ADECOAGRO SA (AGRO) Stock Fundamental Analysis
USA - NYSE:AGRO - LU0584671464 - Common Stock
7.81 USD
-0.06 (-0.76%)
7.81 USD
0 (0%)
AGRO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 87 industry peers in the Food Products industry. There are concerns on the financial health of AGRO while its profitability can be described as average. 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.
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's Return On Assets of 1.10% is in line compared to the rest of the industry. AGRO outperforms 43.68% of its industry peers.
With a Return On Equity value of 2.62%, AGRO perfoms like the industry average, outperforming 43.68% of the companies in the same industry.
The Return On Invested Capital of AGRO (0.90%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for AGRO is significantly below the industry average of 28.34%.
| 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
With a Profit Margin value of 2.33%, AGRO perfoms like the industry average, outperforming 56.32% of the companies in the same industry.
AGRO's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 2.16%, AGRO perfoms like the industry average, outperforming 44.83% of the companies in the same industry.
In the last couple of years the Operating Margin of AGRO has declined.
AGRO has a Gross Margin (18.66%) which 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 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
The debt/assets ratio for AGRO has been reduced compared to a year ago.
2.2 Solvency
AGRO has an Altman-Z score of 1.23. 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 1.23, AGRO is doing worse than 66.67% of the companies in the same industry.
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.
A Debt/Equity ratio of 0.73 indicates that AGRO is somewhat dependend on debt financing.
AGRO has a Debt to Equity ratio of 0.73. This is comparable to the rest of the industry: AGRO outperforms 41.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 16.91 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.23
WACC3.9%
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 60.92% of the companies in the same industry.
AGRO has a Quick Ratio of 1.90. This is a bad value and indicates that AGRO is not financially healthy enough and could expect problems in meeting its short term obligations.
AGRO has a Quick ratio (0.95) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
AGRO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -82.43%.
The Earnings Per Share has been decreasing by -7.45% on average over the past years.
AGRO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.51%.
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)-82.43%
EPS 3Y-7.45%
EPS 5YN/A
EPS Q2Q%-289.25%
Revenue 1Y (TTM)17.51%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-6.09%
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-9.19%
Revenue Next 2Y-5.07%
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.
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 16.62, which indicates a correct valuation of AGRO.
Based on the Price/Earnings ratio, AGRO is valued a bit cheaper than 63.22% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.91. AGRO is valued slightly cheaper when compared to this.
AGRO is valuated correctly with a Price/Forward Earnings ratio of 13.32.
AGRO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AGRO is cheaper than 73.56% of the companies in the same industry.
AGRO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.62 | ||
| Fwd PE | 13.32 |
4.2 Price Multiples
81.61% of the companies in the same industry are more expensive than AGRO, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, AGRO is valued cheaply inside the industry as 81.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.42 | ||
| EV/EBITDA | 5.82 |
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
AGRO has a Yearly Dividend Yield of 4.35%, which is a nice return.
AGRO's Dividend Yield is rather good when compared to the industry average which is at 5.10. AGRO pays more dividend than 80.46% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, AGRO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.35% |
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
AGRO pays out 97.37% of its income as dividend. This is not a sustainable payout ratio.
DP97.37%
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
7.81
-0.06 (-0.76%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners23.48%
Inst Owner Change0.06%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap781.55M
Revenue(TTM)1.54B
Net Income(TTM)35.95M
Analysts48
Price Target11.28 (44.43%)
Short Float %5.43%
Short Ratio2.71
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)0%
PT rev (3m)-2.81%
EPS NQ rev (1m)-81.82%
EPS NQ rev (3m)-81.82%
EPS NY rev (1m)-86.92%
EPS NY rev (3m)-86.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.71%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)-5.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.62 | ||
| Fwd PE | 13.32 | ||
| P/S | 0.51 | ||
| P/FCF | 10.42 | ||
| P/OCF | 2.42 | ||
| P/B | 0.57 | ||
| P/tB | 0.59 | ||
| EV/EBITDA | 5.82 |
EPS(TTM)0.47
EY6.02%
EPS(NY)0.59
Fwd EY7.51%
FCF(TTM)0.75
FCFY9.6%
OCF(TTM)3.23
OCFY41.4%
SpS15.4
BVpS13.71
TBVpS13.33
PEG (NY)N/A
PEG (5Y)N/A
Graham Number12.04
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 | 1.23 |
F-Score6
WACC3.9%
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)-82.43%
EPS 3Y-7.45%
EPS 5YN/A
EPS Q2Q%-289.25%
EPS Next Y-92.22%
EPS Next 2Y-27.45%
EPS Next 3Y-12.58%
EPS Next 5YN/A
Revenue 1Y (TTM)17.51%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-6.09%
Revenue Next Year-9.19%
Revenue Next 2Y-5.07%
Revenue Next 3Y-2.74%
Revenue Next 5YN/A
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 3 / 10 to AGRO.
What is the valuation status for AGRO stock?
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 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 16.62 and the Price/Book (PB) ratio is 0.57.
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%.