08:05 AM EDT, 05/19/2026 (MT Newswires) -- Berenberg views Mowi (MOWI.OL) as well-positioned to benefit from a combination of flat market supply and El Niño-driven cost hikes, which the research firm anticipates would raise salmon prices.

"Mowi's recent share price has reflected declining future salmon prices expectations, but we expect a change in trend to happen soon. The no growth supply picture confidently described by Mowi's management in its Q1 2026 earnings call on 13 May, and the ongoing costs spike driven by a widely expected strong El Niño, are all likely catalysts of higher salmon prices. This conviction keeps us Buy-rated on Mowi despite significant cuts to our estimates. We trim our price target to NOK245 [from NOK270],"the research firm said Tuesday.

Berenberg reduced its earnings forecasts, including EPS and sales projections, for full-year 2026. Sales estimates for 2027 and 2028 were each raised by 0.7%, while EPS projections for the two years were cut.

Analysts added that management's decision to return 75% of first-quarter EPS as dividend indicates the company's confidence that salmon prices will rise.

"Mowi's share price relationship with the El Niño phenomenon is unclear, but potentially positive. Having looked at precedents, we argue that feed cost inflation is warranted and it may peak by Q1 2028, about a year after the El Niño event has passed,"the note said.