Baladi

IBI investment house retail analyst Yuval Gur-Arye identifies an opportunity in the shares of meat producer Baladi, precisely after the drop it suffered following the split from Shufersal. What is behind the recommendation, and why does the investment house believe the market overreacted?

Israeli food manufacturer Baladi has reported record-breaking financial results for Q2 2026 and announced a 20 million shekel dividend distribution.

Alongside a revenue increase of only 0.4% to 357 million shekels, Baladi recorded a sharp improvement in profitability margins and continues to advance its new logistics center project. Furthermore, the company approved an additional dividend distribution of 20 million shekels, following two distributions of 10 million shekels each earlier this year.

The Ministry of Agriculture has reversed its decision to allow Baladi to import chicken from Brazil just six months after approval. This is a major financial blow to the company and leaves consumers facing persistently high prices, which have risen by 30% over the last five years.

The Ministry of Agriculture has revoked the approval for Baladi's plant in Brazil, effectively halting chicken imports to Israel. The move deals a significant blow to the company, which invested 21 million shekels in the facility, and follows intense pressure from local poultry producers.

The Supreme Court has ordered the Rabbinate to approve chicken imports from Brazil within four months. The judges rejected further delays, signaling that the market must be opened to lower consumer prices.