Indonesia Consumer Navigating the sector through tough times

Research evidence excerpt

Indonesia Consumer Navigating the sector through tough times

J P M O R G A N Asia Pacific Equity Research

05 July 2026

Indonesia Consumer

Navigating the sector through tough times

Consumer names under our coverage have outperformed the JCI by +1% to +62% ASEAN Metals, Indo Auto &

YTD despite multiple headwinds. That said, absolute returns remain poor: only Consumer Research

MAPI is up +30% YTD, while the rest are down -31% to +2% YTD. We Benny Kurniawan, CFA AC

acknowledge that investor appetite for Indonesian consumer exposure has been (62-21) 5291 8024

low this year, but we see a selective opportunity to accumulate quality names for benny.kurniawan@jpmorgan.com

longer-term holdings. Sector valuations have de-rated inline with market valuation PT J.P. Morgan Sekuritas Indonesia

(30% YTD) despite minimal earnings cuts for companies under our coverage. We Anuja Mandvekar

believe the consumer sector will be one of the beneficiaries of a broader market (91-22) 6157-3369

anuja.mandvekar@jpmorgan.com

rally and would urge investors to position selectively. J.P. Morgan India Private Limited

Jeanette Yutan

• Top picks are Indofood Group (ICBP, INDF) and MAPA (sports retail). (63-2)jeanette.g.yutan@jpmorgan.com8878-1188

We downgrade AMRT and MAPI to Neutral, and maintain UW on UNVR. Our J.P. Morgan Securities Philippines, Inc.

positive view on ICBP & INDF is underpinned by (1) an undemanding

valuation for the world’s largest instant noodle manufacturer, (2) cost

headwinds (CPO, packaging) that should begin to abate, and (3) a likely

moderation in negative earnings revisions. For MAPA, we see resilient sports

demand (14% revenue growth CAGR in FY25–27E) alongside an

undemanding valuation (~10x P/E for ~13% EPS CAGR).

• Headwinds are easing.