The share price of land-based salmon farmer Atlantic Sapphire took a nearly 20 percent jump on the Oslo stock exchange Tuesday, following a particularly bullish analyst report.
Arctic Securities on Tuesday moved the shares of Atlantic Sapphire to a "buy," and lifted the target price from NOK 7 ($0.70/€0.65) to NOK 18 ($1.81/€1.66).
The brokerage said the stock -- which slid nearly 90 percent during 2022 -- is undervalued given the potential of the company if it succeeds. The broker highlighted that the group is projected to reach stable harvests in the second quarter.
Atlantic Sapphire shares have risen by 34 percent over the past month, lifting the market cap to NOK 1.5 billion ($150.8 million/€138.7 million).
The Arctic Securities report noted that the company could require additional capital if it does not reach its expected volumes or is impacted by a negative biological event.
Atlantic Sapphire has suffered a string of incidents at its Miami facility over the past two years.
Most recently, the company reported that "above normal and increasing mortality" in some of its salmon had spurred early harvests and a lower average weight than originally planned.