The operation adds growth to the company and reduces its risk. The price is on track to reach its highest levels since 2021 and has a potential of 20%.
The sale of Dia’s business in Argentina fuels its rise in the stock market. He Last Friday, after hearing the news, the price shot up 5.80%, its best session since June and yesterday it extended the rise by 0.31%, to 48.50 euros.
Investors and analysts have welcomed the divestment with optimism for a total amount of 54 million dollars (48 million euros).
“The sale makes strategic sense because allows Dia to concentrate on its main market, Spain”, Francisco Riquel, analyst at Alantra Equities, comments in his report that he has the target price of the distribution company at 51.80 euros, although he is going to revise this valuation upwards as a result of the sale operation.
In his opinion, The presence in Argentina had clouded the attractiveness of Dia’s investment thesis in Spain, as it diluted the group’s sales growth. (10% in Spain compared to 2% for the group as a whole in the first half), its margins and its profitability on invested capital. Analysts believe the sale leaves Dia with a simpler investment profile and less risk.
Dividing
CaixaBank expects an increase in the company’s valuation to reflect improved profitability and reduced risk. “The divestment should also accelerate the refinancing of debt at a lower cost and could facilitate the elimination of current restrictions on corporate operations and the distribution of dividends, which would open new opportunities for creating value for the shareholder,” the CaixaBank BPI analyst team led by Bruno Silva comments in a report.
The experts at OddoBHF Securities also point out that Argentina’s departure will be a driving force for improving Dia’s valuation. It becomes a group with a more solid investment thesis, says analyst Juan Ros-Padilla.
The funds obtained will support organic expansion in Spain and will complete the transformation of the group’s business portfolio. The firm adds that The sale reinforces a growth story in the domestic market that was already improving.
Ros-Padilla is confident in the profitability of Dia’s franchise model, in the rapid maturation of the stores and in the recovery of margins.
Oddo BHF has increased Dia’s price target to 58 euros, but acknowledges that The simplification of the corporate structure offers revaluation potential that is not yet incorporated into its estimates. Dia is one of his favorite stocks on the Iberian Stock Market.
The food company is heading into its third consecutive year of growth on the stock market. In 2026 it adds more than 30%, which brings its price closer to the maximum of the year at the 48.90 euros that it recently marked and which is its highest level since 2021.
This year’s increase is added to the 139.54% that was recorded in 2023 and the 29.66% of the previous year.
After this bullish streak, Dia has a market capitalization of 2,815 million euroswhich places the company above Ebro Foods and Ibex values such as Solariawhich is around 2,000 million euros.
Source: www.expansion.com
