Salmon is not a safe haven on the stock exchange, but worst it has been for the breeders who do not have any salmon to sell.
“You can run, but you can’t hide,” said old heavyweight boxer Joe Louis. On a stock exchange characterised by corona virus and an oil price shock following the price war between Russia and Saudi Arabia, there are few places to hide. Initially, some analysts pointed out that salmon was a safe haven.
Salmon stocks have been hit hard the last couple of weeks.
The worst has been the companies that do not have salmon to sell, companies whose values are primarily linked to future expectations.
Atlantic Sapphire has fallen by over 40 % so far this year. Andfjord Salmon has also been hit with a 34 % fall. Neither of the two are listed, but can be traded on the so-called OTC list.
Andfjord Salmon has not even completed its plant and consequently does not have fish to harvest in the next couple of years.
Atlantic Sapphire has fish, but does not have large harvest volumes. Pareto Securities expects sales of $ 58 million from the company this year. The brokerage estimates a negative profit before tax of $ 8 million in 2020.
Then things have gone much better for Lerøy and Salmar, which have so far only fallen by 11 and 14 per cent respectively on the stock exchange.