Tobacco

Indonesia / Consumer Non-Cyclicals /  Tobacco

The Tobacco subsector on the Indonesia Stock Exchange consists of various subindustries, with the main focus being on tobacco-related products. This subsector plays a major role in Indonesia's market due to the country's long history and culture of tobacco consumption. Tobacco has been a significant part of Indonesia's economy for decades, and the demand for tobacco products remains high. Additionally, Indonesia has a large population, providing a vast consumer base for these companies. At this moment, this sub-sector appears to be in a bearish market sentiment, with a total market cap depreciation of approximately -27% over the past 365 days. It's possible that around 3 companies within this sub-sector may have encountered a negative market cap change, while it seems that only about 1 companies might have experienced a positive market cap change, indicating a challenging market environment. Notable companies in this subsector, based on market capitalization, include Bentoel International Investama Tbk, HM Sampoerna Tbk, Gudang Garam Tbk, Wismilak Inti Makmur Tbk, and PT Indonesian Tobacco Tbk.

P/E Value

The Tobacco sub-sector is generally considered defensive due to the stable demand for tobacco products 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 may be influenced by factors such as increased competition, regulatory changes, or shifts in consumer preferences. Two ...

8.38

Price to Earnings

Tobacco Sector P/E
8.38
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).
Tobacco Weighted Sector P/E
9.08
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

The Tobacco sub-sector, consisting of 4 companies, ranked 30th in price changes over the last 30 days, performing worse than the overall IDX market. This could be due to stricter regulations and declining demand for tobacco products. The lack of new listings in this sub-sector may indicate high barriers to entry, such as regulatory hurdles or high capital requirements. None ...

7.8

Sector Health Score

Tobacco Sector Max Drawdown
-0.33
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
Tobacco RSD (Close)
0.10
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 Tobacco sub-sector in Indonesia has shown significant growth in the past year, with a 57.07% increase in average Year on Year quarter earnings. However, there has been a slight decrease of -1.71% in average Year on Year quarter ...

5.9

Sector Growth Score

Trailing 3Y Tobacco Sector Growth
+6.42%
This uses geometric mean to compute a measure of the sector's revenue growth over the last 3 years.
Tobacco Current Revenue Growth
-1.71%
The change in revenue this quarter compared to the same period a year ago.
Tobacco Current Earnings Growth
57.07%
The change in earnings per share (EPS) this quarter compared to the same period a year ago.
Tobacco 1Y Market Cap Growth
-27.62%
The change in market capitalization relative to the same period a year ago.
Tobacco Recent Performance
9th
Recent growth beats 9% of all sectors in Indonesia.
Tobacco '24 Revenue Growth Forecast
+10.67%
The estimated change in revenue for the Tobacco sector in 2024.
Tobacco '24 Earnings Growth Forecast
+73.08%
The estimated change in earnings for the Tobacco sector in 2024.

Top Companies

Most profitable companies in Tobacco

Company

Profit (billion)

9786.91

5739.32

521.41

23.50

Key Figures

Tobacco companies on IDX

4

Total Market Cap. (IDR, billion)

IDR 140,515.85B

1.20% of total market cap. on IDX
Range of P/E Value

6 - 11

Average of 8.4 P/E
Sector CAGR

> 0%

Compound Annual Revenue Growth of -1.71%

Tobacco Sector Performance

IDR 140.52T

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

  2. Prev 4 Quarters

Sector Composition

Sector Valuation

Historical valuation of companies in Tobacco
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/Equity15.3612.2711.368.38Lower than average of last 3 years
Price/Book1.770.890.781.24Higher than average of last 3 years
Price/Sales1.290.800.620.68Lower than average of last 3 years
Price/Cash Flow4.8910.138.8413.37Higher than average of last 3 years

Executive Summary

Sector Performance

1W

+1.6%

1Y

-27.6%

YTD

-11.2%

Trailing 12 Months

Overall -27.6%

−0.08−0.06−0.04−0.020.02

Positive

Neutral (Within <2.5%)

Negative

Sector Percentile

9%

35
55
75
0
100

This sector has a return that beats 9% of all sectors on the Indonesia Stock Exchange over the past 12 months.

Sector Dividend Yield

5.39%

Dividend-paying companies in this sector pay out a dividend yield of 5.39% 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

92%

35
55
75
0
100

This sector is fairly stable, with a RSD (Relative Standard Deviation) of 10%. Companies on IDX have an average RSD of 12%. This gives the sector a score of 92%.

RSD (Relative Standard Deviation)
92%
The relative standard deviation, caluclated from the S.D of the sector's returns.
Max Drawdown
-33.27%
The maximum loss from a peak to a trough during a specific period (TTM).

This past month

Over the last month, stocks in the Tobacco sector has remained flat, although notably HM Sampoerna Tbk has lost -0.58% in the last month.

Current quarter

This quarter, the sector has seen an average revenue decline of -1.71% compared to the same quarter last year.
When it comes to earnings, the sector has seen an average growth of 57.07% compared to the same quarter in 2023. Much of this growth is driven by the following companies:
WIIM.JK(+31.1%), HMSP.JK(+4.2%).

Last 12 Months

Companies in the Tobacco sector have seen a -27.6% 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 Tobacco sector has been negative with October (+2.5%), September (+0.9%) and November (+0.1%) being the best performing months.

Sector Valuation

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

Price to Earnings Ratio

  • The Tobacco sector is trading at a median PE ratio of 8.38x, which is lower than its 3-year historical average PE of 9.08x. This puts the sector in the undervalued category based on its historical valuation.
  • Companies in the Tobacco have a narrow range of PE ratio, going between 6x to 11x.This means that the sector is trading at a relatively consistent valuation across the board, and that the underlying companies are trading at similar valuations.
  • To add some perspective across the value disparity, among the top gainers in the last month, PT Indonesian Tobacco Tbk. commands a premium with a PE ratio of 11.13 while Wismilak Inti Makmur Tbk is trading at a PE ratio of only 6.12.
  • When weighted by market cap, the Tobacco sector is trading at a PE ratio of 9.08x as compared to the unweighted PE ratio of 8.38x. The unweighted sector median is a valuation that is largely on par with the overall IDX median of 8.53x.
  • The Tobacco sector is trading at a PE ratio (8.38) that represents a substantial discount to its historical average (13.00).

Sector Gainers

HMSP Logo
HM Sampoerna Tbk
HMSP.JK
Last Trading Day

IDR 850.00

1 Month

-0.58%

1 Year

-27.04%

P/E Ratio

10.10

GGRM Logo
Gudang Garam Tbk
GGRM.JK
Last Trading Day

IDR 19,850.00

1 Month

-1.61%

1 Year

-19.39%

P/E Ratio

6.65

ITIC Logo
PT Indonesian Tobacco Tbk.
ITIC.JK
Last Trading Day

IDR 278.00

1 Month

-3.47%

1 Year

-9.15%

P/E Ratio

11.13

WIIM Logo
Wismilak Inti Makmur Tbk
WIIM.JK
Last Trading Day

IDR 1,540.00

1 Month

-9.41%

1 Year

+98.71%

P/E Ratio

6.12