Financing Service

Indonesia / Financials /  Financing Service

The Financing Service subsector on the Indonesia Stock Exchange plays a major role in the country's market due to its significance in providing financial services to consumers. This subsector, which includes Consumer Financing, is essential for supporting the growth of various industries by offering loans and credit facilities to individuals and businesses. This subsector's trend is driven by Indonesia's growing middle class and increasing consumer spending, which creates a higher demand for financing services. At this moment, this sub-sector seems to be experiencing a bullish trend, with a total market cap growth of around 9% over the past 365 days. It appears that 10 companies in this sub-sector might have seen a positive market cap change, while around 5 companies could have experienced a negative market cap change. Notable companies in this subsector, based on market capitalization, include PT First Indo American Leasing Tbk, BFI Finance Indonesia Tbk, Adira Dinamika Multi Finance Tbk, PT Mandala Multifinance Tbk, and Clipan Finance Indonesia Tbk.

P/E Value

The Financing Service sub-sector is typically considered cyclical, with historical P/E values fluctuating between moderate and high levels. The current higher P/E value compared to last year may be influenced by factors such as increased demand for credit, improving economic conditions, and higher interest rates. Despite this, there are still 5 companies in the Financing ...

11.02

Price to Earnings

Financing Service Sector P/E
11.02
The Price-to-Earnings (P/E) ratio is a key tool for investors and analysts to assess whether a stock is overvalued, undervalued, or fairly valued. The P/E ratio is calculated by dividing the market price of a company's stock by its earnings per share (EPS).
Financing Service Weighted Sector P/E
28.86
The weighted average P/E ratio is a measure of the average P/E ratio of the companies in the sector, weighted by market capitalization.
Indonesia Stocks Avg. P/E
8.46

Resilience & Health Index

In the Financing Service sub-sector of the IDX, which consists of 15 companies, it ranked 11th in terms of price changes in the previous 30 days. Despite this, the sub-sector still outperformed the overall IDX in terms of average price changes during the same period. One possible reason for this could be the stable demand for financial services in Indonesia. Additionally, ...

8.1

Sector Health Score

Financing Service Sector Max Drawdown
-0.28
The maximum drawdown is the maximum loss from a peak to a trough of a portfolio, before a new peak is attained. Maximum Drawdown (MDD) is an indicator of downside risk over a specified time period.
Indonesia Stocks Avg. Max Drawdown
-0.28
Financing Service RSD (Close)
0.11
The RSD (Close) is a measure of the volatility of a stock's daily price change. It is calculated as the standard deviation of each day's logarithmic returns summed over the past 90 days.
Indonesia Stocks Avg. RSD (Close)
0.15

Sector Growth Index

In the past year, the Financing Service sub-sector in Indonesia has shown a significant decrease in average Year on Year quarter earnings changes at -659.45%, while experiencing a positive 12.61% average Year on Year quarter revenue ...

3.3

Sector Growth Score

Trailing 3Y Financing Service Sector Growth
+5.93%
This uses geometric mean to compute a measure of the sector's revenue growth over the last 3 years.
Financing Service Current Revenue Growth
12.78%
The change in revenue this quarter compared to the same period a year ago.
Financing Service Current Earnings Growth
-707.25%
The change in earnings per share (EPS) this quarter compared to the same period a year ago.
Financing Service 1Y Market Cap Growth
-0.67%
The change in market capitalization relative to the same period a year ago.
Financing Service Recent Performance
52nd
Recent growth beats 52% of all sectors in Indonesia.
Financing Service '24 Revenue Growth Forecast
-2.86%
The estimated change in revenue for the Financing Service sector in 2024.
Financing Service '24 Earnings Growth Forecast
+4.02%
The estimated change in earnings for the Financing Service sector in 2024.

Top Companies

Most profitable companies in Financing Service

Company

Profit (billion)

1802.27

1643.89

815.01

422.91

236.41

Key Figures

Financing Service companies on IDX

15

Total Market Cap. (IDR, billion)

IDR 49,258.77B

0.42% of total market cap. on IDX
Range of P/E Value

-79 - 774

Average of 11.0 P/E
Sector CAGR

> 10%

Compound Annual Revenue Growth of 12.78%

Financing Service Sector Performance

IDR 49.26T

Sector Market Cap. (IDR, trillion)
  1. Last 4 Quarters

  2. Prev 4 Quarters

Sector Composition

Sector Valuation

Historical valuation of companies in Financing Service
More than 5% deviation of median from the last 3 years
Within 5% deviation of median of last 3 years
TTM: Trailing Twelve Months (TTM)
Metric202020212022Current (TTM)
Price/Equity15.2315.2611.4811.02Lower than average of last 3 years
Price/Book1.131.711.321.06Lower than average of last 3 years
Price/Sales3.415.975.643.66Lower than average of last 3 years
Price/Cash Flow1.872.29-4.80-1.67Higher than average of last 3 years

Executive Summary

Sector Performance

1W

-6.6%

1Y

-0.7%

YTD

-1.0%

Trailing 12 Months

Overall -0.7%

−0.050.050.100.15

Positive

Neutral (Within <2.5%)

Negative

Sector Percentile

52%

35
55
75
0
100

This sector has a return that beats 52% of all sectors on the Indonesia Stock Exchange over the past 12 months.

Sector Dividend Yield

3.13%

Dividend-paying companies in this sector pay out a dividend yield of 3.13% on average over the past 12 months. This beats the average dividend yield of all companies on IDX, which is around 3.28%.

Sector Stabillity

89%

35
55
75
0
100

This sector is fairly stable, with a RSD (Relative Standard Deviation) of 11%. Companies on IDX have an average RSD of 11%. This gives the sector a score of 89%.

RSD (Relative Standard Deviation)
89%
The relative standard deviation, caluclated from the S.D of the sector's returns.
Max Drawdown
-27.51%
The maximum loss from a peak to a trough during a specific period (TTM).

This past month

Over the last month, stocks in the Financing Service sector has remained flat, although notably PT Venteny Fortuna International Tbk has gained 14.45% in the last month.

Current quarter

This quarter, the sector has seen an average revenue growth of 12.78% compared to the same quarter last year.
When it comes to earnings, the sector has seen an average decline of -707.25% compared to the same quarter in 2023. Much of this growth is driven by the following companies:
VTNY.JK(+160.8%), CFIN.JK(+23.1%), VRNA.JK(+22.0%), WOMF.JK(+17.6%), BBLD.JK(+17.5%).

Last 12 Months

Companies in the Financing Service sector have seen a -0.7% change in market cap over the last 12 months. A decline in market cap over the last 12 months is not necessarily a bad thing. It could be that investors are readjusting expectations for the sector, or affected by rotation into other higher-growth sectors.

Most of the last 12 months in the Financing Service sector has been negative with June (+16.0%), February (+8.6%) and November (+5.3%) being the best performing months.

Sector Valuation

Has the Financing Service sector valuation in Indonesia changed over the past 12 months?

Price to Earnings Ratio

  • The Financing Service sector is trading at a median PE ratio of 11.02x, which is lower than its 3-year historical average PE of 28.86x. This puts the sector in the undervalued category based on its historical valuation.
  • Companies in the Financing Service have an extremely wide range of PE ratio, going between -79x to 774x.This makes it necessary to consider the outliers in the sector, and adjust for the respective market caps of each company to prevent any skewing of the data.
  • To add some perspective across the value disparity, among the top gainers in the last month, PT Venteny Fortuna International Tbk commands a premium with a PE ratio of 773.76 while Danasupra Erapacific Tbk is trading at a PE ratio of only -79.46.
  • When weighted by market cap, the Financing Service sector is trading at a PE ratio of 28.86x as compared to the unweighted PE ratio of 11.02x. The unweighted sector median is considered a slight premium (1.3x) to the overall IDX median of 8.46x.
  • The Financing Service sector is trading at a PE ratio (11.02) that represents a slight discount to its historical average (13.99).

Sector Gainers

VTNY Logo
PT Venteny Fortuna International Tbk
VTNY.JK
Last Trading Day

IDR 198.00

1 Month

+14.45%

1 Year

-61.55%

P/E Ratio

773.76

BBLD Logo
Buana Finance Tbk
BBLD.JK
Last Trading Day

IDR 595.00

1 Month

+12.26%

1 Year

+14.42%

P/E Ratio

9.33

BPFI Logo
PT Woori Finance Indonesia Tbk
BPFI.JK
Last Trading Day

IDR 384.00

1 Month

+1.05%

1 Year

+23.87%

P/E Ratio

16.14

TRUS Logo
Trust Finance Indonesia Tbk
TRUS.JK
Last Trading Day

IDR 426.00

1 Month

+0.47%

1 Year

-0.47%

P/E Ratio

13.17

DEFI Logo
Danasupra Erapacific Tbk
DEFI.JK
Last Trading Day

IDR 1,455.00

1 Month

0.00%

1 Year

0.00%

P/E Ratio

-79.46