In answering your question, I will be moving from fact to speculation and inference.
With small caps, it can often take quite a while for analysts to get around to reviewing them. Also, a lot of mum and dad investors tend to steer clear of them due to the supposed risk around them.
TGR, as an agricultural commodity stock is probably one of the highest risk stocks on the ASX (excluding penny dreadfuls). Why do I say this? It is exposed to "black swan events" from two fronts outside of it's control, commodity price changes AND disease and weather events (that metal commodities are not exposed to). While a miner can stop production and go to C&M tomorrow if prices fall, TGR still have up to 2 years of stock coming through. Their ability to "turn off the tap" is very difficult. Due to these reasons, TGR would be treated with some caution by investors, so while the Salmon price rise is known, I would suspect that it is not fully reflected in the share price yet. TGR could easily get to $5 again as it did in late Jan, and yes, momentum certainly helps, but remember, it can turn on a dime. (BTW - the diversification with the Costi purchase certainly helps to mitigate the risks I have talked about)
HT1
TGR Price at posting:
$4.15 Sentiment: Hold Disclosure: Held
