Part of what I think the short thesis might be the COVID related collapse - in particular for Australia - of global air freight - leading to lower salmon prices (importers being price setters) as well as higher costs for exporters like TASSAL. Double whammy.
Much of this collapse in air freight is belly freight - ie cargo carried in the bottom of passenger planes. Australia - with our very hard borders - is severely affected as per the presentation.
But - is this an old story now? (Real question is: Was this the original short sellers story?)
IF we are on the cusp of receiving a vaccine rolled out to Australia (187,000 doses arrive this Monday) - then surely our airline passenger market will open up fairly quickly? Meaning more belly cargo capacity?
Meaning.....(fairly priced freighted) export markets will re-open again for Tassal? And for salmon globally?
TGR Price at posting:
$3.39 Sentiment: Buy Disclosure: Held
