A careful approach is needed at times like this. TGR sells a lot of salmon in the domestic retail market and have found that to be consistently profitable. This market is rather price sensitive with salmon already fetching a premium as a quality, healthy product. Any move to profiteer due to world pricing could see a drop in sales that more than outweighs the profits to be made.
This is even more sensitive than usual as Graeme Wood continues his media campaign to discredit TGR.
High world prices have had a strong benefit in allowing TGR to walk away from the Coles supply contract last year with no detrimental effect.
TGR Price at posting:
$4.75 Sentiment: Hold Disclosure: Held