Stephan Erasmus of Anchor Capital on what the smart money is doing
14 December 2023 - 05:00
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
The company’s fishmeal business is generally weighted to the second half of its year to end-September. Fishmeal prices are holding up nicely, as are fish oil prices. In addition, Oceana says it’s putting a lot of Lucky Star stock through retailers at this point; pilchards are becoming a substitute for chicken as protein.
SELL: Astral
Whereas Oceana is moving volumes, Astral is struggling due to load-shedding and water shortages in the municipalities where its plants are. Also, Astral faces the uncertainty of whether the government will relax import duties on chicken. If it does, it will be negative for Astral. In addition, Astral is struggling with the bird flu outbreak.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
BROKERS’ NOTES: Trawl fish, troll poultry
Stephan Erasmus of Anchor Capital on what the smart money is doing
Stephan Erasmus, Anchor Capital
BUY: Oceana
The company’s fishmeal business is generally weighted to the second half of its year to end-September. Fishmeal prices are holding up nicely, as are fish oil prices. In addition, Oceana says it’s putting a lot of Lucky Star stock through retailers at this point; pilchards are becoming a substitute for chicken as protein.
SELL: Astral
Whereas Oceana is moving volumes, Astral is struggling due to load-shedding and water shortages in the municipalities where its plants are. Also, Astral faces the uncertainty of whether the government will relax import duties on chicken. If it does, it will be negative for Astral. In addition, Astral is struggling with the bird flu outbreak.
State’s lack of urgency over water and power irks Astral chair Theuns Eloff
Bird flu outbreaks contribute to Quantum Foods’ first loss
Oceana profits surge as Lucky Star sales shine in tough economy
Small caps, big yields
Oceana sees bird flu outbreak creating gap for pilchard sales
Companies in this Story
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Related Articles
BROKERS’ NOTES: Buy KAL Group, sell Kumba
BROKERS’ NOTES: Buy Absa, sell Thungela
BROKERS’ NOTES: Buy Tencent, sell thermal coal miners
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.