Obour Land Food Industries [OLFI]: Resilience is Key
Despite a higher 12MPT, cut to Neutral on recent rally
Obour Land Food Industries [OLFI]
Egypt / Consumer Staples / Core Coverage Update
12MPT: EGP11.8
(was EGP9.2) set on 11 Apr. 2023
Investment Rating: Neutral | Risk Rating: Medium
Different sectors have been affected by the recent EGP devaluation and USD shortage in different ways. In this note, we review our assumptions for Obour Land Food Industries [OLFI] in light of these two factors and OLFI’s record-breaking Q4 2022 results. More recently, OLFI’s stock price surpassed our 12MPT of EGP9.2/share dated 14 November 2022. Today, our updated valuation model suggests that OLFI’s 12MPT hovers around EGP11.8/share. Hence, we downgrade our rating from Overweight/Medium Risk to Neutral/Medium Risk on recent price rally.
For the full report, please click here.
Nouran Ahmed
Equity Analyst
T +202 3300 5727
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