A leading advisory said this week investors can make strategic hold-ups to Delta Corporation Limited shares, saying the beverages maker was well-positioned to benefit from spinoffs from the planned exit of telecoms giant Econet Wireless from the Zimbabwe Stock Exchange (ZSE).
Harare-based IH Securities said Delta’s resilient performance and its status as one of the market’s key inflation hedges could attract increased investor interest once Econet delists later this month.
Since the announcement of Econet’s planned delisting on December 15, 2025, Delta’s market capitalisation has risen by US$481,34 million, lifting its total valuation to about US$1,44 billion as of Tuesday.
The shift reflects investors repositioning their portfolios ahead of Econet’s exit from the bourse. For years, Econet and Delta have been viewed as defensive counters on the local market, often attracting capital during periods of economic and currency volatility.
With Econet leaving the exchange, analysts say Delta could absorb a significant portion of that investor demand.
“Delta has a target price of US$1,06, suggesting a potential upside of 6% at current levels, implying a HOLD recommendation,” IH Securities said in its February 2026 market report.
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“This is mainly due to its recent rally post the Econet delisting announcement as investors sought alternative havens. This trend will likely continue post the delisting and Delta may trade at a premium, offering upside for investors.”
The renewed investor interest also comes as market analysts believe the beverage giant is on track to surpass a US$1 billion revenue milestone as it approaches the end of its financial year on March 31.
The advisory said Delta is continuing to expand capacity to meet strong demand in the premium beer segment.
“As per the group, they will be investing in further capacity for high-end lager offerings in the segment in the face of strong demand, with expected commissioning in the next financial year,” the firm said.
“Taking into account overall projected volumes performance, flat pricing, and the consolidation of Schweppes Holdings Africa Limited, we have revised our FY26 revenue forecast to US$1,16 billion. At group level, we anticipate an EBITDA (earnings before interest, taxes, depreciation, and amortisation) margin of 20,9% for FY26.”
Delta strengthened its position in the non-alcoholic beverages segment in April last year after acquiring an additional 20% equity stake in Schweppes, increasing its shareholding to 69% from 49%. The move means Schweppes’ revenue will now be consolidated into the group’s financial performance.
The company is also investing in production infrastructure. In its half-year report for the period ended September 30, 2025, Delta disclosed commitments of US$87,25 million towards property, plant and equipment, to be financed through internal resources and existing borrowing facilities.
Analysts say the investment will expand the group’s production capacity and support future growth.
IH Securities described Delta’s operating environment as mixed but broadly resilient.
“For 1H26 (first of half 2026), Delta’s revenue rose 32,15% to US$514,21 million aided by volume growth and Schweppes consolidation. The sales mix became significantly more dollarised, with US dollar denominated turnover rising to 92% from 77%, reducing currency related losses by 95,1% to US$0,516 million from US$10,54 million in 1H25,” the firm said.
“Operating costs increased by 27,8% but trailed revenue, lifting the EBITDA margin to 21,2% from 19,1%. Notably, the sugar tax charge eased to US$15 million versus US$16,5 million in the prior comparable period.”
Analysts say Delta’s strong cash generation, diversified beverage portfolio and expanding production capacity position it to remain one of the dominant counters on the local bourse even as the market adjusts to Econet’s departure.