Update shared on 11 Nov 2025
Fair value Increased 4.47%The analyst fair value estimate for P/F Bakkafrost has increased from NOK 509.27 to NOK 532.01. Analysts cite improved profit margins and recent upgrades to their outlook on the company as reasons for this change.
Analyst Commentary
Recent research on P/F Bakkafrost highlights diverging views among analysts regarding the company's future prospects and valuation. While some have upgraded their outlooks in response to improving fundamentals, others urge caution amid ongoing industry and company-specific challenges.
Bullish Takeaways
- Bullish analysts have upgraded Bakkafrost's rating, citing improved profit margins and an encouraging operational outlook.
- Recent revisions have resulted in higher price targets. This reflects expectations for continued growth and enhanced execution.
- Upgrades suggest renewed confidence in Bakkafrost's ability to capitalize on market opportunities and generate shareholder value.
- Valuation adjustments reflect optimism around the company's strategic positioning within the seafood sector.
Bearish Takeaways
- Bearish analysts warn of persistent industry pressures that could challenge Bakkafrost's margins and earnings growth.
- Some ratings remain neutral or have been downgraded due to concerns over uncertain short-term outlooks and execution risks.
- Price targets have not been universally raised. This indicates tempered expectations for rapid valuation improvement.
- Uncertainty about cost control and market volatility continues to temper enthusiasm among more cautious market observers.
What's in the News
- P/F Bakkafrost announced production results for the third quarter and first nine months of 2025, highlighting increased smolt transfers and harvest volumes in both the Faroe Islands and Scotland (Announcement of Operating Results).
- The company maintained its production guidance for the full year 2025 and expects to harvest around 104,000 tonnes gutted weight, with 82,000 tonnes in the Faroe Islands and 22,000 tonnes in Scotland (Corporate Guidance, New/Confirmed).
- P/F Bakkafrost raised its production guidance for 2026, increasing the target to 104,000 tonnes from the previous 97,000 tonnes due to strong performance in both key regions (Corporate Guidance, New/Confirmed).
- P/F Bakkafrost has been added to the Oslo OBX Total Return Index (Index Constituent Adds).
Valuation Changes
- Fair Value Estimate: Increased from NOK 509.27 to NOK 532.01, reflecting a moderate upward revision by analysts.
- Discount Rate: Risen slightly from 6.16% to 6.34%, indicating a minor adjustment in risk assessment or funding costs.
- Revenue Growth Assumption: Decreased marginally from 17.38% to 17.18%, showing slightly tempered expectations for top-line expansion.
- Net Profit Margin: Improved from 21.66% to 22.70%, signaling stronger anticipated profitability.
- Future P/E Ratio: Edged up from 10.06x to 10.20x, suggesting modestly higher anticipated earnings multiples.
Disclaimer
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