Background – Adaro Energy is a top-down, thematic stock idea centred around Indonesia coal In this piece, I am going to explore a top-down, thematic stock idea centred around Indonesia coal. I will focus on 4 key segments – (i) why I am bullish on Indonesian coal, (ii) how I shortlisted Adaro Energy out of all the Indonesian coal stocks and (iii) exploring Adaro Energy’s fundamentals and (iv) other considerations (risks, mitigation, entry, limitations of my analysis). Why Indonesian coal? – Despite general sentiments of coal being a sunset industry, I am bullish on Indonesia coal due to its innate competitive advantages and favourable macro backdrop. At face value, coal might appear to be a sunset industry given the significant global emphasis on climate change. Unsurprisingly, this sentiment is evident in how the market has been punishing coal mining stocks. Below, you can clearly see that the forward P/E valuation multiples of Indonesian coal miners have been on a general downward trend....