ADECOAGRO SA (AGRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AGRO - LU0584671464 - Common Stock
7.91 USD
+0.21 (+2.73%)
8.1 USD
+0.19 (+2.4%)
Taking everything into account, AGRO scores 3 out of 10 in our fundamental rating. AGRO was compared to 87 industry peers in the Food Products industry. AGRO scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 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.
Each year in the past 5 years AGRO has been profitable.
AGRO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AGRO has a Return On Assets (0.64%) which is in line with its industry peers.
AGRO has a Return On Equity of 1.71%. This is comparable to the rest of the industry: AGRO outperforms 45.98% of its industry peers.
AGRO has a worse Return On Invested Capital (0.13%) than 63.22% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AGRO is significantly below the industry average of 28.02%.
| 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
With a Profit Margin value of 1.69%, AGRO perfoms like the industry average, outperforming 54.02% of the companies in the same industry.
In the last couple of years the Profit Margin of AGRO has declined.
AGRO has a Operating Margin (0.41%) which is in line with its industry peers.
In the last couple of years the Operating Margin of AGRO has declined.
AGRO has a Gross Margin (17.72%) which is in line with its industry peers.
In the last couple of years the Gross Margin of AGRO has declined.
| 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.
Compared to 1 year ago, AGRO has less shares outstanding
The number of shares outstanding for AGRO has been reduced compared to 5 years ago.
AGRO has a better debt/assets ratio than last year.
2.2 Solvency
AGRO has an Altman-Z score of 1.15. This is a bad value and indicates that AGRO is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.15, AGRO is doing worse than 67.82% of the companies in the same industry.
The Debt to FCF ratio of AGRO is 30.19, which is on the high side as it means it would take AGRO, 30.19 years of fcf income to pay off all of its debts.
AGRO has a Debt to FCF ratio (30.19) which 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.
With a Debt to Equity ratio value of 1.00, AGRO is not doing good in the industry: 70.11% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 30.19 | ||
| Altman-Z | 1.15 |
ROIC/WACC0.03
WACC3.93%
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 82.76% of its industry peers.
A Quick Ratio of 1.56 indicates that AGRO should not have too much problems paying its short term obligations.
AGRO's Quick ratio of 1.56 is fine compared to the rest of the industry. AGRO outperforms 78.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.56 |
3. Growth
3.1 Past
The earnings per share for AGRO have decreased strongly by -84.64% in the last year.
The Earnings Per Share has been decreasing by -7.45% on average over the past years.
The Revenue has decreased by -0.49% in the past year.
AGRO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.89% yearly.
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 decrease in Earnings Per Share. The EPS will decrease by -0.85% on average per year.
The Revenue is expected to decrease by -4.01% on average over the next years.
EPS Next Y-89.93%
EPS Next 2Y-16.05%
EPS Next 3Y-0.85%
EPS Next 5YN/A
Revenue Next Year-13.87%
Revenue Next 2Y-5.63%
Revenue Next 3Y-4.01%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
Based on the Price/Earnings ratio of 17.58, the valuation of AGRO can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of AGRO is on the same level as its industry peers.
AGRO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.00.
AGRO is valuated reasonably with a Price/Forward Earnings ratio of 10.07.
Based on the Price/Forward Earnings ratio, AGRO is valued cheaper than 88.51% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AGRO to the average of the S&P500 Index (23.70), we can say AGRO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.58 | ||
| Fwd PE | 10.07 |
4.2 Price Multiples
AGRO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AGRO is cheaper than 81.61% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AGRO indicates a somewhat cheap valuation: AGRO is cheaper than 71.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.89 | ||
| EV/EBITDA | 6.27 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-16.05%
EPS Next 3Y-0.85%
5. Dividend
5.1 Amount
AGRO has a Yearly Dividend Yield of 4.41%, which is a nice return.
Compared to an average industry Dividend Yield of 2.40, AGRO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, AGRO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.41% |
5.2 History
AGRO has been paying a dividend for less than 5 years, so it still needs to build a track record.
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-16.05%
EPS Next 3Y-0.85%
7.91
+0.21 (+2.73%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners12.62%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap791.71M
Revenue(TTM)1.38B
Net Income(TTM)23.40M
Analysts48
Price Target10.2 (28.95%)
Short Float %6.71%
Short Ratio2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.41% |
Yearly Dividend0.34
Dividend Growth(5Y)N/A
DP149.55%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
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)-6.54%
PT rev (3m)-9.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)29.41%
EPS NY rev (3m)29.41%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.29%
Revenue NY rev (1m)-9.22%
Revenue NY rev (3m)-5.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.58 | ||
| Fwd PE | 10.07 | ||
| P/S | 0.57 | ||
| P/FCF | 14.89 | ||
| P/OCF | 2.62 | ||
| P/B | 0.58 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 6.27 |
EPS(TTM)0.45
EY5.69%
EPS(NY)0.79
Fwd EY9.93%
FCF(TTM)0.53
FCFY6.72%
OCF(TTM)3.02
OCFY38.16%
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 | 1.15 |
F-Score5
WACC3.93%
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-89.93%
EPS Next 2Y-16.05%
EPS Next 3Y-0.85%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.49%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-35.48%
Revenue Next Year-13.87%
Revenue Next 2Y-5.63%
Revenue Next 3Y-4.01%
Revenue Next 5YN/A
EBIT growth 1Y-92.34%
EBIT growth 3Y-4.1%
EBIT growth 5Y3.51%
EBIT Next Year30%
EBIT Next 3Y16.93%
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.
Can you provide the valuation status for ADECOAGRO SA?
ChartMill assigns a valuation rating of 5 / 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 expected EPS growth for ADECOAGRO SA (AGRO) stock?
The Earnings per Share (EPS) of ADECOAGRO SA (AGRO) is expected to decline by -89.93% in the next year.
How sustainable is the dividend of ADECOAGRO SA (AGRO) stock?
The dividend rating of ADECOAGRO SA (AGRO) is 4 / 10 and the dividend payout ratio is 149.55%.