---
title: "Stock Analysis: Delfi | Lianhe Zaobao"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/282976250.md"
description: "Delfi maintains a buy rating, raising the target price to 1.68 yuan, with the current closing price at 1.19 yuan. The significant decline in cocoa prices will help the company's revenue recovery and alleviate operational leverage effects. Although the gross margin has been compressed due to high input costs, the drop in cocoa prices indicates that the company is gradually freeing itself from cost pressures. The company's advance procurement strategy will gradually reveal the benefits of lower costs. Compared to large multinational peers, Delfi can more quickly pass on the benefits of declining raw material costs and selectively raise prices to improve profitability"
datetime: "2026-04-16T09:57:20.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/282976250.md)
  - [en](https://longbridge.com/en/news/282976250.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/282976250.md)
---

# Stock Analysis: Delfi | Lianhe Zaobao

### Delfi

-   Recommendation: Buy
-   Target Price: 1.68 CNY
-   Closing Price: 1.19 CNY (+0.85%)

The decline in cocoa prices helps drive a recovery in earnings, and the alleviation of operational leverage can support this recovery. We maintain a buy rating on Delfi and raise the target price from 1.12 CNY to 1.68 CNY.

Cocoa prices fell sharply from a peak of USD 12,500 per ton (SGD 15,875) to USD 12,900, dropping over 60% to USD 3,200 to USD 3,300 per ton in April this year.

Previously, the company's gross margin was compressed due to high input costs, decreasing from 27.4% in 2024 to 26.5% in 2025. The decline in cocoa prices marks the company's escape from the situation of high costs.

However, the benefits of the company's strategy of purchasing 18 months in advance will be realized in stages as input costs decline. Additionally, since raw material costs are mainly denominated in USD, the weakness of the Indonesian Rupiah remains a major offsetting factor.

Compared to large multinational peers, Delfi has a shorter product cycle, allowing it to pass on the benefits of declining raw material costs to consumers more quickly. Coupled with its ability to selectively raise prices, adjust product structure, and focus on developing high-margin premium brands, we believe this will help improve profitability. (UOB Kay Hian)

#### Further Reading

Stock Commentary: Star Financial Development Stock Commentary: Baohui Life Industry Trust

For more information on the Singapore stock market, please click here.

The link is: https://stock.zaobao.com.sg

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