- Net Income: Indonesia’s BRI reported a net income of 29.70 trillion rupiah for the first half of the year, up 1% year over year.
- Earnings Per Share (EPS): The EPS rose to 197 rupiah, up from 195 rupiah in the same period last year.
- Net Interest Income: BRI’s net interest income increased by 6.7%, reaching 69.93 trillion rupiah.
- Market Sentiment: Out of the analysts covering BRI, 32 have given it a ‘buy’ rating, 3 have assigned a ‘hold,’ and none have rated it a ‘sell.’
Bank Rakyat Indonesia on Smartkarma
Analyst coverage of Bank Rakyat Indonesia on Smartkarma reveals insights by Angus Mackintosh. In the report “Bank Rakyat Indonesia (BBRI IJ) – Special Mention on the Turn,” it is noted that the bank plans to slow micro-lending and focus on growing corporate loans to manage credit costs. Despite concerns over credit quality, the bank’s profits are expected to remain steady with an increased dividend payout. The report suggests that the bank’s valuations are currently attractive, and special mention loans are anticipated to stabilize in July, indicating a positive turn for Bank Rakyat Indonesia.
In another report titled “Bank Rakyat Indonesia (BBRI IJ) – Pushing the Margins of Profitability,” Angus Mackintosh highlights the bank’s ability to navigate a tighter liquidity environment by incorporating a higher margin loan mix, particularly in commercial Kupedes microloans. The report points out that Bank Rakyat Indonesia‘s focus on digitalization has positively impacted costs, with the expansion of BRILink agents and mobile banking users through BRIMO leading to growth in CASA deposits. Projections for 2024 indicate optimistic prospects for loan growth, net interest margins, leverage, and loan yields while maintaining stable credit quality. The report concludes that Bank Rakyat Indonesia presents an attractive investment opportunity with a forecasted return on equity (ROE) above 20%.
A look at Bank Rakyat Indonesia Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
PT Bank Rakyat Indonesia (Persero) Tbk, a company offering commercial banking services and adhering to Shariah principles, shows varied performance across different factors according to Smartkarma Smart Scores. With a strong focus on dividends and growth, achieving a high score in both, Bank Rakyat Indonesia demonstrates a commitment to rewarding its shareholders while also aiming for expansion and development within the industry.
While the company excels in areas such as dividends and growth, it faces challenges in the value and momentum categories, scoring lower in comparison. Despite this, with a balanced overall outlook encompassing resilience as well, Bank Rakyat Indonesia may be positioned for steady long-term growth and stability in the ever-evolving banking sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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