📊 Sharpfokus Brief — September 26, 2025
Cashflow Reality Check: Market Still Running Ahead
The latest Indonesian market medians show:
• Average CFROA (3-yr): 3%
• Latest TTM CFROA: 3%
• Market Value Equivalent: 5%
Right now the market is pricing in higher returns (5%) than companies are producing in cashflow (3%) — an upside-down gap. For the picture to flip, we need to see real cashflow improvement, not just market hope.
(CFROA = cashflow return on assets — how much cash companies generate on the assets they own.
Market Value Equivalent = the return implied by today’s market price, based on company value, assets, and the risk-free rate.)
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🔍 Free Research — MLPT.jk
CFROA: 11%
Market Value Equivalent: 540%
Gap: 0.02X 👎
MLPT has one of the highest market-implied returns we’ve ever seen (540%), while the best real CFROA we’ve seen is only about 50%. That’s a lot of optimism.
⸻
Upgrade → sharpfokus.com/subscribe
Data, not advice
Cashflow Reality Check: Market Still Running Ahead
The latest Indonesian market medians show:
• Average CFROA (3-yr): 3%
• Latest TTM CFROA: 3%
• Market Value Equivalent: 5%
Right now the market is pricing in higher returns (5%) than companies are producing in cashflow (3%) — an upside-down gap. For the picture to flip, we need to see real cashflow improvement, not just market hope.
(CFROA = cashflow return on assets — how much cash companies generate on the assets they own.
Market Value Equivalent = the return implied by today’s market price, based on company value, assets, and the risk-free rate.)
⸻
🔍 Free Research — MLPT.jk
CFROA: 11%
Market Value Equivalent: 540%
Gap: 0.02X 👎
MLPT has one of the highest market-implied returns we’ve ever seen (540%), while the best real CFROA we’ve seen is only about 50%. That’s a lot of optimism.
⸻
Upgrade → sharpfokus.com/subscribe
Data, not advice