-Terra Markets [ETH][micro sign]xpects 6-7% dividend yield from Norwegian Salmar.
NORDIC BUSINESS REPORT-April 5, 2011--Terra Markets [ETH][micro sign]xpects 6-7% dividend yield from Norwegian Salmar(C)2011 M2 COMMUNICATIONS http://www.m2.com
5 April 2011 - Terra Markets considers there are good chances that Norwegian salmon farmer Salmar ASA (OSL: SALM) will reward shareholders well as the dividend yield is estimated at between 6-7% for the coming years.
Salmar has for a long time been among the most profitable fish-farming companies in Norway, the broker said in a note on Monday.
Terra Markets pointed the recent acquisition of sector player Bringsvor Lak by Salmar, which is expected to register a volume growth of 32% in 2011, driven by acquisitions and organic development.
The salmon price per kilogramme is estimated at an average NOK37 in the second half of 2011, and at NOK34 in 2012. The level is down from the current NOK 40 yet still indicates solid margins for the sector, according to Terra Markets.
The broker has set the share price target at NOK78 and has a "buy" rating on Salmar. The stock has registered a good development over the past six months, gaining more than 26%.
By 09:29 CET on Tuesday, shares in Salmar had added 1.50% to NOK67.50 on the Oslo Stock Exchange (OSE).
(EUR1 = NOK7.8)
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|Publication:||Nordic Business Report|
|Date:||Apr 5, 2011|
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