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TGR

Tassal GroupASX:TGR Stock Report

Market Cap

AU$707.0m

7D

-2.4%

1Y

-9.6%

Updated

27 Nov, 2021

Data

Company Financials +
TGR fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance1/6
Financial Health3/6
Dividends4/6

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

Inghams Group

ASX:ING

AU$1.3b

Australian Agricultural

ASX:AAC

AU$898.1m

Huon Aquaculture Group

ASX:HUO

AU$410.6m

Murray Cod Australia

ASX:MCA

AU$224.1m

Price History & Performance

Summary of all time highs, changes and price drops for Tassal Group
Historical stock prices
Current Share PriceAU$3.31
52 Week HighAU$3.97
52 Week LowAU$3.16
Beta0.48
1 Month Change-8.06%
3 Month Change-6.23%
1 Year Change-9.56%
3 Year Change-21.19%
5 Year Change-15.78%
Change since IPO417.19%

Recent News & Updates

Aug 21
Tassal Group's (ASX:TGR) Dividend Will Be Reduced To AU$0.07

Tassal Group's (ASX:TGR) Dividend Will Be Reduced To AU$0.07

Tassal Group Limited ( ASX:TGR ) has announced it will be reducing its dividend payable on the 29th of September to...

Shareholder Returns

TGRAU FoodAU Market
7D-2.4%-2.1%-1.6%
1Y-9.6%-2.3%11.7%

Return vs Industry: TGR underperformed the Australian Food industry which returned -2.3% over the past year.

Return vs Market: TGR underperformed the Australian Market which returned 11.7% over the past year.

Price Volatility

Is TGR's price volatile compared to industry and market?
TGR volatility
TGR Average Weekly Movement2.6%
Food Industry Average Movement7.9%
Market Average Movement8.3%
10% most volatile stocks in AU Market15.8%
10% least volatile stocks in AU Market3.7%

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

Volatility Over Time: TGR's weekly volatility (3%) 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$707.04m
Earnings (TTM)AU$34.62m
Revenue (TTM)AU$587.95m

20.4x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TGR income statement (TTM)
RevenueAU$587.95m
Cost of RevenueAU$295.14m
Gross ProfitAU$292.81m
ExpensesAU$258.19m
EarningsAU$34.62m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.16
Gross Margin49.80%
Net Profit Margin5.89%
Debt/Equity Ratio43.5%

How did TGR perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

85%

Payout Ratio

Valuation

Is Tassal Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TGR (A$3.31) is trading below our estimate of fair value (A$13.58)

Significantly Below Fair Value: TGR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TGR is poor value based on its PE Ratio (20.4x) compared to the Australian Food industry average (18.6x).

PE vs Market: TGR is poor value based on its PE Ratio (20.4x) compared to the Australian market (18.8x).


Price to Earnings Growth Ratio

PEG Ratio: TGR is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: TGR is good value based on its PB Ratio (0.9x) compared to the AU Food industry average (1.5x).


Future Growth

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

26.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TGR's forecast earnings growth (26.2% per year) is above the savings rate (1.9%).

Earnings vs Market: TGR's earnings (26.2% per year) are forecast to grow faster than the Australian market (11.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TGR's revenue (5.8% per year) is forecast to grow faster than the Australian market (5.2% per year).

High Growth Revenue: TGR's revenue (5.8% 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 (10%).


Past Performance

How has Tassal Group performed over the past 5 years?

0.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TGR has a large one-off loss of A$12.6M impacting its June 30 2021 financial results.

Growing Profit Margin: TGR's current net profit margins (5.9%) are lower than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: TGR's earnings have grown by 0.7% 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 (-49.9%) over the past year, making it difficult to compare to the Food industry average (106.9%).


Return on Equity

High ROE: TGR's Return on Equity (4.3%) is considered low.


Financial Health

How is Tassal Group's financial position?


Financial Position Analysis

Short Term Liabilities: TGR's short term assets (A$674.6M) exceed its short term liabilities (A$162.2M).

Long Term Liabilities: TGR's short term assets (A$674.6M) do not cover its long term liabilities (A$684.6M).


Debt to Equity History and Analysis

Debt Level: TGR's net debt to equity ratio (39.7%) is considered satisfactory.

Reducing Debt: TGR's debt to equity ratio has increased from 31.4% to 43.5% over the past 5 years.

Debt Coverage: TGR's debt is not well covered by operating cash flow (17.5%).

Interest Coverage: TGR's interest payments on its debt are well covered by EBIT (5.6x coverage).


Balance Sheet


Dividend

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

4.23%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TGR's dividend (4.23%) is higher than the bottom 25% of dividend payers in the Australian market (2.33%).

High Dividend: TGR's dividend (4.23%) is low compared to the top 25% of dividend payers in the Australian market (5.55%).


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.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.4%), TGR's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TGR's dividends in 3 years are forecast to be covered by earnings (56.1% payout ratio).


Next Steps

Management

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

7.8yrs

Average management tenure


CEO

Mark Ryan

18yrs

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 ($USD621.80K) is about average for companies of similar size in the Australian market ($USD774.83K).

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 seasoned and experienced (7.8 years average tenure).


Board Members

Experienced Board: TGR's board of directors are considered experienced (3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TGR 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
  • Market Cap: AU$707.044m
  • Shares outstanding: 213.61m
  • 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 Analysis2021/11/27 07:02
End of Day Share Price2021/11/26 00:00
Earnings2021/06/30
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.