“As one of the few listed companies with a fully integrated vertical value chain in the sweet potato sector, Zixin enjoys a moat that is difficult for competitors to replicate given the time, capex and know-how needed to succeed,” says Yon.
Lim & Tan Securities analyst Nicholas Yon has initiated a “buy” call on Zixin Group (Zixin) with a target price 6.6 cents. The target price is pegged to 10 times FY2026 PE ratio, which is significantly below peer averages.
In his Nov 11 report, Yon mentioned that Zixin is a highly profitable and undervalued S-Chip consumer staple stock whose next step of expansion in Hainan can potentially see its profit more than double over the next few years as it seeks to replicate its successful model in an area five times its current size with the help of the China government co-investing alongside Zixin.
