Wilmar International: Strong Performance and Strategic Growth Justify Buy Rating

In a report released today, Heidi Mo from UOB Kay Hian maintained a Buy rating on Wilmar International (WLMIF – Research Report), with a price target of S$3.45.

Heidi Mo has given her Buy rating due to a combination of factors that highlight Wilmar International’s strong performance and potential for growth. The company’s first-quarter results for 2025 were in line with expectations, showing a 4% year-over-year increase in core earnings. This improvement was largely driven by the recovery in their China operations and better contributions from their food products and plantations & sugar milling segments.
Additionally, Wilmar’s operating cash flow rose by 16% year-over-year, reaching US$2.1 billion, which was supported by higher earnings and reduced working capital requirements. The company’s net gearing position also improved, indicating a stronger financial standing. These positive financial metrics, coupled with the company’s strategic investments in China, India, and Southeast Asia, underpin the Buy rating with a target price of S$3.45.

In another report released today, DBS also maintained a Buy rating on the stock with a S$3.80 price target.

Based on the recent corporate insider activity of 38 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of WLMIF in relation to earlier this year.