H.M.S.P

If you're a stock analyst, especially in Indonesia Stock Exchange, you must be familiar with HMSP. For those who are not, HMSP is the ticker for HM Sampoerna, one of the largest cigarette companies in Indonesia..

Indeed, I'm not a stock analyst but I'm familiar with HMSP coz I've analyzed and valuated the company for about 4 months. It was my individual project from my lecture subject, Business Valuation that assign me to choose one of public companies that listed in BEI, do the valuation and make research reports..

Actually it's like a trial or rehearsal for being a true professional CFA (Chartered Financial Analyst) coz the way how they work is similar to my Business Valuation project. Well, it definitely differs in the matter of time and whom do you prepare that report to :)

In short, I found that HM Sampoerna is really a good and prospective company as seen from its financial performance, market position (which is already become a market leader by now), sales growth and company image as well. Therefore, my theme for my research report is "Investing for the future"

Based on my analysis on the cigarette market and my fair value estimation using discounted cash flow method on HM Sampoerna, I came to a fair price of  IDR 13,120/share and its current price was IDR 10,600/share. Hence, I began my research on HM Sampoerna with a BUY recommendation..

FYI, I finished my report 12 hours before deadline and it made me sleep for only 2 hours. Hohoho.. But at the end, I found many benefits I got from this project such as ability to work under pressure, deal with uncertainty and familiar with individual project (read: discipline is the key).

Moreover, I became fall in love with HM Sampoerna.. Hmm, maybe that is what often called "Local Love" haha, I promised my self if I had a lot of money, I would invested in that company! But not for now coz HMSP is a large cap. company, meaning the shares price is quite expensive ;p

Although there's many things I wanna share about the company, I'm not going to copy and paste my full report even the highlights in this post. So just in case if you wanna know more, please feel free to contact me..