ADECOAGRO SA (AGRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AGRO - LU0584671464 - Common Stock
8.32 USD
+0.13 (+1.59%)
7.4 USD
-0.92 (-11.06%)
Overall AGRO gets a fundamental rating of 3 out of 10. We evaluated AGRO against 86 industry peers in the Food Products industry. While AGRO seems to be doing ok healthwise, there are quite some concerns on its profitability. AGRO has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
AGRO had positive earnings in the past year.
AGRO had a positive operating cash flow in the past year.
In the past 5 years AGRO has always been profitable.
Each year in the past 5 years AGRO had a positive operating cash flow.
1.2 Ratios
AGRO has a Return On Assets (0.64%) which is in line with its industry peers.
With a Return On Equity value of 1.71%, AGRO perfoms like the industry average, outperforming 45.35% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 0.13%, AGRO is doing worse than 62.79% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AGRO is significantly below the industry average of 28.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 1.71% | ||
| ROIC | 0.13% |
ROA(3y)4.53%
ROA(5y)3.73%
ROE(3y)11.58%
ROE(5y)9.54%
ROIC(3y)2.02%
ROIC(5y)2.16%
1.3 Margins
AGRO's Profit Margin of 1.69% is in line compared to the rest of the industry. AGRO outperforms 53.49% of its industry peers.
In the last couple of years the Profit Margin of AGRO has declined.
AGRO has a Operating Margin of 0.41%. This is comparable to the rest of the industry: AGRO outperforms 44.19% of its industry peers.
In the last couple of years the Operating Margin of AGRO has declined.
With a Gross Margin value of 17.72%, AGRO perfoms like the industry average, outperforming 46.51% of the companies in the same industry.
AGRO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.41% | ||
| PM (TTM) | 1.69% | ||
| GM | 17.72% |
OM growth 3Y-13.04%
OM growth 5Y-6.66%
PM growth 3Y-19.23%
PM growth 5YN/A
GM growth 3Y-5.34%
GM growth 5Y-4.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AGRO is destroying value.
AGRO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, AGRO has less shares outstanding
AGRO has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.17, we must say that AGRO is in the distress zone and has some risk of bankruptcy.
AGRO's Altman-Z score of 1.17 is on the low side compared to the rest of the industry. AGRO is outperformed by 67.44% of its industry peers.
AGRO has a debt to FCF ratio of 30.19. This is a negative value and a sign of low solvency as AGRO would need 30.19 years to pay back of all of its debts.
The Debt to FCF ratio of AGRO (30.19) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.00 is on the high side and indicates that AGRO has dependencies on debt financing.
The Debt to Equity ratio of AGRO (1.00) is worse than 73.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 30.19 | ||
| Altman-Z | 1.17 |
ROIC/WACC0.03
WACC3.98%
2.3 Liquidity
AGRO has a Current Ratio of 2.80. This indicates that AGRO is financially healthy and has no problem in meeting its short term obligations.
AGRO's Current ratio of 2.80 is amongst the best of the industry. AGRO outperforms 82.56% of its industry peers.
AGRO has a Quick Ratio of 1.56. This is a normal value and indicates that AGRO is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.56, AGRO is doing good in the industry, outperforming 77.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
AGRO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -84.64%.
The Earnings Per Share has been decreasing by -7.45% on average over the past years.
Looking at the last year, AGRO shows a decrease in Revenue. The Revenue has decreased by -0.49% in the last year.
Measured over the past years, AGRO shows a quite strong growth in Revenue. The Revenue has been growing by 10.89% on average per year.
EPS 1Y (TTM)-84.64%
EPS 3Y-7.45%
EPS 5YN/A
EPS Q2Q%-7.14%
Revenue 1Y (TTM)-0.49%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-35.48%
3.2 Future
Based on estimates for the next years, AGRO will show a very negative growth in Earnings Per Share. The EPS will decrease by -12.58% on average per year.
Based on estimates for the next years, AGRO will show a decrease in Revenue. The Revenue will decrease by -2.74% on average per year.
EPS Next Y-92.22%
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
EPS Next 5YN/A
Revenue Next Year-5.12%
Revenue Next 2Y-3.56%
Revenue Next 3Y-2.74%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.49, AGRO is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of AGRO is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.28, AGRO is valued a bit cheaper.
AGRO is valuated correctly with a Price/Forward Earnings ratio of 14.19.
Based on the Price/Forward Earnings ratio, AGRO is valued a bit cheaper than 70.93% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AGRO to the average of the S&P500 Index (23.52), we can say AGRO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 14.19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AGRO is valued cheaply inside the industry as 82.56% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, AGRO is valued a bit cheaper than the industry average as 73.26% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.66 | ||
| EV/EBITDA | 6.45 |
4.3 Compensation for Growth
AGRO's earnings are expected to decrease with -12.58% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.15%, AGRO is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.10, AGRO pays a bit more dividend than its industry peers.
AGRO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
5.2 History
AGRO has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
149.55% of the earnings are spent on dividend by AGRO. This is not a sustainable payout ratio.
DP149.55%
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
8.32
+0.13 (+1.59%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners19.11%
Inst Owner Change-29.18%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap832.75M
Revenue(TTM)1.38B
Net Income(TTM)23.40M
Analysts48
Price Target10.81 (29.93%)
Short Float %4.67%
Short Ratio2.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
Yearly Dividend0.34
Dividend Growth(5Y)N/A
DP149.55%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)86.02%
Min EPS beat(2)-152.79%
Max EPS beat(2)324.84%
EPS beat(4)1
Avg EPS beat(4)32.12%
Min EPS beat(4)-152.79%
Max EPS beat(4)324.84%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-18.18%
Min Revenue beat(2)-27.11%
Max Revenue beat(2)-9.25%
Revenue beat(4)0
Avg Revenue beat(4)-10.05%
Min Revenue beat(4)-27.11%
Max Revenue beat(4)-0.44%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.85%
PT rev (3m)-6.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-106.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-86.92%
Revenue NQ rev (1m)-0.29%
Revenue NQ rev (3m)20.32%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 14.19 | ||
| P/S | 0.6 | ||
| P/FCF | 15.66 | ||
| P/OCF | 2.76 | ||
| P/B | 0.61 | ||
| P/tB | 0.62 | ||
| EV/EBITDA | 6.45 |
EPS(TTM)0.45
EY5.41%
EPS(NY)0.59
Fwd EY7.05%
FCF(TTM)0.53
FCFY6.38%
OCF(TTM)3.02
OCFY36.28%
SpS13.83
BVpS13.71
TBVpS13.35
PEG (NY)N/A
PEG (5Y)N/A
Graham Number11.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 1.71% | ||
| ROCE | 0.18% | ||
| ROIC | 0.13% | ||
| ROICexc | 0.15% | ||
| ROICexgc | 0.15% | ||
| OM | 0.41% | ||
| PM (TTM) | 1.69% | ||
| GM | 17.72% | ||
| FCFM | 3.84% |
ROA(3y)4.53%
ROA(5y)3.73%
ROE(3y)11.58%
ROE(5y)9.54%
ROIC(3y)2.02%
ROIC(5y)2.16%
ROICexc(3y)2.33%
ROICexc(5y)2.54%
ROICexgc(3y)2.36%
ROICexgc(5y)2.57%
ROCE(3y)2.73%
ROCE(5y)2.93%
ROICexgc growth 3Y-15.11%
ROICexgc growth 5Y-3.51%
ROICexc growth 3Y-15.02%
ROICexc growth 5Y-3.43%
OM growth 3Y-13.04%
OM growth 5Y-6.66%
PM growth 3Y-19.23%
PM growth 5YN/A
GM growth 3Y-5.34%
GM growth 5Y-4.39%
F-Score5
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 30.19 | ||
| Debt/EBITDA | 4.91 | ||
| Cap/Depr | 90.92% | ||
| Cap/Sales | 17.98% | ||
| Interest Coverage | 0.11 | ||
| Cash Conversion | 108.11% | ||
| Profit Quality | 227.19% | ||
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.56 | ||
| Altman-Z | 1.17 |
F-Score5
WACC3.98%
ROIC/WACC0.03
Cap/Depr(3y)88.64%
Cap/Depr(5y)92.09%
Cap/Sales(3y)17.92%
Cap/Sales(5y)18.87%
Profit Quality(3y)94.78%
Profit Quality(5y)4082.63%
High Growth Momentum
Growth
EPS 1Y (TTM)-84.64%
EPS 3Y-7.45%
EPS 5YN/A
EPS Q2Q%-7.14%
EPS Next Y-92.22%
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.49%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-35.48%
Revenue Next Year-5.12%
Revenue Next 2Y-3.56%
Revenue Next 3Y-2.74%
Revenue Next 5YN/A
EBIT growth 1Y-92.34%
EBIT growth 3Y-4.1%
EBIT growth 5Y3.51%
EBIT Next Year32.03%
EBIT Next 3Y18.15%
EBIT Next 5YN/A
FCF growth 1Y-79.36%
FCF growth 3Y-21.76%
FCF growth 5Y2.99%
OCF growth 1Y-38.46%
OCF growth 3Y-1.99%
OCF growth 5Y0.38%
ADECOAGRO SA / AGRO FAQ
What is the fundamental rating for AGRO stock?
ChartMill assigns a fundamental rating of 3 / 10 to AGRO.
What is the valuation status for AGRO stock?
ChartMill assigns a valuation rating of 4 / 10 to ADECOAGRO SA (AGRO). This can be considered as Fairly Valued.
Can you provide the profitability details for ADECOAGRO SA?
ADECOAGRO SA (AGRO) has a profitability rating of 3 / 10.
What is the valuation of ADECOAGRO SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ADECOAGRO SA (AGRO) is 18.49 and the Price/Book (PB) ratio is 0.61.
Can you provide the dividend sustainability for AGRO stock?
The dividend rating of ADECOAGRO SA (AGRO) is 4 / 10 and the dividend payout ratio is 149.55%.