DBS Vickers keeps Hold on Olam Group stock with SGD 2.14 target

DBS Vickers kept a Hold rating on Olam Group stock and lifted its target price to SGD 2.14, according to The Edge Malaysia on October 6, 2026. The target is tied to a partnership with Mitsubishi Corporation and follows the issue of 332.7 million shares at SGD 2.75 per share, according to the same report.

Analysts weigh new capital

The Mitsubishi transaction raised SGD 1.53 billion, with SGD 915 million earmarked for acquisitions and other growth initiatives, The Edge Malaysia reported. DBS Vickers cited potential distribution opportunities for Mitsubishi food brands in Africa and a Japanese joint venture for agricultural products.

The same report said OCBC Investment Research maintained a Hold rating with fair value at SGD 1.88. DBS Vickers also cited investor concerns about integrating the ADM Cocoa acquisition and the timing of positive free cash flow, creating a counterweight to the partnership opportunity.

Disposals reshape earnings

Olam reported profit attributable to owners of SGD 1.9 billion in the first half of fiscal 2026, up 488.80 percent year on year. The result included a SGD 2.0 billion disposal gain, according to The Smart Investor.

The operating picture was weaker: revenue from continuing operations fell 18.30 percent to SGD 12.5 billion, while profit from continuing operations dropped 66.00 percent to SGD 55.6 million in the first half of fiscal 2026. Free cash flow reached SGD 887.4 million, compared with negative SGD 974.8 million a year earlier, although SGD 514.9 million came from a receivables release.

Olam also declared an interim dividend of SGD 0.01 per share and a special dividend of SGD 0.06 per share, both paid on August 31, 2026, The Smart Investor reported. The ordinary interim payout was half the SGD 0.02 paid a year earlier, making the special distribution central to the total payout.

SGD 0.95 quote and capital test

Olam Group was last quoted at SGD 0.95 on the Singapore Exchange on October 7, 2026 at 11:29 a.m. SGT, against a 52-week range of SGD 0.81 to SGD 1.46. Its market capitalization was SGD 3.6 billion at that timestamp.

The company is using asset sales and external capital to sharpen its portfolio, but the reported 66.00 percent decline in continuing-operations profit shows why recurring earnings matter alongside disposal proceeds. Olam also announced a USD 300 million perpetual hybrid capital instrument on September 24, 2026, according to Singapore Exchange.

Portfolio transition remains central

Olam Group owns ofi and Olam Global Holdco and holds an 18.19 percent interest in Olam Agri, according to its investor information. The company says its mainboard Singapore Exchange listing uses ticker VC2 and that it is a component of the iEdge Singapore Next 50 index.

Olam Group was trading at SGD 0.95 on the Singapore Exchange on October 7, 2026 at 11:29 a.m. SGT, with a market capitalization of SGD 3.6 billion and a 52-week range of SGD 0.81 to SGD 1.46. The further course of trading is shown by the continuously updated real-time quote of Olam Group stock.

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