Market Wrap - Stock Pick — Oceana Group
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Steven Schultz from Momentum chose Oceana Group Ltd as his stock pick of the day.
"My stock pick is a 101 year old fishing company that is Cape Town based namely Oceana. They've produced a pretty decent first half set of results earnings growth of 70%, excluding a bit of a tax bump that they received from from the US. What we're finding is an uptick in canned food product, so their fish products and I think that is symbolic of consumers that are under pressure at the moment. They also have cost deficiencies and we believe that there is more way to go from a cost efficiency perspective and vessel utilization which we believe can improve. The stock trades at a 12.4 PE at the moment and boasts a 5.5% dividend yield"
"My stock pick is a 101 year old fishing company that is Cape Town based namely Oceana. They've produced a pretty decent first half set of results earnings growth of 70%, excluding a bit of a tax bump that they received from from the US. What we're finding is an uptick in canned food product, so their fish products and I think that is symbolic of consumers that are under pressure at the moment. They also have cost deficiencies and we believe that there is more way to go from a cost efficiency perspective and vessel utilization which we believe can improve. The stock trades at a 12.4 PE at the moment and boasts a 5.5% dividend yield"
