Indopremier UNTR - BUY (TP Rp 22.000)

UNTR has released February performance data and registered robust growth in all division. We believe UNTR is able to continue its strong performance in 2010. Our view is supported by current conducive business climate: increasing trend of commodity price and low borrowing rate situation. For FY10 projection, we assume of 3.750 units Komatsu sales, 76 mn tons coal extraction (stripping ratio of 8.9X), and 3.4 mn tons own coal production. We make several upward adjustment post February 2010 data, resulting to an increased equity value per share at Rp22,000/share (vs. previously of Rp 20,200/share). At yesterday closing price of Rp 18,700/share, our TP provide investors an 17.8% upside potential. Retain our BUY recommendation