ADECOAGRO SA (AGRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AGRO - LU0584671464 - Common Stock
8.13 USD
+0.08 (+0.99%)
8.67 USD
+0.54 (+6.64%)
We assign a fundamental rating of 4 out of 10 to AGRO. AGRO was compared to 87 industry peers in the Food Products industry. While AGRO is still in line with the averages on profitability rating, there are concerns on its financial health. AGRO has a valuation in line with the averages, but on the other hand it scores bad on growth.
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.
AGRO had positive earnings in each of the past 5 years.
Each year in the past 5 years AGRO had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.10%, AGRO is in line with its industry, outperforming 44.83% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.62%, AGRO is in line with its industry, outperforming 44.83% of the companies in the same industry.
The Return On Invested Capital of AGRO (0.90%) is comparable to the rest of the industry.
AGRO had an Average Return On Invested Capital over the past 3 years of 2.02%. This is significantly below the industry average of 28.38%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 2.62% | ||
| ROIC | 0.9% |
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 has a Profit Margin of 2.33%. This is comparable to the rest of the industry: AGRO outperforms 58.62% of its industry peers.
AGRO's Profit Margin has declined in the last couple of years.
AGRO has a Operating Margin of 2.16%. This is comparable to the rest of the industry: AGRO outperforms 45.98% of its industry peers.
AGRO's Operating Margin has declined in the last couple of years.
The Gross Margin of AGRO (18.66%) is comparable to the rest of the industry.
AGRO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.16% | ||
| PM (TTM) | 2.33% | ||
| GM | 18.66% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AGRO is destroying value.
The number of shares outstanding for AGRO has been reduced compared to 1 year ago.
Compared to 5 years ago, AGRO has less shares outstanding
Compared to 1 year ago, AGRO has an improved debt to assets ratio.
2.2 Solvency
AGRO has an Altman-Z score of 1.24. This is a bad value and indicates that AGRO is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.24, AGRO is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
AGRO has a debt to FCF ratio of 16.91. This is a negative value and a sign of low solvency as AGRO would need 16.91 years to pay back of all of its debts.
With a Debt to FCF ratio value of 16.91, AGRO perfoms like the industry average, outperforming 54.02% of the companies in the same industry.
AGRO has a Debt/Equity ratio of 0.73. This is a neutral value indicating AGRO is somewhat dependend on debt financing.
AGRO's Debt to Equity ratio of 0.73 is on the low side compared to the rest of the industry. AGRO is outperformed by 60.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 16.91 | ||
| Altman-Z | 1.24 |
ROIC/WACC0.23
WACC3.95%
2.3 Liquidity
AGRO has a Current Ratio of 1.90. This is a normal value and indicates that AGRO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.90, AGRO is in the better half of the industry, outperforming 63.22% of the companies in the same industry.
A Quick Ratio of 0.95 indicates that AGRO may have some problems paying its short term obligations.
AGRO's Quick ratio of 0.95 is fine compared to the rest of the industry. AGRO outperforms 60.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 114.82% over the past year.
The Revenue has decreased by -1.86% in the past year.
Measured over the past years, AGRO shows a quite strong growth in Revenue. The Revenue has been growing by 10.42% on average per year.
EPS 1Y (TTM)114.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-7.14%
Revenue 1Y (TTM)-1.86%
Revenue growth 3Y16.4%
Revenue growth 5Y10.42%
Sales Q2Q%-35.48%
3.2 Future
The Earnings Per Share is expected to decrease by -12.67% on average over the next years. This is quite bad
AGRO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.12% yearly.
EPS Next Y-12.94%
EPS Next 2Y-73.97%
EPS Next 3Y-22.91%
EPS Next 5Y-12.67%
Revenue Next Year13.64%
Revenue Next 2Y3.83%
Revenue Next 3Y2.76%
Revenue Next 5Y1.12%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.07, which indicates a rather expensive current valuation of AGRO.
The rest of the industry has a similar Price/Earnings ratio as AGRO.
AGRO is valuated rather cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
AGRO is valuated quite expensively with a Price/Forward Earnings ratio of 93.77.
AGRO's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.59. AGRO is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.07 | ||
| Fwd PE | 93.77 |
4.2 Price Multiples
AGRO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AGRO is cheaper than 85.06% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AGRO is valued cheaply inside the industry as 86.21% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.84 | ||
| EV/EBITDA | 5.88 |
4.3 Compensation for Growth
A cheap valuation may be justified as AGRO's earnings are expected to decrease with -22.91% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-73.97%
EPS Next 3Y-22.91%
5. Dividend
5.1 Amount
AGRO has a Yearly Dividend Yield of 4.35%, which is a nice return.
Compared to an average industry Dividend Yield of 5.12, AGRO pays a better dividend. On top of this AGRO pays more dividend than 80.46% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, AGRO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.35% |
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
AGRO pays out 97.37% of its income as dividend. This is not a sustainable payout ratio.
DP97.37%
EPS Next 2Y-73.97%
EPS Next 3Y-22.91%
8.13
+0.08 (+0.99%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners23.48%
Inst Owner Change-29.18%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap813.73M
Revenue(TTM)1.30B
Net Income(TTM)35.95M
Analysts48
Price Target10.91 (34.19%)
Short Float %5.19%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.35% |
Yearly Dividend0.34
Dividend Growth(5Y)N/A
DP97.37%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-97.2%
Min EPS beat(2)-152.79%
Max EPS beat(2)-41.61%
EPS beat(4)0
Avg EPS beat(4)-64.14%
Min EPS beat(4)-152.79%
Max EPS beat(4)-1.96%
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)-6.33%
Min Revenue beat(2)-9.25%
Max Revenue beat(2)-3.41%
Revenue beat(4)0
Avg Revenue beat(4)-3.4%
Min Revenue beat(4)-9.25%
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)-3.25%
PT rev (3m)-5.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-81.82%
EPS NY rev (1m)0%
EPS NY rev (3m)-86.92%
Revenue NQ rev (1m)-7.92%
Revenue NQ rev (3m)-15.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.07 | ||
| Fwd PE | 93.77 | ||
| P/S | 0.53 | ||
| P/FCF | 10.84 | ||
| P/OCF | 2.51 | ||
| P/B | 0.59 | ||
| P/tB | 0.61 | ||
| EV/EBITDA | 5.88 |
EPS(TTM)0.45
EY5.54%
EPS(NY)0.09
Fwd EY1.07%
FCF(TTM)0.75
FCFY9.22%
OCF(TTM)3.23
OCFY39.77%
SpS15.4
BVpS13.71
TBVpS13.33
PEG (NY)N/A
PEG (5Y)N/A
Graham Number11.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 2.62% | ||
| ROCE | 1.21% | ||
| ROIC | 0.9% | ||
| ROICexc | 0.96% | ||
| ROICexgc | 0.98% | ||
| OM | 2.16% | ||
| PM (TTM) | 2.33% | ||
| GM | 18.66% | ||
| FCFM | 4.87% |
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-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 16.91 | ||
| Debt/EBITDA | 3.27 | ||
| Cap/Depr | 91.38% | ||
| Cap/Sales | 16.13% | ||
| Interest Coverage | 0.77 | ||
| Cash Conversion | 106.01% | ||
| Profit Quality | 208.74% | ||
| Current Ratio | 1.9 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 1.24 |
F-Score6
WACC3.95%
ROIC/WACC0.23
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)114.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-7.14%
EPS Next Y-12.94%
EPS Next 2Y-73.97%
EPS Next 3Y-22.91%
EPS Next 5Y-12.67%
Revenue 1Y (TTM)-1.86%
Revenue growth 3Y16.4%
Revenue growth 5Y10.42%
Sales Q2Q%-35.48%
Revenue Next Year13.64%
Revenue Next 2Y3.83%
Revenue Next 3Y2.76%
Revenue Next 5Y1.12%
EBIT growth 1Y-57.71%
EBIT growth 3Y-4.1%
EBIT growth 5Y3.51%
EBIT Next Year35.2%
EBIT Next 3Y20.59%
EBIT Next 5YN/A
FCF growth 1Y-40.96%
FCF growth 3Y-21.76%
FCF growth 5Y2.99%
OCF growth 1Y-10.49%
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 4 / 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 4 / 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 18.07 and the Price/Book (PB) ratio is 0.59.
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 97.37%.