DAVY VIEW

We are modestly lowering our FY26 adjusted EBITDA forecast by c.1% to c.$401m, reflecting a slower pass-through of recovery mechanisms and the lingering impact of the Middle East conflict extending into H2-26. Despite the prevailing macro headwinds, we believe the simplification of Dole’s portfolio has materially reduced operational risk. Financial risk has declined in parallel through continued deleveraging and we maintain our FY26 year-end leverage forecast of c.1.1x. In our view, the group is now well positioned to invest for growth over the short to medium term, with further tangible evidence of increased investment activity likely to be an important catalyst for a re-rating of the equity, which continues to trade at a significant discount to peers. We maintain our ‘Outperform’ rating and $21.5 share price target (c.65% upside).