However, in the nearer term, given higher energy costs and weaker rupiah, the company’s earnings is likely to soften. As such, Yeo has cut his target price from $1.33 to $1.21.
Alfie Yeo of RHB Bank Singapore remains positive on chocolate maker Delfi for its growth prospects, strong market share and extensive network in its key market Indonesia.
"While we are now more cautious on margins, we continue to anticipate a strong FY2025 to FY2028 earnings CAGR of 10%, driven by market penetration in Indonesia as well as in regional markets. We still regard Delfi as a long-term takeover target, given its strong market share and extensive distribution network across Indonesia," says Yeo, who has kept his "buy" call.
