Jakarta. Many investors have shown a strong preference for the stocks of Prajogo Pangestu's companies, such as Barito Pacific (BRPT), Chandra Asri Pacific (TPIA), Barito Renewables Energy (BREN), Petrindo Jaya Kreasi (CUAN), and Petrosea (PTRO).

Hendra Wardana, Founder of Stocknow.id, highlighted the various reasons why investors are drawn to Prajogo Pangestu's stocks.

“First, the Barito Group offers robust business diversification, spanning energy, petrochemicals, logistics, and property. This diversification mitigates investment risk as it allows investors to gain exposure to various economic sectors,” Hendra said recently.

Moreover, each company within the Barito Group holds significant growth potential through expansion projects, the development of new technologies, or acquisitions. Strong company fundamentals, including solid financial performance, experienced management, and strong market positions, further attract investors.

“Barito Group stocks also offer appealing profit potential, supported by business diversification, growth prospects, and strong fundamentals. Lastly, their stability amid global turmoil is a major advantage, as the focus on the domestic market and business diversification can lessen the impact of global economic fluctuations,” he added.

Hendra also noted that the stock performances of Barito Group companies, such as BREN, TPIA, CUAN, BRPT, and PTRO, have remained relatively unaffected by recent global volatility due to several factors.

First, strong business diversification across sectors such as energy, petrochemicals, logistics, and property provides a buffer against global market fluctuations. Second, the focus on the domestic market may render some Barito Group businesses more stable amid global turmoil, influenced by domestic factors such as regulations and internal demand.

Third, strong company fundamentals, such as stable financial performance and solid management, instill investor confidence in the companies' long-term prospects, making Barito Group stocks attractive even during global upheavals.

Hendra mentioned that Prajogo Pangestu's companies, such as TPIA and BREN, have seen significant foreign investor interest throughout 2024. Foreign purchases for these stocks have been notable, with TPIA recording Rp 5.6 trillion and BREN Rp 1.3 trillion. This indicates a strong interest from foreign investors in Prajogo Pangestu’s stocks in the Indonesian capital market during this period, likely driven by growth prospects and strong company fundamentals.

He also pointed out that Prajogo Pangestu's purchase of BREN shares on June 10 at an estimated price of Rp 5,500 per share drew market attention and sent a strong message to investors.

Although BREN shares might be affected by the full call auction (FCA), Prajogo's decision to buy indicates strong confidence in the company's long-term prospects.

“This action can be seen as an effort to reassure the market and signal that despite volatility, the company has a strong vision. Such actions suggest that despite the FCA, internal confidence in the company remains high, potentially boosting investor confidence,” he said.

As BREN was included in the Financial Times Stock Exchange (FTSE) Global Equity Index, its soaring stock was placed on the IDX’s Special Monitoring Board, where the FCA rules apply, on May 29. Under the FCA policy, BREN requires periodic auctions in five sessions a day for 30 days. The shares plummeted 40 percent last week, causing Barito Renewables to lose its status as the largest company in terms of market capitalization.