Ahead Of Fasting And Eid, Consumption Sector Shares Can Be An Option

JAKARTA - PT Mirae Asset Sekuritas Indonesia advised investors to look at the stock sector of basic consumer goods facing the fasting month and the Eid al-Fitr holiday in 2025.

Research Analyst Mirae Asset Abyan Habib Yuntoharjo said the strong purchasing power of the community was supported by a 50 percent electricity tariff discount stimulus from the government.

"We are optimistic that the maintained purchasing power can maintain the momentum of Ramadan and Eid this year and the staple consumption goods sector. The main choice of shares is PT Sumber Alfaria Trijaya (AMRT) and PT Indofood CBP Sukses Makmur Tbk (ICBP)," he said in his statement, Thursday, February 13.

Abyan said AMRT is one of the owners of the Alfamart daily needs minimarket, which is needed by the community almost every time, while the ICBP is the main producer of Indomie instant noodles which is almost a basic need in the country.

According to him, for AMRT and ICBP, it recommends BUY with a target price (TP) at the level of IDR 3.500 and IDR 13.200 for the next 12 months.

Abyan said AMRT and ICBP could represent the basic consumption goods sector (consumer staples) mainly because of their defensive stock.

Meanwhile, defensive stocks are a type of stock whose performance tends to be stable and is not too affected by fluctuations.

Regarding fluctuations and stock market corrections, Mirae Asset Asset's Senior Investment Information Adityo Nugroho added that external factors are currently influenced by uncertainty in the Trump 2.0 era which made the Indonesian economy even more challenging.

"In addition, from internal factors there are challenges from tightening and reallocating the government's budget, which has the potential to reduce the function of the state budget as a damper of shocks from the global economic impact," he said.

According to him, other positive catalysts for the domestic economy come from the momentum of Ramadan and Bank Indonesia's interest rate policy opportunities which are expected to be more pro-growth.

"Ramadan is usually accompanied by a significant increase in economic activity, and the central bank's monetary policy is expected to encourage community economic activity," he said.