DEKON AGR (02419) surged more than 5% in early trading, with gains reaching 4.73% at the time of writing, trading at HK$69.7 and a turnover of HK$42.34 million.
The rise follows discussions at the 2025 Swine Industry Development Conference held in Guangdong's Xinxing, where representatives from government bodies, industry associations, and leading enterprises emphasized the urgent need for capacity regulation and industry self-discipline to address intensifying "involution" challenges and achieve high-quality development. Analysts suggest that industry-wide efforts to counter involution may support medium- to long-term hog price performance.
Guosen Securities highlighted DEKON AGR's innovative "company + sow breeding and finishing farms" model, which directly entrusts breeding pigs to farmers. This approach enables lighter asset expansion, more stable farmer partnerships, and better disease control. The firm is projected to exceed an annual output of 10 million hogs by 2025, maintaining rapid growth while achieving above-industry-average profitability per hog. Institutions remain optimistic about its valuation recovery potential.