9/27/26
PT Krakatau Steel (Persero) Tbk (KRAS.JK)
ThesisThe increasing pressure from imports and declining production efficiency are overshadowing potential benefits from government spending.
★ Analysts see FY2026 revenue reaching $1.3B — +36.7% growth in a single year.
What Moves the Stock
- 01Domestic construction activity levels in Indonesia
- 02Steel price fluctuations in the ASEAN region
- 03Government infrastructure spending initiatives
- 04Import tariffs on steel products
- 05Long steel products (e.g., rebar) - 70%
- 06Flat steel products - 20%
- 07Other products (e.g., wire rods) - 10%
- 08Infrastructure development in Southeast Asia
My Notes
- "Management noted, 'We are facing unprecedented competition from imports, which is impacting our pricing power.'"
- Moat: Krakatau Steel's integrated production capabilities provide a moderate moat, but increasing competition is eroding its pricing power.
- value - The low Price/Sales and Price/Book ratios suggest potential undervaluation, attracting value-focused investors.
- Higher interest rates can increase financing costs for construction projects, potentially dampening demand for steel products…
- Watch on earnings: Domestic steel consumption growth rate, Global steel price index, Cilegon production capacity utilization rate.
One Sentence Summary:
PT Krakatau Steel (Persero) Tbk: the story is balanced — domestic construction activity levels in indonesia.
Auto-composed from Stock Alarm intelligence, financial statements, and analyst estimates. Not investment advice.
