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Angsana Anderson's avatar

Despite all the bad news flowing out of Indonesia, there could be some opportunities in individual companies.

For example, Sido Muncul (SIDO IJ), one of the top makers of herbal medicine in Indonesia.

Investors may be under-estimating its growth potential, particularly in international markets.

Recent revenue decline seems to be a temporary headwind, driven by management’s decision to reduce channel inventory rather than a structural problem.

Macroeconomic or political risks can be mitigated through diversification or shorting of the broader Indonesian index.

I discuss this in detail here: https://www.angsanaanderson.com/p/sido-muncul-11-fcf-yield-but-49-of?r=5rl2u5

Toby Limanto's avatar

Yes, I agree that there are a handful of opportunities in individual companies in Indonesia. Those that we’d look back and think to ourselves:

“Can't believe I got to buy that company at x price 😯”