Seriously dude.....you should learn about what your talking about
Your thought bubble goes straight from some 'world markets' falling salmon price....to 'a business with such a degree of risk'....and Maple-brown Abbot....blah,blah
Let me ask you a question, which maybe you should have asked first.
"What has the global Salmon price got to do with Tassal's sales and profits"?
If you knew anything about the company.....all their current business and future business is based on growing the domestic market......not the global commodity business...
From memory they exported almost no Salmon last year.....the salmon they do export to Japan mainly is sold at a premium and is done as a token gesture to kind of 'keep that market open'....
If you read anything on the company, you would see that the profit margin on their sales to Woolies and Coles far exceeds the margin on export.....unless the Aussie dollar halved I would imagine
Underpinning all this, is that the Australian market is protected 'from the world market' by natural barriers of entry......eg. fish go off unless they are cut up and sealed in plastic
This company is yet to really have a bad day....it may happen....true......but right now there are just a lot of people who can't read income statements, balance sheets and management presentations
TGR Price at posting:
$1.44 Sentiment: None Disclosure: Held
