Bright Outlook for Garuda Stock despite CEO Resignation
12 December 2014 08:14 WIB
TEMPO.CO, Jakarta – Emirsyah Satar's resignation from his post as president director of Garuda Indonesia (IDX: GIAA) is expected not to affect the airline's stock performance. Stock analyst from MNC Securities, Reza Nugraha, said that GIAA even has a chance to gain along with the decline in world oil prices.
"The price of oil influences 30 percent of Garuda's operating expenses," Reza said on Thursday, December 11.
Amidst the buzz of Satar's resignation, GIAA's performance improves. On Thursday's trade, GIAA gained 10 bps to close at Rp620 per share, which is its highest level.
Reza said the drop in oil prices will benefit Garuda towards the end of 2014. There is even hope for a significant margin increase if oil price goes down to US$60 per barrel. "This could happen as Garuda's passengers increase nearing the year-end," he said.
However, GIAA's price gain is not expected to be permanent, Reza said, because investors will want to wait for the company's financial statements for the fourth quarter of 2014.
Emirsyah Satar submitted his resignation letter to SOE Minister Rini Soemarno on Monday.
AYU PRIMA SANDI
