Stay selective in transacting penny stocks

JAKARTA. The stock trading volume in the stock exchange is increasing. Not only the second liner and the third liner, the transactions of penny stocks are also rife.

The stocks with the price of below Rp 100 per a share were the most actively traded shares on Thursday (9/2). For eexample, the shares of PT Bakrieland Development Tbk (ELTY), PT Energi Mega Persada Tbk (ENRG), PT Ratu Prabu Energi Tbk (ARTI), and PT Darma Henwa Tbk (DEWA).

According to the data of Indonesia Stock Exchange (IDX), out of the ten issuers with the highest transaction volume, PT Hanson International Tbk (MYRX) and PT Bumi Resources Tbk (BUMI) were the only two issuers with the price of a share of above Rp 100. MYRX and BUMI are also the only two among the ten issuers that are included in the margin effect list.

Analyst of First Asia Capital David Sutyanto said, the trend of penny stocks rise is not related to the relaxation on the rules of margin securities transactions. David estimates that one of the relaxation objectives is to encourage a more active trading.

Persoalannya, mayoritas trader lokal tidak terbiasa mengandalkan fasilitas margin. "Bagi trader yang penting volatilitas saham," ujar dia kepada KONTAN, kemarin.

However, most of local traders are not accustomed to rely on the margin facility. "For the traders, the essential point is the volatility of the stock," he told KONTAN, Thursday (9/2).

The low price has allowed the issuers to sharply enhance the stocks’ volatility. For the examples, the shares prices of PT Bakrie Sumatra Plantations Tbk (UNSP) and PT Trada Maritim Tbk (TRAM) have incereased, thanks to the issues related to the companies’ debts restructuring.

On the other hand, the big caps shares already have high valuation. “Therefore, the penny stock becomes an option,” said analyst at Mirae Asset Sekuritas Heldy Arifien.

Analyst at NH Korindo Securities Bima Setiaji said that the valuation of some medium-big caps shares, which are listed on the margin securities, have been expensive. The traders have high risk profile but they remain considerable in the stock-selection process. (Muhammad Farid/Translator)