Australian (ASX) Stock Market Forum

TGR - Tassal Group

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craft said:
I meant it in terms of kilogram input per Kilogram of output. Just on an environmental basis we would be better off eating the fish used in making the fishmeal (sardines etc) then eating salmon hence its an environmental luxury.
Click to expand...

OK craft, I missed that aspect.
Sure, there are a lot more alternatives that we could eat and drink. Our WA Government even wants us to drink recycled sewage. Neither that nor the offer to eat baitfish appeal to me. I prefer steak and salmon, washed down with a nice Shiraz or Pinot.
 
VC - I see your points and I understand I may have been a bit rash with my statements without extensive research of this particular company. As you are (and rightly so) keeping the argument strictly to TGR I don't think there's much point defending myself further in this thread as it's off topic. I'd be happy to continue in another thread if your so inclined. Cheers.
 
Something always intrigues me about these environmental debates and it is this.

However sustainable or unsustainable Tassal's operations may be, they are absolutely more sustainable than any of the many mining, oil / gas, transport and consumer discretionary companies listed on the ASX.

And yet I don't see too much (or in most cases any) mention of the environment on the many threads related to those companies. So why the focus on the comparatively benign Tassal?
 
My main problem actually isn't really with the sustainability of the practice, although I mentioned that in my post - my concern comes (perhaps selfishly) from an individual health perspective. Doesn't bother me too much, I just choose not to consume it..
 
P&F Daily Update:-

140403 - TGRs.gif​
 
Asian seafood giant Pacific Andes is selling a 17.1 per cent stake in Tassal Group through broker UBS.

UBS contacted fund managers after market close on Thursday offering 25 million shares at $3.65 each.

Interesting to see if they move it all. Sale will Leave PARD with 5.5% which they have agreed not to sell for at least 180 days.
 
Looks like they got them sold no problems.
http://www.asx.com.au/asxpdf/20140530/pdf/42py0r62mv0s10.pdf

I’ve e been following this parcel for quite a while, buying into WBA when you could get the whole company for less than the market value of the depressed price TGR holding – When WBA wanted to sell to expand their Walnut business they couldn’t give them away to fund managers and had to search high and low for an industry player to take the stake.

I think PARD at least at one stage would have liked to take control of TGR but you just have to look at the performance of the two respective businesses to see it got beyond them.

TGR is now free to fly (swim:)) and make its own destiny, which pleases me greatly.
 
Just released news from Tassie about Tassal Group. Great news for the Tassie economy and those in the struggling seaside town of Triabunna (you also may have seen the recently published news about the Mayor saying the place was full of Bogans). Anyways things have been grim up that way since the closure of the wood chip mill , which was bought out by former Kathmandu owner Jan Cameron .

http://www.abc.net.au/news/2014-07-...ocessing-plant/5621466?WT.ac=localnews_hobart


http://www.abc.net.au/news/2014-07-...y-product-factory/5620930?WT.ac=statenews_tas

http://www.abc.net.au/news/2014-07-09/cadart-dodges-no-confidence-vote/5583098
 
Big volume movement, and the 10DMA just crossed 30DMA, I just purchased this stock

is this a buy signal?
 
I never thought that an opportunity to acquire TGR and HUO shares at, what I regard, a reasonable price would eventuate anytime soon, but here we are, with a sham Greens senate enquiry and short term price adjustment due to Norwegian dumping and both entities are becoming very attractive investments most likely, ultimately, to overseas suitors. I have always invested on the premise of sustained long term growth profiles when choosing companies to invest in, however, in the case of TGR and HUO I see significant takeover/acquisition opportunities for global salmon producers. I regard the paramount risk in aquaculture is disease/virus infections in stock and this can have devastating results. For those of you who remember Western Kingfish ( WKL ), it destroyed the company. The best defense against this risk is biological isolation. This is achieved by farming in different geographical locations throughout the world and is the reason Marine Harvest ( worlds largest salmon producer ) has salmon farms in Norway, Chile, Scotland and Canada. Tasmania provides another level on biological security for global salmon producers in the event of disease/virus. Additionally, TGR and HUO are high quality / environmentally responsible aquaculture companies with unique access to the Australian market. The opportunity for a global player to move may be short lived as I am of a view that the Green’s senate enquiry will leave TGR and HUO smelling of roses and will, in fact, add to their credentials as ethical and environmentally responsible aquaculture companies. The value of these entities will correct to reflect this realization and a unique investing opportunity will be lost.
I am a investor in both companies and using this price weakness to accumulate more stock.

Disc- Opinion only, Invested in TGR and HUO (presently increasing holdings due to price weakness), DYOR.
 
tge oracle said:
I never thought that an opportunity to acquire TGR and HUO shares at, what I regard, a reasonable price would eventuate anytime soon, but here we are, with a sham Greens senate enquiry and short term price adjustment due to Norwegian dumping and both entities are becoming very attractive investments most likely, ultimately, to overseas suitors. I have always invested on the premise of sustained long term growth profiles when choosing companies to invest in, however, in the case of TGR and HUO I see significant takeover/acquisition opportunities for global salmon producers. I regard the paramount risk in aquaculture is disease/virus infections in stock and this can have devastating results. For those of you who remember Western Kingfish ( WKL ), it destroyed the company. The best defense against this risk is biological isolation. This is achieved by farming in different geographical locations throughout the world and is the reason Marine Harvest ( worlds largest salmon producer ) has salmon farms in Norway, Chile, Scotland and Canada. Tasmania provides another level on biological security for global salmon producers in the event of disease/virus. Additionally, TGR and HUO are high quality / environmentally responsible aquaculture companies with unique access to the Australian market. The opportunity for a global player to move may be short lived as I am of a view that the Green’s senate enquiry will leave TGR and HUO smelling of roses and will, in fact, add to their credentials as ethical and environmentally responsible aquaculture companies. The value of these entities will correct to reflect this realization and a unique investing opportunity will be lost.
I am a investor in both companies and using this price weakness to accumulate more stock.

Disc- Opinion only, Invested in TGR and HUO (presently increasing holdings due to price weakness), DYOR.
Click to expand...

IMO... the senate inquiry is NOT solely a scientific fact finding process. It is a political process. It's anyone's guess how TGR and HUO will come out smelling (probably more like fish than roses, if you ask me).

It would take a very risk-seeking overseas buyer to acquire these businesses whilst the inquiry is ongoing. If nothing else it simply highlight's Australia's soverign (aka political) risks to foreign investors.

Current prices may represent good buying opportunities... but it can only be determined through hindsight afterthe washout of the inquiry.

All the best with your investments.
 
I bought TGR for my SMSF today, I am comfortable that I am buying them with a sufficient margin of safety below their IV. I have been studying them for a while, mainly as an exercise to understand better the mechanics of FCFE calculations and therefore a DCF valuation. Whilst in that process they fell further following HUO's notice to the market about falling profit due to Norwegian Salmon being boycotted by the Russians.

When I looked into this it seemed to me that firstly the market had overpriced the impact, and secondly when I dug a bit deeper I found the boycott is due to finish in August and the concensus seems to be it will not be reinstated.

This is one of the articles, http://www.seafoodsource.com/all-co...afood-exports-unscathed-by-russia-s-trade-ban

Todays release to investors from Tassal suggests the impact to their business is a lot less than HUO's as well.

The other risk overhanging the business is the Senate enquiry mentioned by skc above, my reading of that is that its not very likely there will be a negative impact come out of it. Again, more in depth research suggests to me that given the Feds dont even have juridstriction over the fishing licences, and there seems to be very little base to any claims of damage to other aquaculture activities, the enquiry may well end up going nowhere. TGR have worked very hard to gain their environmental credentials including the certification with WWF.

Again I believe it may well prove to be that the market has mispriced this risk as well.

Long term its an industry that I would expect to provide solid growth for investors and TGR seem to be a world class producer.

When I inverted the current price to see what assumptions that implied for the market, I had to assume a drop in earnings of around 30% - that seems unlikely to me.
 
It came up on my scan last night.

Although technically it is still in a downtrend yesterday's action saw it moved up just over 2%. This confirmed a double bottom had been formed, although the volume was down in comparison to recent days.

150502 - TGRs.jpg​

The latest release to the market was = PAC Partners - Tassal Group Limited Presentation which can be read here:-
http://www.stocknessmonster.com/news-item?S=TGR&E=ASX&N=422409

Please Note - This is only my opinion and for those who are thinking of either buying or selling this stock should do your own research.
 
A bit of news regarding retail agreements with WOW & Aldi and execution of DeCosti purchase agreement seems to have woken TGR up.
 
craft said:
A bit of news regarding retail agreements with WOW & Aldi and execution of DeCosti purchase agreement seems to have woken TGR up.
Click to expand...

Yes, the negative news around the enquiry into environmental effect and the effects of the boycott of Norwegian salmon had depressed the TGR price below my calculation of range of fair value. Neither looked like being a large risk to TGR and I bought in a couple of months ago.

They had started to show some life after i bought them although obviously got dragged down with the overall market in recent weeks. It nice to have some good news and a positive reaction from the market!
 
craft said:
A bit of news regarding retail agreements with WOW & Aldi and execution of DeCosti purchase agreement seems to have woken TGR up.
Click to expand...
Yea.... Overseas atm and they went below my buy in price.

Didn't act on it unfortunately.

Good solid company.
 
Weekly and daily trends are UP.
Weekly chart shows bullish outside reversal bar (key reversal) two bars ago.
Daily chart shows resistance at 3.85 level with a higher low (HL).

This stock has been very strong against the XAO index (light gray line in pics) and I'm interested in a close >3.85. A trader with a medium term outlook could buy now (and earn the div) and place their SL below the weekly ORB.

TGR0809.PNG
 

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