By
Brian D. Pacampara
|
More Articles
January 15, 2009
|
Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, PT Telekomunikasi Indonesia (NYSE: TLK ) has earned a coveted five-star ranking. Our data has shown that five-star stocks outperform the market by a significant margin; conversely, one-star stocks woefully lag the market average.
With that in mind, let's take a closer look at Telkom Indonesia's business, and see what CAPS investors are saying about the stock right now.
Telkom facts
|
Headquarters (founded)
|
Bandung, Indonesia (1884)
|
|
Market Cap
|
$11.53 billion
|
|
Industry
|
Integrated telecommunication services
|
|
TTM Revenue
|
$5.77 billion
|
|
Management
|
President/CEO Rinaldy Firmansyah
CFO Sudiro Asno
|
|
Return on Equity (average, last three years)
|
40.7%
|
|
Dividend Yield
|
5.3%
|
|
Competitors
|
Indosat (NYSE: IIT ) ,
PT Bakrie Telecom
|
|
CAPS members bullish on TLK also bullish on:
|
Apple (Nasdaq: AAPL ) ,
Cemex (NYSE: CX )
Chesapeake Energy (NYSE: CHK )
|
|
CAPS members bearish on TLK also bearish on:
|
General Motors (NYSE: GM )
Vonage Holdings (NYSE: VG )
|
Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS. TTM = trailing 12 months.
Over on CAPS, 83 of the 85 All-Star members who have rated Telkom -- or 97.6% -- believe the stock will outperform the S&P 500 going forward. These bulls include srk85 and cdulan, both of whom are ranked in the top 3% of our community.
In late November, srk85 tapped Telkom as an ideal way to generate some income: "Very high dividend, earnings outlook steady."
In a pitch from three days earlier, cdulan shares that sentiment and elaborates on Telkom's cash-generating qualities:
The largest telecommunication company in Indonesia with $6B in revenue and over $1.2B in profit per year. 20% growth rate (before global recession). The balance sheet is even better … This situation makes the cash flow incredibly high. No need to go to the debt markets for handouts here. … Selling at less than 9x cash flow with over 50% market share and a 40% market penetration rate. Wowsers!
What do you think about Telkom Indonesia, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 125,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.
RSS Headlines
Fool UK