What happened to the Tassal share price?
Tassal Group Limited [ASX:TGR] farms salmon and supplies fresh and cured seafood to the Australian domestic market, as well as exporting overseas.
This year Tassal’s stock price peaked at $5.10 in January. The stock fell 27.6% into April. It has since steadied. In today’s trade it was at $4.16, at the time of writing.
Why did Tassal shares do this?
The decline in the stock price from January to April was brought on by concerns over unseasonably warm water and oxygen levels affecting its salmon stock.
The stock rose today after the company released an announcement that its fish processing facility in Margate will supply Woolworths supermarkets in NSW and Queensland. There had been a concern this may close after the company’s contract with Coles was discontinued.
What now for Tassal?
In April CEO Mark Ryan laid out Tassal’s strategy. The company is looking to optimise its salmon management and supply chains. Tassal’s focus is on growing seafood consumption through marketing and diversifying its sales channels.
It’s also looking to rebalance its sales mix between the domestic retail and wholesale sectors. The company says a lower Australian dollar and low global supply could prove tailwinds for exports, too.