The issues surrounding the industry have been adequately priced in as the Apex Frozen Foods stock is down 65 percent from its 2017 peak
PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
The financial performance of the aquaculture sector has been quite sluggish since the start of 2018, thanks to the building up of overcapacity in domestic markets and stiff competition in international markets. The start of 2020 looked like the start of a new up-cycle, but the sudden onset of COVID-19 only intensified the downturn in the industry. Shrimp exporter Apex Frozen Foods has weathered the prolonged slump without much damage. Investors should start accumulating the stock at current levels as both…
