JAKARTA – The lacklustre performance of the Jakarta Composite Index (JCI) throughout 2026 is primarily driven by a significant downturn in Indonesia’s heavy-cap stocks. Market giants that typically serve as the primary engines of growth, such as DSSA, BBCA, and BREN, have unexpectedly shifted into the top 10 laggards list year-to-date (YtD).
Data from the Indonesia Stock Exchange (IDX) as of April 30 indicates that the JCI has plummeted by approximately 19.55% to the 6,956.81 level throughout 2026. This performance mirrors the market conditions last seen in June 2025, a period when the index was just beginning to recover following the U.S. tariff policy announcements in April 2025. Compounding this trend, foreign investors have recorded a net sell of IDR 49.87 trillion this year, leaving the JCI with a price-to-earnings (PER) ratio of 14.69 times and a price-to-book value (PBV) of 1.9 times.
A confluence of geopolitical tensions, a lack of domestic catalysts, and the implementation of new capital market reform regulations has weighed heavily on the performance of several major stocks. Among those struggling most are PT Dian Swastatika Sentosa Tbk. (DSSA) and PT Barito Renewables Energy Tbk. (BREN).
DSSA shares have corrected by 60.02% to IDR 1,615 following a stock split, dragging the JCI down by 214.26 points. Similarly, PT Barito Renewables Energy Tbk. (BREN) saw a 54.02% decline to IDR 4,460, erasing 193.86 points from the index. Both companies were among the nine stocks flagged for High Shareholding Concentration (HSC) by the IDX on April 2, 2026, a move that preceded their recent steep corrections.
The banking sector has not been spared from this downturn. Shares of PT Bank Central Asia Tbk. (BBCA) have tumbled 27.55% to IDR 5,850, accounting for a 210.18-point decline in the index. Other major banks, such as PT Bank Rakyat Indonesia (Persero) Tbk. (BBRI) and PT Bank Mandiri (Persero) Tbk. (BMRI), also faced pressure, falling 18.31% and 13.92% respectively, further impacting the JCI.
The bearish trend extends to other notable firms: PT MD Entertainment Tbk. (FILM) corrected by 83.59% to IDR 2,380, PT Barito Pacific Tbk. (BRPT) dropped 43.88% to IDR 1,835, and PT Telkom Indonesia (Persero) Tbk. (TLKM) dipped 19.25% to IDR 2,810. Additionally, energy giant PT Bayan Resources Tbk. (BYAN) fell 27.39% to IDR 11,400, while PT Ekamas Mora Republik Tbk. (MORA) plunged 60.91% to IDR 4,710.
A Confluence of Sentiments
Current market pressure stems from a mix of global and domestic factors. Rising oil prices, exacerbated by the heating conflict in Iran, have pushed investors toward safer havens, moving away from high-risk assets. Furthermore, the decision by MSCI to suspend changes to the Indonesian stock composition has triggered short-term foreign capital outflows.
Abida Massi Armand, an analyst at BRI Danareksa Sekuritas, notes that the sharp correction has pushed the JCI’s price-to-earnings ratio down to the 11-12 range. This level is nearing a five-year low and remains well below the historical average of 14-15 times. “This suggests that a large portion of the risks—including MSCI pressures, rupiah weakness, and FOMC uncertainties—has already been priced in by the market,” Abida explained.
For medium-term investors, the current JCI level may offer a sufficient margin of safety for gradual accumulation. However, the market remains in a “wait-and-see” mode, seeking catalysts such as exchange rate stability and clarity on the U.S. Federal Reserve’s interest rate trajectory.
While short-term pressures persist—partly due to anticipated foreign outflows from MSCI-related adjustments, estimated at IDR 15 trillion—the medium-term outlook remains tied to internal reforms. Initiatives like the enforcement of High Shareholding Concentration (HSC) rules, improved free-float regulations, and stricter index criteria are expected to strengthen the foundation of the domestic capital market.
Looking ahead, there is potential for a structural return of foreign capital within the next 6 to 12 months as these reforms take hold. Enhanced transparency and a 15% minimum free-float threshold are projected to boost confidence among global institutional investors. In a base-case scenario, Indonesia could return to a state of foreign net buying by the third or fourth quarter of 2026, provided the rupiah remains stable below IDR 17,000 and reform schedules are met. However, the persistence of high interest rates remains a significant challenge for emerging markets, including Indonesia.
Top 10 JCI Laggards in 2026:
| Stock Code | Decline | JCI Impact |
| DSSA | -60.02% | -214.26 points |
| BBCA | -27.55% | -210.18 points |
| BREN | -54.02% | -193.86 points |
| BBRI | -18.31% | -105.19 points |
| FILM | -83.59% | -95.27 points |
| BRPT | -43.88% | -82.82 points |
| TLKM | -19.25% | -70.28 points |
| BYAN | -27.39% | -68.57 points |
| MORA | -60.91% | -56.97 points |
| BMRI | -13.92% | -55.33 points |
Summary
The Jakarta Composite Index (JCI) has experienced a significant decline of 19.55% in 2026, dropping to the 6,956.81 level amid heavy selling pressure on major stocks. Key market players, including DSSA, BBCA, and BREN, have seen sharp corrections, contributing to a total foreign net sell of IDR 49.87 trillion. This downturn is attributed to a combination of geopolitical tensions, domestic capital market reforms, and a lack of positive catalysts, leading many high-cap stocks to become the index’s primary laggards.
Despite current bearish sentiment, analysts suggest that market risks may already be priced in, with the JCI’s valuation reaching near five-year lows. While the market remains in a cautious wait-and-see mode, experts anticipate a potential structural recovery within 6 to 12 months as regulatory reforms improve transparency and investor confidence. The outlook for a return to foreign net buying by late 2026 depends heavily on rupiah stability and clarity regarding global interest rate policies.
