Food & Beverage

Indonesia / Consumer Non-Cyclicals /  Food & Beverage

The Food & Beverage subsector on the Indonesia Stock Exchange is a significant player in the country's market due to several factors. Indonesia has a large population, making it a promising market for food and beverage companies. Additionally, the country has a rich agricultural sector, providing a steady supply of raw materials for the industry. Furthermore, the potential for growth in this subsector is high, as the rising middle class in Indonesia is driving increased consumption of processed foods, soft drinks, and dairy products. Currently, this sub-sector appears to be on an upward trend, with a notable total market capitalization growth of approximately 9% over the last 365 days. However, a closer look at individual companies reveals that a larger number are showing negative changes (56) in market capitalization compared to those with positive changes (32). This indicates that the larger companies with positive changes are exerting a significant influence on the overall market capitalization, despite more companies experiencing declines. Notable companies in this subsector, based on market capitalization, include Indofood CBP Sukses Makmur Tbk, PT Pantai Indah Kapuk Dua Tbk, Charoen Pokphand Indonesia Tbk, Indofood Sukses Makmur Tbk, and Mayora Indah Tbk.

P/E Value

The Food & Beverage sub-sector is generally considered defensive due to the consistent demand for essential products regardless of economic conditions. Historically, the P/E values for this sector have been moderate. The current higher P/E values compared to last year may be influenced by factors such as increased consumer spending, strong brand loyalty, and potential growth ...

12.12

Price to Earnings

Food & Beverage Sector P/E
12.12
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).
Food & Beverage Weighted Sector P/E
41.96
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
8.53

Resilience & Health Index

In the Food & Beverage sub-sector of the IDX, which consists of 95 companies, it placed 16th in the sub-sector ranking based on price changes in the previous 30 days. This sub-sector has outperformed the IDX for average price changes in the last month, with 40 out of the 95 companies experiencing positive price changes. One possible reason for this outperformance could be ...

8.3

Sector Health Score

Food & Beverage Sector Max Drawdown
-0.22
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
-0.26
Food & Beverage 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)
0.14

Sector Growth Index

The Food & Beverage sub-sector in Indonesia has shown significant growth in the past year, with average Year on Year (YoY) quarter earnings changes of 78.77% and revenue changes of 10.16%. Despite ranking 8th in earnings and 18th in ...

10.0

Sector Growth Score

Trailing 3Y Food & Beverage Sector Growth
+4.94%
This uses geometric mean to compute a measure of the sector's revenue growth over the last 3 years.
Food & Beverage Current Revenue Growth
10.16%
The change in revenue this quarter compared to the same period a year ago.
Food & Beverage Current Earnings Growth
78.77%
The change in earnings per share (EPS) this quarter compared to the same period a year ago.
Food & Beverage 1Y Market Cap Growth
+10.87%
The change in market capitalization relative to the same period a year ago.
Food & Beverage Recent Performance
73rd
Recent growth beats 73% of all sectors in Indonesia.
Food & Beverage '24 Revenue Growth Forecast
+13.21%
The estimated change in revenue for the Food & Beverage sector in 2024.
Food & Beverage '24 Earnings Growth Forecast
+59.19%
The estimated change in earnings for the Food & Beverage sector in 2024.

Top Companies

Most profitable companies in Food & Beverage

Company

Profit (billion)

8795.84

8338.17

2883.69

2436.40

2418.13

Key Figures

Food & Beverage companies on IDX

95

Total Market Cap. (IDR, billion)

IDR 739,115.72B

6.30% of total market cap. on IDX
Range of P/E Value

-199 - 927

Average of 12.1 P/E
Sector CAGR

> 10%

Compound Annual Revenue Growth of 10.16%

Food & Beverage Sector Performance

IDR 739.12T

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

  2. Prev 4 Quarters

Sector Composition

Sector Valuation

Historical valuation of companies in Food & Beverage
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/Equity9.9912.1911.4312.12Higher than average of last 3 years
Price/Book1.611.831.751.54Lower than average of last 3 years
Price/Sales1.241.160.880.93Lower than average of last 3 years
Price/Cash Flow9.178.127.965.53Lower than average of last 3 years

Executive Summary

Sector Performance

1W

+1.5%

1Y

+10.9%

YTD

+4.2%

Trailing 12 Months

Overall +10.9%

−0.0100.0100.020

Positive

Neutral (Within <2.5%)

Negative

Sector Percentile

73%

35
55
75
0
100

This sector has a return that beats 73% of all sectors on the Indonesia Stock Exchange over the past 12 months.

Sector Dividend Yield

3.79%

Dividend-paying companies in this sector pay out a dividend yield of 3.79% on average over the past 12 months. This beats the average dividend yield of all companies on IDX, which is around 3.23%.

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 12%. 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
-22.20%
The maximum loss from a peak to a trough during a specific period (TTM).

This past month

Over the last month, stocks in the Food & Beverage sector has remained flat, although notably Wahana Pronatural Tbk has gained 39.81% in the last month.

Current quarter

This quarter, the sector has seen an average revenue growth of 10.16% compared to the same quarter last year.
When it comes to earnings, the sector has seen an average growth of 78.77% compared to the same quarter in 2023. Much of this growth is driven by the following companies:
BEEF.JK(+1105.4%), ENZO.JK(+113.2%), WAPO.JK(+101.8%), PSGO.JK(+85.8%), DPUM.JK(+75.4%).

Last 12 Months

Companies in the Food & Beverage sector have seen a +10.9% change in market cap over the last 12 months. This is typical of a more mature sector, where investors are expecting reasonable growth to continue over the next few years.

Most of the last 12 months in the Food & Beverage sector has been positive with May (+2.9%), February (+2.7%) and August (+2.6%) being the best performing months.

Sector Valuation

Has the Food & Beverage sector valuation in Indonesia changed over the past 12 months?

Price to Earnings Ratio

  • The Food & Beverage sector is trading at a median PE ratio of 12.12x, which is lower than its 3-year historical average PE of 41.96x. This puts the sector in the undervalued category based on its historical valuation.
  • Companies in the Food & Beverage have an extremely wide range of PE ratio, going between -199x to 927x.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 Jhonlin Agro Raya Tbk commands a premium with a PE ratio of 61.52 while Wahana Pronatural Tbk is trading at a PE ratio of only -76.17.
  • When weighted by market cap, the Food & Beverage sector is trading at a PE ratio of 41.96x as compared to the unweighted PE ratio of 12.12x. The unweighted sector median is considered a slight premium (1.4x) to the overall IDX median of 8.53x.
  • The Food & Beverage sector is trading at a PE ratio (12.12) that represents a a valuation consistent with its historical average (11.20).

Sector Gainers

WAPO Logo
Wahana Pronatural Tbk
WAPO.JK
Last Trading Day

IDR 144.00

1 Month

+39.81%

1 Year

+26.32%

P/E Ratio

-76.17

COCO Logo
PT Wahana Interfood Nusantara Tbk.
COCO.JK
Last Trading Day

IDR 218.00

1 Month

+35.40%

1 Year

-5.22%

P/E Ratio

-15.21

JARR Logo
PT Jhonlin Agro Raya Tbk
JARR.JK
Last Trading Day

IDR 326.00

1 Month

+18.12%

1 Year

+34.71%

P/E Ratio

61.52

DSNG Logo
PT Dharma Satya Nusantara Tbk.
DSNG.JK
Last Trading Day

IDR 600.00

1 Month

+15.38%

1 Year

-13.67%

P/E Ratio

7.79

CBUT Logo
PT Citra Borneo Utama Tbk
CBUT.JK
Last Trading Day

IDR 2,020.00

1 Month

+14.77%

1 Year

+19.17%