[SINGAPORE] Shares of Food Empire Holdings (FEH) surged as much as 5.4 per cent on Thursday (Sep 18), two days after Maybank raised its target price.
The stock climbed S$0.14 to an intraday high of S$2.73 as at 11.10 am, later paring some gains to end the day 2.7 per cent higher at S$2.66. Nearly 1.5 million shares had changed hands.
On Tuesday, Maybank analyst Jarick Seet raised the target price of company’s shares to S$2.92, from S$2.62, and maintained a “buy” call after revisiting its Vietnam operation.
Seet said that the positivity stemmed from FEH being on track to deliver an estimated US$100 million of revenue in 2025 – becoming the third-largest instant coffee player in Vietnam – and its plans for product innovations to grow revenue in new segments.
He said: “With its strong pipeline of projects ahead, we believe FEH will continue to grow steadily in (the) coming years.”
“A bonus share issue may also be a possibility to improve liquidity and reward shareholders,” he added.
UOB Kay Hian last month also raised its target price for FEH to S$2.73, from S$2.40, and maintained its “buy” call as its first-half results beat expectations. The company on Aug 13 posted top-line growth for the first half of 2025.
Sudeep Nair, FEH group chief executive, said that the company is “on track to deliver… another record-breaking performance in FY2025” after the results.
Last year, FEH invested US$80 million in a new freeze-dried soluble coffee manufacturing facility in Vietnam.
