Jakarta, CNBC Indonesia \u2014 Several blue-chip shares are now\nundervalued, or relatively cheap, after Indonesia\u2019s stock market was hit\nduring trading on Friday (16 October 2026).<\/p>\n
On Friday, the IHSG plunged 11.57% to 5,199.96, its steepest daily\nfall in 28 years, or since the 1998 monetary crisis.<\/p>\n
The latest pressure came amid investor concerns that Morgan Stanley\nCapital International (MSCI) could downgrade Indonesia\u2019s stock market\nfrom Emerging Market to Standalone Market status. Worries about the\nimpact on foreign fund flows also weighed on domestic share trading.<\/p>\n
A number of blue-chip stocks also plunged. Shares in PT Bank Central\nAsia Tbk (BBCA) fell 14.81% to Rp5,175 each. PT Bank Rakyat Indonesia\nTbk (BBRI) dropped 14.84% to Rp2,640, while PT Astra International Tbk\n(ASII) slumped 12.34% to Rp4,190.<\/p>\n
The steep price falls have made the valuations of these three shares\nrelatively cheap.<\/p>\n
Using price-to-book-value (PBV) bands and estimated price-to-earnings\n(PE) bands, CNBC Indonesia assessed the valuations by comparing book\nvalues and earnings with historical averages and valuation standard\ndeviations.<\/p>\n
PT Bank Central Asia Tbk \u2014 BBCA<\/strong><\/p>\n BBCA had a PBV valuation of 2.4 times as at 16 October 2026. The\nshare is trading at a discount based on the PBV-band approach: its PBV\nis below its historical average and also below the minus-two\nstandard-deviation level of 2.9 times.<\/p>\n PT Bank Rakyat Indonesia Tbk \u2014 BBRI<\/strong><\/p>\n BBRI had a PBV valuation of 1.2 times as at 16 October 2026. It is\nalso trading at a discount under the PBV-band approach, with its PBV\nbelow the historical average and even below the minus-two\nstandard-deviation level of 1.3 times.<\/p>\n PT Astra International Tbk \u2014 ASII<\/strong><\/p>\n ASII had an estimated PE valuation of 5.8 times as at 16 October\n2026. Under the PE-band approach, it is trading at a discount: its PE is\nbelow its historical average and has moved towards the minus-one\nstandard-deviation level of 5.9 times.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/undervalued-stocks-emerge-after-sharp-ihsg-sell-off-1792327826",
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