Insurance

Indonesia / Financials /  Insurance

The Insurance subsector on the Indonesia Stock Exchange is a significant sector that comprises various subindustries, including Life Insurance, General Insurance, and Reinsurance. This subsector plays a major role in the Indonesian market due to several factors. Firstly, insurance penetration in Indonesia is relatively low compared to other countries, indicating significant growth potential. Additionally, the country's large population and increasing middle class provide a vast customer base for insurance products. Furthermore, the government's focus on infrastructure development and economic growth creates opportunities for insurance companies to provide coverage for these projects. At this moment, this sub-sector appears to be in a bearish market sentiment, with a total market cap depreciation of approximately -11% over the past 365 days. It's possible that around 10 companies within this sub-sector may have encountered a negative market cap change, while it seems that only about 8 companies might have experienced a positive market cap change, indicating a challenging market environment. Notable companies in this subsector, based on market capitalization, include PT MSIG Life Insurance Indonesia Tbk, Panin Financial Tbk, PT Asuransi Tugu Pratama Indonesia Tbk, Paninvest Tbk, and Asuransi Bina Dana Arta Tbk.

P/E Value

The Insurance sub-sector is generally considered defensive due to its stable demand regardless of economic conditions. Historically, the P/E values for this sector have been moderate. The current lower P/E values compared to last year could be influenced by factors such as lower interest rates, increased competition, or regulatory changes. Six companies in the Insurance ...

9.46

Price to Earnings

Insurance Sector P/E
9.46
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).
Insurance Weighted Sector P/E
51.69
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
8.07

Resilience & Health Index

In the last 30 days, the Insurance sub-sector in Indonesia has placed 22nd in terms of price changes among all sub-sectors, with an average price change worse than the IDX average. This could be due to factors such as increased competition, regulatory challenges, and economic uncertainty. The lack of new listings this month, with the last one occurring in April 2020, ...

8.3

Sector Health Score

Insurance Sector Max Drawdown
-0.25
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
-0.31
Insurance RSD (Close)
0.08
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)
0.17

Sector Growth Index

The Insurance sub-sector in Indonesia has shown significant growth in the past year, with average Year on Year (YoY) quarter earnings and revenue changes of 205.1% and 187.32% respectively. This places the sub-sector at 3rd in terms of ...

3.6

Sector Growth Score

Trailing 3Y Insurance Sector Growth
+14.61%
This uses geometric mean to compute a measure of the sector's revenue growth over the last 3 years.
Insurance Current Revenue Growth
187.14%
The change in revenue this quarter compared to the same period a year ago.
Insurance Current Earnings Growth
205.18%
The change in earnings per share (EPS) this quarter compared to the same period a year ago.
Insurance 1Y Market Cap Growth
-11.31%
The change in market capitalization relative to the same period a year ago.
Insurance Recent Performance
39th
Recent growth beats 39% of all sectors in Indonesia.
Insurance '24 Revenue Growth Forecast
-69.27%
The estimated change in revenue for the Insurance sector in 2024.
Insurance '24 Earnings Growth Forecast
0.00%
The estimated change in earnings for the Insurance sector in 2024.

Top Companies

Most profitable companies in Insurance

Company

Profit (billion)

1476.94

1323.55

1038.97

217.31

157.74

Key Figures

Insurance companies on IDX

18

Total Market Cap. (IDR, billion)

IDR 39,250.92B

0.34% of total market cap. on IDX
Range of P/E Value

-25 - 560

Average of 9.5 P/E
Sector CAGR
High Growth

> 190%

Compound Annual Revenue Growth of 187.14%

Insurance Sector Performance

IDR 39.25T

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

  2. Prev 4 Quarters

Sector Composition

Sector Valuation

Historical valuation of companies in Insurance
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)
Metric2020202120222023Current (TTM)
Price/Equity11.5416.7417.1920.249.46Lower than average of last 3 years
Price/Book0.720.960.980.800.58Lower than average of last 3 years
Price/Sales1.401.691.711.040.67Lower than average of last 3 years
Price/Cash Flow9.3510.574.850.521.78Lower than average of last 3 years

Executive Summary

Sector Performance

1W

-4.4%

1Y

-11.3%

YTD

-5.4%

Trailing 12 Months

Overall -11.3%

−0.4−0.20.20.40.60.8

Positive

Neutral (Within <2.5%)

Negative

Sector Percentile

39%

35
55
75
0
100

This sector has a return that beats 39% of all sectors on the Indonesia Stock Exchange over the past 12 months.

Sector Dividend Yield

2.95%

Dividend-paying companies in this sector pay out a dividend yield of 2.95% on average over the past 12 months. This beats the average dividend yield of all companies on IDX, which is around 3.45%.

Sector Stabillity

97%

35
55
75
0
100

This sector is very stable, with a RSD (Relative Standard Deviation) of 8%. Companies on IDX have an average RSD of 14%. This gives the sector a score of 97%.

RSD (Relative Standard Deviation)
97%
The relative standard deviation, caluclated from the S.D of the sector's returns.
Max Drawdown
-24.79%
The maximum loss from a peak to a trough during a specific period (TTM).

This past month

Over the last month, stocks in the Insurance sector has remained flat, although notably PT Malacca Trust Wuwungan Insurance Tbk. has gained 63.83% in the last month.

Current quarter

This quarter, the sector has seen an average revenue growth of 187.14% compared to the same quarter last year.
When it comes to earnings, the sector has seen an average growth of 205.18% compared to the same quarter in 2023. Much of this growth is driven by the following companies:
PNIN.JK(+677.5%), PNLF.JK(+446.5%), VINS.JK(+73.0%), TUGU.JK(+69.0%), ASDM.JK(+57.0%).

Last 12 Months

Companies in the Insurance sector have seen a -11.3% change in market cap over the last 12 months. Investors have become pessimistic on the sector couple with macroeconomic factors that might be strong headwinds for the sector.

Most of the last 12 months in the Insurance sector has been negative with November (+85.0%), March (+3.3%) and July (+2.4%) being the best performing months.

Sector Valuation

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

Price to Earnings Ratio

  • The Insurance sector is trading at a median PE ratio of 9.46x, which is lower than its 3-year historical average PE of 51.69x. This puts the sector in the undervalued category based on its historical valuation.
  • Companies in the Insurance have an extremely wide range of PE ratio, going between -25x to 560x.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 Malacca Trust Wuwungan Insurance Tbk. commands a premium with a PE ratio of 36.61 while Paninvest Tbk is trading at a PE ratio of only 3.35.
  • When weighted by market cap, the Insurance sector is trading at a PE ratio of 51.69x as compared to the unweighted PE ratio of 9.46x. The unweighted sector median is a valuation that is largely on par with the overall IDX median of 8.07x.
  • The Insurance sector is trading at a PE ratio (9.46) that represents a substantial discount to its historical average (16.43).

Sector Gainers

MTWI Logo
PT Malacca Trust Wuwungan Insurance Tbk.
MTWI.JK
Last Trading Day

IDR 154.00

1 Month

+63.83%

1 Year

+79.07%

P/E Ratio

36.61

ASDM Logo
Asuransi Dayin Mitra Tbk
ASDM.JK
Last Trading Day

IDR 490.00

1 Month

+10.36%

1 Year

+2.08%

P/E Ratio

12.53

AMAG Logo
Asuransi Multi Artha Guna Tbk
AMAG.JK
Last Trading Day

IDR 312.00

1 Month

+5.41%

1 Year

-15.68%

P/E Ratio

9.81

PNLF Logo
Panin Financial Tbk
PNLF.JK
Last Trading Day

IDR 296.00

1 Month

+2.78%

1 Year

+0.68%

P/E Ratio

6.42

PNIN Logo
Paninvest Tbk
PNIN.JK
Last Trading Day

IDR 855.00

1 Month

+2.40%

1 Year

-20.83%

P/E Ratio

3.35

    Sectors, Indonesia's Financial Data Layer

    We hate spam as much as you do. We do not resell your data.

    Email us at sectors@supertype.ai for enquiries on using Sectors for your business or organization.

    © 2024 Supertype Pte. Ltd.
    (and subsidiary PT. Supertype Teknologi Nusantara)