STOCK VALUATION AND FINANCIAL PERFORMANCE OF CRUDE PALM OIL PRODUCER COMPANY IN INDONESIA

• Main Author: Nadhif Arsyad S, Mochammad
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/67686
• Institution: Institut Teknologi Bandung

Palm oil will grow well in tropical countries, Indonesia's geographical conditions support this and make Indonesia the largest palm oil producer in the world. When in 2019 palm oil production in Indonesia was 43 million tons, the average production growth in Indonesia reached 3.61% and made Indonesia the largest palm oil exporter in the world. Indonesia and Malaysia are the main producers and exporters of palm oil in the world. According to PwC, nearly 85% of the world's crude palm oil comes from these two countries. Because the two countries are in a tropical climate, apart from helping the growth of palm oil, there are drawbacks, namely the risk of weather which will affect palm oil production and prices. The main purpose of this research is to determine the intrinsic value of palm oil producers company to help investors make decisions in the midst of the current situation. Evaluation of financial performance for the last 5 years and predicting financial performance in the next 5 years using absolute and relative valuation methods. The author advises investors to buy this stock with a risk-reward calculation based on the finances of each investor, which is adjusted to the possible return obtained. Referring to the DCF, PBV and EV/EBITDA analysis, the return you will get from LSIP is around 21%-23% and you can sell LSIP shares at a price of Rp1.668.00Rp1.711.00.