INET Bounces Back: Why Analysts Are Raising Price Targets as Digital Infrastructure Expansion Heats Up

The Indonesian capital market has been keeping a close watch on PT Sinergi Inti Andalan Prima Tbk (INET) lately. After a tense week-long trading suspension, the company’s shares finally resumed trading on Wednesday, sparking immediate interest from the investment community. This comeback isn't just a simple return to the boards; it is backed by a massive surge in earnings and a series of aggressive expansion plans that have caught the eyes of top-tier analysts.

Analysts Eye Significant Upside

Leading the bullish charge are Jason Sebastian and Jonathan Guyadi, analysts from Samuel Sekuritas. They recently updated their outlook on INET, raising their price target to a notable Rp 1,350 per share. Maintaining a 'speculative buy' call, the duo based this valuation on a 25x EV/EBITDA multiple for the 2027 fiscal year. This upward revision isn't just guesswork—it’s a direct response to the company’s upgraded profit forecasts and a performance that has consistently outpaced earlier market expectations.

A Record-Breaking Third Quarter

The momentum behind INET is fueled by its stellar third-quarter (3Q25) financial results. The numbers tell a story of explosive growth: revenue for the quarter skyrocketed by 190.5% year-on-year (YoY), reaching Rp 23.6 billion. When looking at the first nine months of the year, the company has already pulled in Rp 68.6 billion.

A huge driver of this growth is the Internet Service Provider (ISP) segment, which contributed Rp 67 billion to the total revenue. This represents a 188.4% YoY increase, highlighting the massive demand for high-speed connectivity and managed services as Indonesia continues its digital transformation journey.

Profitability and Operational Efficiency

Perhaps the most impressive part of INET’s recent report is its pivot toward extreme profitability. The company’s gross margin in 3Q25 jumped to 66.3%, a massive leap from the 35.3% seen in the previous quarter. Furthermore, EBITDA soared by an incredible 728.8% YoY to Rp 18 billion, resulting in an EBITDA margin of 76.4%.

How did they do it? INET has been ruthlessly efficient with its costs. Employee expenses, which once accounted for 18.4% of revenue, have been slashed to just 5.6%. Total operating expenses followed a similar downward trajectory, falling from 31% to 10.4% of revenue. This lean operational model allowed net profit to reach Rp 11.6 billion in the third quarter alone—a 960% increase compared to the previous year. To put that into perspective, the year-to-date net income of Rp 19.4 billion already covers 86% of what analysts expected for the entire year.

The Rp 4.2 Trillion Expansion War Chest

INET isn't resting on its laurels. The company is preparing for a massive expansion phase supported by Rp 4.2 trillion in fresh capital. The funding strategy is two-pronged: a Rp 3.2 trillion rights issue expected to wrap up by the end of 2025, followed by a Rp 1 trillion bond issuance in 2026.

These funds have very specific targets. INET plans to aggressively develop subsea cables, expand Fiber-to-the-Home (FTTH) contracting, and strengthen its node-based internet services. By building out this physical infrastructure, INET is positioning itself as an indispensable backbone of the regional digital economy.

Looking Toward 2027

The long-term forecasts for INET are equally ambitious. Samuel Sekuritas predicts that the company’s EBITDA margin will settle around 52% in 2026 and rise to 55.9% in 2027 as its network assets are fully deployed. Net profit is also expected to climb steeply, with projections hitting Rp 257 billion in 2026 and a staggering Rp 736 billion by 2027.

Strategic acquisitions are also on the horizon. INET is moving forward with plans to acquire PT Personel Alih Daya Tbk (PADA) and PT Trans Hybrid Communication (THC). These moves are designed to instantly boost the company’s managed-service portfolio and FTTH execution capabilities. With the trading suspension now in the rearview mirror and a clear roadmap for capital deployment, INET appears to be in the middle of a major rerating cycle that investors are watching very closely.