Terminal in 2012.

   Our new forecast resulted in an upgrade of target price from currently Rp 4,650/share to Rp 5,260/share. At Rp 4,000/share, PGAS is trading at FY10F PER of 14.2x and FY11F PER of 14.0x, with EV/EBITDA 10F and 11F of 8.6x, and 7.6x, respectively.