Elevator Pitch
I upgrade my rating for PT Telekomunikasi Indonesia Tbk (TLK) (OTCPK:TLKMF) [TLKM:IJ], Indonesia's largest integrated telecommunications company, from Bearish to Neutral.
In the current low interest rate environment, Telekomunikasi Indonesia stands out as an attractive yield play with a forward dividend yield in excess of 5%. This is especially true, when one compares Telekomunikasi Indonesia to its Indonesian telecommunications peers, which either offer a very low dividend yield or do not pay any dividends at all. Furthermore, Telekomunikasi Indonesia's dividend payout ratio has been consistently high in the 60%-90%