(NLDO)- In the Southern region, the price of live pigs has stabilized after yesterday increasing sharply by 1,000 - 2,000 VND/kg in provinces and cities, fluctuating between 70,000 - 73,000 VND/kg.
Since the beginning of the year, domestic live hog and retail pork prices have continuously increased due to a decrease in supply. In that context, the group of stocks of pig farming enterprises on the stock exchange has also increased sharply.
Specifically, at the end of the trading session on February 14, MML shares of Masan MeatLife Joint Stock Company increased by 7.25% to VND35,500/share. Compared to last week, this stock increased by nearly 9% and compared to the beginning of February, it increased by more than 34%.
Pork price developments in the fourth quarter of 2024 Source: VCBS
Similarly, DBC shares of Dabaco Vietnam Group Joint Stock Company increased by more than 4.5% last week and more than 8% compared to the beginning of the month, currently priced at VND27,450/share.
BAF shares of BaF Vietnam Agriculture Joint Stock Company also increased nearly 5% last week and nearly 6% compared to the beginning of February, closing at VND29,200/share.
HAG shares of Hoang Anh Gia Lai Joint Stock Company increased slightly by nearly 1% last week and nearly 2% compared to the beginning of the month, currently at VND12,400/share.
In a recent report, Vietcombank Securities Company (VCBS) stated that DBC, HAG, and BAF stocks will benefit as pork prices are expected to continue to rise due to a decrease in supply, the new Livestock Law, and disease forcing many farmers to abandon their herds. In addition, grain prices for animal feed are showing signs of increasing.
With BAF, by the first half of 2025, this enterprise will continue to put into operation many farms with a total capacity of nearly 20,000 sows and 162,000 pigs.
In addition, BAF also signed a cooperation agreement with Muyuan Group to deploy pig farming in a 6-storey farm, applying modern farming techniques to improve productivity and reduce costs.
VCBS forecasts BAF's profit to continue growing by 13% thanks to the forecasted increase in live hog prices and stable or insignificant increase in feed input prices until the first half of 2025.
VCBS recommends buying BAF shares and raises the target price to VND30,549/share.
As for Dabaco, in addition to the general positive developments such as increasing pork prices, the company's vaccine is expected to be commercialized in early 2025. This will be a positive contribution to the company's revenue in the coming time.
It is expected that by 2026 and 2027, Dabaco will complete more pig farms in Thanh Hoa, Quang Ninh and Thai Nguyen with a scale of 3,000-5,000 sows and 50,000-70,000 pigs.
VCBS forecasts Dabaco's profit to continue to grow by 17% year-on-year. At the same time, it recommends buying and raises the target price to VND36,749/share.
Source: https://nld.com.vn/gia-heo-tang-nong-co-phieu-nganh-chan-nuoi-co-thom-lay-196250215190900583.htm
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