0556 GMT - Delfi's earnings outlook appears challenging amid continued margin pressures, UOB Kay Hian analysts say in a research report. Given impact from high cocoa prices, the chocolate confectionary product maker's gross and Ebitda margins fell on-quarter and on-year in 3Q, the analysts note. Also, Indonesia's middle-class population is shrinking, suggesting falling wealth, and will probably have adverse effects on consumer demand for premium products such as those made by Delfi. The brokerage maintains the stock's hold rating, but raises its target price to S$0.86 from S$0.83 to reflect its rollover of the valuation base year. Shares are 0.6% lower at S$0.81. (ronnie.harui@wsj.com)
(END) Dow Jones Newswires
November 27, 2024 00:56 ET (05:56 GMT)
Copyright (c) 2024 Dow Jones & Company, Inc.