Janu Putra Shares Seen Rebounding as Earnings Recovery Takes Shape in 2026

JAKARTA, Investortrust.id — PT Janu Putra Sejahtera Tbk or AYAM is projected to enter a recovery phase on Monday, Jan 19, 2026 in Jakarta after enduring the poultry industry trough in 2025, as falling feed costs, higher production utilization, and improving live bird and DOC prices lift earnings prospects, a shift expected to strengthen profitability in 2026. The rebound reflects easing cost pressures and a more balanced supply-demand environment in Indonesia’s poultry market.

The company, formally known as PT Janu Putra Sejahtera Tbk, attracted a buy recommendation from Phillip Sekuritas, which set a target price of Rp 600 per share based on a discounted cash flow valuation using a weighted average cost of capital of 7.9 percent. The brokerage said valuation upside was supported by a cyclical earnings recovery beginning in 2026.

Phillip Sekuritas stated that profit recovery was expected to materialize alongside normalized poultry prices, easing feed expenses, and expansion in biological assets that would enhance operating leverage over the medium term. These factors were seen as reversing margin pressure experienced during the previous downturn.

Analyst Marvin Lievincent said AYAM was projected to significantly lift revenue from an estimated Rp 367 billion in 2025 to Rp 476 billion by 2030, driven by domestic poultry demand and operational efficiency gains. He said the recovery trajectory reflected improving industry fundamentals rather than short-term price spikes.

“Indonesia’s poultry industry in 2025 showed signs of recovery, supported by resilient protein consumption and stabilizing fundamentals after the volatility of 2022 to 2023,” Lievincent wrote in the research note. “With national poultry consumption still relatively low at around eight to nine kilograms per capita, long-term structural growth potential remains substantial.”

He added that financial performance was also supported by contained inflation and a growing consumer base, while broiler and DOC supply-demand conditions had returned to balance. This normalization reduced excessive price volatility and created a more conducive operating landscape for producers such as AYAM.

From the cost side, Phillip Sekuritas noted that sector profitability was gradually improving as key feed inputs such as corn and soybeans declined on a yearly basis. Government programs aimed at strengthening domestic corn supply and stabilizing agricultural input prices were also seen as cushioning feed cost fluctuations.

The brokerage said live bird and DOC prices trended higher toward the end of 2025, supported by stronger demand and more disciplined supply management. Prices were reported to be above government reference levels, allowing margin recovery without undermining consumer purchasing power.

“Efficiency improvements in production and better feed conversion ratios are providing positive leverage to AYAM’s performance as volumes increase,” the report said. These operational gains were expected to magnify earnings recovery during the upcycle.

Phillip Sekuritas also highlighted demand support from the government’s free nutritious meals program, known as MBG, which strengthened baseline demand for poultry meat and eggs. Planned investment of Rp 20 trillion, equal to $1.24 billion, by Danantara in the livestock sector and Rp 50 trillion, equal to $3.1 billion, in subsidized credit through the KUR program were projected to improve upstream and downstream capacity.

“Food estate policies further reinforce prospects for more sustainable growth across the poultry industry, including AYAM,” the brokerage concluded. The measures were expected to help dampen industry cyclicality over the longer term.