DFI is undergoing its multi-year transformation plan, write Yeo and Sim, which remains on track for operational improvement. “We have already seen results in margin improvement from its 1H20 earnings report. We believe this is on track to drive long-term operational efficiencies.”
Asia retail giant Dairy Farm (DFI) is transforming for the better, with a multi-year plan to evolve its South Asia supermarkets, say DBS Group Research analysts Alfie Yeo and Andy Sim in an Oct 23 note. Yeo and Sim are recommending ‘buy’ on the company, with a target price of US$4.44 ($6.03).
“DFI’s transformation plan to turn around earnings is tracking well with margin improvements already seen in the supermarket business… We believe DFI’s multi-year transformation programme will eventually take shape and re-rate the stock.” note the analysts.
