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TGR

Tassal Group ASX:TGR Stock Report

Last Price

AU$4.61

Market Cap

AU$990.3m

7D

31.0%

1Y

28.8%

Updated

28 Jun, 2022

Data

Company Financials +
TGR fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance0/6
Financial Health5/6
Dividends3/6

TGR Stock Overview

Tassal Group Limited, together with its subsidiaries, engages in the hatching, farming, processing, marketing, and sale of Atlantic salmon and tiger prawns in Australia.

Tassal Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Tassal Group
Historical stock prices
Current Share PriceAU$4.61
52 Week HighAU$4.61
52 Week LowAU$3.20
Beta0.42
1 Month Change27.00%
3 Month Change28.41%
1 Year Change28.77%
3 Year Change-6.68%
5 Year Change17.60%
Change since IPO620.31%

Recent News & Updates

Jun 27
Tassal Group (ASX:TGR) May Have Issues Allocating Its Capital

Tassal Group (ASX:TGR) May Have Issues Allocating Its Capital

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? Typically, we'll want...

Shareholder Returns

TGRAU FoodAU Market
7D31.0%1.4%2.8%
1Y28.8%-10.6%-9.6%

Return vs Industry: TGR exceeded the Australian Food industry which returned -10.6% over the past year.

Return vs Market: TGR exceeded the Australian Market which returned -9.6% over the past year.

Price Volatility

Is TGR's price volatile compared to industry and market?
TGR volatility
TGR Average Weekly Movement5.9%
Food Industry Average Movement6.0%
Market Average Movement9.8%
10% most volatile stocks in AU Market16.5%
10% least volatile stocks in AU Market4.3%

Stable Share Price: TGR is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: TGR's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1986n/aMark Ryanhttps://www.tassalgroup.com.au

Tassal Group Limited, together with its subsidiaries, engages in the hatching, farming, processing, marketing, and sale of Atlantic salmon and tiger prawns in Australia. It offers fresh, smoked, canned, and frozen salmon; and Australian black tiger prawns. The company also procures, processes, markets, and sells salmon, prawns, and other seafood species.

Tassal Group Fundamentals Summary

How do Tassal Group's earnings and revenue compare to its market cap?
TGR fundamental statistics
Market CapAU$990.33m
Earnings (TTM)AU$43.36m
Revenue (TTM)AU$714.29m

22.8x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TGR income statement (TTM)
RevenueAU$714.29m
Cost of RevenueAU$385.38m
Gross ProfitAU$328.91m
Other ExpensesAU$285.56m
EarningsAU$43.36m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 16, 2022

Earnings per share (EPS)0.20
Gross Margin46.05%
Net Profit Margin6.07%
Debt/Equity Ratio43.2%

How did TGR perform over the long term?

See historical performance and comparison

Dividends

3.3%

Current Dividend Yield

73%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is TGR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TGR?

Other financial metrics that can be useful for relative valuation.

TGR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.1x
Enterprise Value/EBITDA10.7x
PEG Ratio1.8x

Price to Earnings Ratio vs Peers

How does TGR's PE Ratio compare to its peers?

TGR PE Ratio vs Peers
The above table shows the PE ratio for TGR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average35.3x
ING Inghams Group
11.4x24.2%AU$981.2m
UMG United Malt Group
97.2x34.9%AU$1.0b
CBO Cobram Estate Olives
17.7x9.3%AU$601.0m
BGA Bega Cheese
15.1x21.3%AU$1.2b
TGR Tassal Group
22.8x12.6%AU$990.3m

Price-To-Earnings vs Peers: TGR is good value based on its Price-To-Earnings Ratio (22.8x) compared to the peer average (35.3x).


Price to Earnings Ratio vs Industry

How does TGR's PE Ratio compare vs other companies in the Oceanian Food Industry?

Price-To-Earnings vs Industry: TGR is expensive based on its Price-To-Earnings Ratio (22.8x) compared to the Oceanic Food industry average (15.1x)


Price to Earnings Ratio vs Fair Ratio

What is TGR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TGR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio22.8x
Fair PE Ratio21.4x

Price-To-Earnings vs Fair Ratio: TGR is expensive based on its Price-To-Earnings Ratio (22.8x) compared to the estimated Fair Price-To-Earnings Ratio (21.4x).


Share Price vs Fair Value

What is the Fair Price of TGR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TGR (A$4.61) is trading below our estimate of fair value (A$5.67)

Significantly Below Fair Value: TGR is trading below fair value, but not by a significant amount.


Price to Earnings Growth Ratio

PEG Ratio: TGR is poor value based on its PEG Ratio (1.8x)


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Future Growth

How is Tassal Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


12.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TGR's forecast earnings growth (12.6% per year) is above the savings rate (1.8%).

Earnings vs Market: TGR's earnings (12.6% per year) are forecast to grow faster than the Australian market (6% per year).

High Growth Earnings: TGR's earnings are forecast to grow, but not significantly.

Revenue vs Market: TGR's revenue (0.8% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: TGR's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TGR's Return on Equity is forecast to be low in 3 years time (8.8%).


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Past Performance

How has Tassal Group performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-3.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TGR has a large one-off loss of A$23.5M impacting its December 31 2021 financial results.

Growing Profit Margin: TGR's current net profit margins (6.1%) are lower than last year (9.7%).


Past Earnings Growth Analysis

Earnings Trend: TGR's earnings have declined by 3.7% per year over the past 5 years.

Accelerating Growth: TGR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TGR had negative earnings growth (-22.5%) over the past year, making it difficult to compare to the Food industry average (50%).


Return on Equity

High ROE: TGR's Return on Equity (5.2%) is considered low.


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Financial Health

How is Tassal Group's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TGR's short term assets (A$727.5M) exceed its short term liabilities (A$217.8M).

Long Term Liabilities: TGR's short term assets (A$727.5M) exceed its long term liabilities (A$679.9M).


Debt to Equity History and Analysis

Debt Level: TGR's net debt to equity ratio (38%) is considered satisfactory.

Reducing Debt: TGR's debt to equity ratio has increased from 29.7% to 43.2% over the past 5 years.

Debt Coverage: TGR's debt is well covered by operating cash flow (29.9%).

Interest Coverage: TGR's interest payments on its debt are well covered by EBIT (6.4x coverage).


Balance Sheet


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Dividend

What is Tassal Group current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.25%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: TGR's dividend (3.25%) is higher than the bottom 25% of dividend payers in the Australian market (2.73%).

High Dividend: TGR's dividend (3.25%) is low compared to the top 25% of dividend payers in the Australian market (6.67%).


Stability and Growth of Payments

Stable Dividend: TGR's dividend payments have been volatile in the past 10 years.

Growing Dividend: TGR's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (73.5%), TGR's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (435.8%), TGR's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.7yrs

Average management tenure


CEO

Mark Ryan

18.58yrs

Tenure

AU$873,569

Compensation

Mr. Mark Andrew Ryan, B.Com, ACA, MAICD, FAIM has been the Managing Director and Chief Executive Officer of Tassal Group Limited since November 2003. Mr. Ryan has an extensive experience in the finance and...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD606.77K) is below average for companies of similar size in the Australian market ($USD1.04M).

Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TGR's management team is considered experienced (4.7 years average tenure).


Board Members

Experienced Board: TGR's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Tassal Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Tassal Group Limited
  • Ticker: TGR
  • Exchange: ASX
  • Founded: 1986
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Implied Market Cap: AU$990.326m
  • Shares outstanding: 214.82m
  • Website: https://www.tassalgroup.com.au

Location

  • Tassal Group Limited
  • Marine Board Building
  • Level 9
  • Hobart
  • Tasmania
  • 7000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/28 00:00
End of Day Share Price2022/06/28 00:00
Earnings2021/12/31
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.