Tweets by Jokowi’s Son Send Indonesian Bank Stock to Record High

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(Bloomberg) -- Shares of an Indonesian bank soared to all-time highs this week after President Joko Widodo’s youngest son posted about the stock on his Twitter account.

PT Bank Pembangunan Jawa Timur shares rallied as much as 15% to 970 rupiah apiece on Friday, a few hours after Kaesang Pangarep, a 26-year-old entrepreneur and blogger, shared technical analysis about the stock with his 2.1 million Twitter followers.

Pangarep shared an image by a Twitter account called Saham Rakyat or “the People’s Stocks,” which read: “If BJTM breaks above 845, it could potentially go up to the Fibonacci extension 1.61 area to around 1000,” referring to the bank’s ticker.

He added in the tweet: “Just a reference, not an order to sell or buy.”

Pangarep, who regularly shares stock picks on Twitter, also posted about the bank on Thursday, saying the bank had a low valuation, trading at only 7.5 times its earnings, while return on equity was 13%. Shares climbed 19% on the day, the most on record.

The Indonesian bourse is seeing a resurgence of small investors, who tend to follow stock celebrities, according to Thendra Crisnanda, head of research at PT MNC Sekuritas in Jakarta. Even though the president’s son may not make an outright stock recommendation, Crisnanda said “many retail investors have become his believers and followers.”

“The Indonesian market is driven by tons of sentiment and stocks buzzers,” he said. “We’re just waiting for the burst of the ‘little bubble’ soon.”

Pangarep has made a name for himself online for his comedy, sometimes poking fun at his life as a member of Indonesia’s first family and his father Jokowi, as the president is popularly known. He sells his own brand of bottled coffee and banana fritters for his day job.