Indonesia’s Indika Energy emerges as the worst performer based on earnings quality (EQ) among 77 firms in the country tracked by at least three analysts, Thomson Reuters StarMine data shows.
The coal miner fares poorly with a low EQ score of 1.
Analysts have downgraded EPS estimates on the company by 4 percent for the year ending 2012 over the past month.
Other companies from the energy sector with low EQ are Energi Mega Persada and Delta Dunia Makmur with scores of 8 and 9 respectively.
Analysts have downgraded EPS estimates for Energi Mega by 16 percent and for Delta Dunia Makmur by 4 percent for the year ending 2012 over the last 30 days.
Indika Energy is down nearly 3 percent over the past week, while the broader index is up about 1 percent.
A low Earnings Quality score indicates poor earnings sustainability over the next 12 months based on a company’s past operating performance. (Reporting by Patturaja Murugaboopathy; editing by Sunil Nair)