ASX:TGR

Stock Analysis Report

Executive Summary

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

Snowflake

Fundamentals

Excellent balance sheet, good value and pays a dividend.

Share Price & News

How has Tassal Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-7.4%

ASX:TGR

-1.9%

AU Food

-1.7%

AU Market


1 Year Return

3.2%

ASX:TGR

-20.6%

AU Food

1.5%

AU Market

TGR outperformed the Food industry which returned -20.6% over the past year.

TGR outperformed the Market in Australia which returned 1.5% over the past year.


Share holder returns

TGRIndustryMarket
7 Day-7.4%-1.9%-1.7%
30 Day-10.7%-8.5%-3.2%
90 Day-7.2%-11.2%-0.1%
1 Year7.0%3.2%-18.6%-20.6%7.3%1.5%
3 Year19.8%7.1%-11.9%-16.3%30.7%13.8%
5 Year37.3%14.1%25.5%14.4%37.6%7.0%

Price Volatility Vs. Market

How volatile is Tassal Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tassal Group undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tassal Group's share price is below the future cash flow value, and at a moderate discount (> 20%).

Tassal Group's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Tassal Group is good value based on earnings compared to the AU Food industry average.

Tassal Group is good value based on earnings compared to the Australia market.


Price Based on Expected Growth

Tassal Group is poor value based on expected growth next year.


Price Based on Value of Assets

Tassal Group is overvalued based on assets compared to the AU Food industry average.


Next Steps

Future Growth

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

12.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tassal Group's revenue is expected to grow by 8.6% yearly, however this is not considered high growth (20% yearly).

Tassal Group's earnings are expected to grow by 12.6% yearly, however this is not considered high growth (20% yearly).

Tassal Group's revenue growth is expected to exceed the Australia market average.

Tassal Group's earnings growth is expected to exceed the Australia market average.

Tassal Group's earnings growth is expected to exceed the low risk savings rate of 2.3%.


Earnings per Share Growth Estimates


Future Return on Equity

Tassal Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tassal Group performed over the past 5 years?

6.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tassal Group's year on year earnings growth rate has been positive over the past 5 years.

Tassal Group's 1-year earnings growth is less than its 5-year average (2% vs 6.8%)

Tassal Group's earnings growth has exceeded the AU Food industry average in the past year (2% vs -12.1%).


Return on Equity

Tassal Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tassal Group used its assets more efficiently than the AU Food industry average last year based on Return on Assets.


Return on Capital Employed

Tassal Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Tassal Group's financial position?


Financial Position Analysis

Tassal Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tassal Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tassal Group's level of debt (27.9%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (11% vs 27.9% today).

Debt is well covered by operating cash flow (50.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 10.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2.8x debt.


Next Steps

Dividend

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

4.49%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Tassal Group before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Tassal Group's pays a higher dividend yield than the bottom 25% of dividend payers in Australia (2.55%).

Tassal Group's dividend is below the markets top 25% of dividend payers in Australia (5.84%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.9x coverage).


Next Steps

Management

What is the CEO of Tassal Group's salary, the management and board of directors tenure and is there insider trading?

7.7yrs

Average management tenure


CEO

Mark Ryan 0

15.8yrs

Tenure

AU$1,211,233

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

Mark's remuneration is about average for companies of similar size in Australia.

Mark's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

7.7yrs

Average Tenure

The average tenure for the Tassal Group management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

6.8yrs

Average Tenure

The tenure for the Tassal Group board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyAU$47,70006 May 19
John Watson
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares10,000
Max PriceAU$4.77
SellAU$52,62322 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares10,585
Max PriceAU$4.98
BuyAU$21,89522 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares4,372
Max PriceAU$5.01
SellAU$1,47021 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares1,667
Max PriceAU$5.05
BuyAU$21,76421 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares7,205
Max PriceAU$4.96
SellAU$4,710,24218 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares1,023,538
Max PriceAU$4.60
BuyAU$37,93018 Mar 19
Credit Suisse Asset Management (Switzerland)
EntityCompany
Shares9,031
Max PriceAU$4.20
BuyAU$5,641,47018 Mar 19
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares1,186,773
Max PriceAU$4.75
SellAU$964,40021 Feb 19
Mark Ryan
EntityIndividual
Role
Chief Executive Officer
MD, CEO & Director
Shares200,000
Max PriceAU$4.82
BuyAU$109,25020 Dec 18
Georgina Lynch
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares25,000
Max PriceAU$4.37
BuyAU$87,11723 Oct 18
John Watson
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares20,992
Max PriceAU$4.15
BuyAU$42,00016 Oct 18
John Watson
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares10,000
Max PriceAU$4.20
BuyAU$86,00024 Sep 18
John Watson
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares20,000
Max PriceAU$4.30
SellAU$43,20217 Sep 18
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares10,278
Max PriceAU$4.20
BuyAU$96,30617 Sep 18
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares22,444
Max PriceAU$4.29
SellAU$9,101,71717 Sep 18
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares2,154,271
Max PriceAU$4.26
BuyAU$11,409,33017 Sep 18
Credit Suisse, Investment Banking and Securities Investments
EntityCompany
Shares2,693,265
Max PriceAU$4.24

Ownership Breakdown


Management Team

  • Monika Maedler

    General Counsel & Company Secretary

    • Tenure: 7.7yrs
  • Dale Williams

    Head of Sales & Marketing

    • Tenure: 0.0yrs
    • Compensation: AU$464.96k
  • Mark Asman

    Head of Aquaculture

    • Tenure: 3.4yrs
    • Compensation: AU$448.30k
  • Mark Ryan

    MD, CEO & Director

    • Tenure: 15.8yrs
    • Compensation: AU$1.21m
  • Kaylene Little

    Head of People & Communities

    • Tenure: 0.3yrs
    • Compensation: AU$396.81k
  • Andrew Creswell

    CFO & Group Financial Controller

    • Tenure: 9.7yrs
    • Compensation: AU$452.64k
  • Ben Daley

    Head of Supply Chain & Commercial Services

    • Tenure: 0.0yrs
    • Compensation: AU$455.47k

Board Members

  • Trevor Gerber (61yo)

    Independent Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: AU$134.63k
  • Allan McCallum

    Chairman of the Board

    • Tenure: 14.2yrs
    • Compensation: AU$232.92k
  • John Watson (69yo)

    Independent Non-Executive Director

    • Tenure: 1.4yrs
    • Compensation: AU$142.16k
  • Mark Ryan

    MD, CEO & Director

    • Tenure: 15.8yrs
    • Compensation: AU$1.21m
  • Chris Leon

    Independent Non-Executive Director

    • Tenure: 6.8yrs
    • Compensation: AU$126.58k
  • Georgina Lynch

    Independent Non-Executive Director

    • Tenure: 0.8yrs
    • Compensation: AU$77.71k
  • Jackie McArthur

    Independent Non-Executive Director

    • Tenure: 0.8yrs
    • Compensation: AU$77.71k

Company Information

Tassal Group Limited's company bio, 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
  • Market Cap: AU$810.163m
  • Shares outstanding: 178.45m
  • Website: https://tassalgroup.com.au

Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TGRASX (Australian Securities Exchange)YesOrdinary SharesAUAUDNov 2003
TSLL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2003
TGRCHIA (Chi-X Australia)YesOrdinary SharesAUAUDNov 2003

Biography

Tassal Group Limited, together with its subsidiaries, engages in the hatching, farming, processing, marketing, and sale of Atlantic salmon in Australia. The company offers fresh, smoked, canned, and frozen ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 10:34
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.