DAVY VIEW

Despite the congealing of supply chain headwinds through Q3, strong first-half execution has prompted management to raise its full-year profit guidance. A constructive and solid conference call provided comfort on pricing actions taken in the context of the inflationary backdrop, with management confirming its expectation for profit growth in 2022. We will nudge up our 2021 EBITDA by c.2% while holding outer year forecasts unchanged. Dole’s maiden update highlights the relevance and resilience of its operating and economic model. Trading on just 6.5x NTM EV/EBITDA, we reiterate our ‘Outperform’ rating.