Dasco: Share Buybacks Offer Strategic Opportunity Amid Falling Prices

Indonesian Deputy Speaker Sufmi Dasco Ahmad sees share buybacks as a natural and strategic response to market fluctuations. He believes companies with strong underlying fundamentals can capitalize on falling stock prices to repurchase their shares, viewing it as an opportune moment for investment.

Dasco emphasized that strategic companies, whether state-owned enterprises (BUMN) or national private firms, maintain solid prospects despite market pressures. He noted that the current market conditions, where stock prices have declined, present a valuable chance for companies and investors to engage in buyback activities.

"So, yesterday, when the market price was falling, of course, state-owned enterprises or Himbara [Himpunan Bank Milik Negara - Association of State-Owned Banks] would conduct buybacks, or investment institutions and the market would see it as very strategic to buy back or make purchase transactions when the market conditions were like yesterday," Dasco explained.

He believes that both investment institutions and retail traders will view the price drop as an opportunity to transact and purchase stocks with strong fundamentals. This strategic move allows for acquiring shares at a lower valuation, potentially leading to future gains.