ADECOAGRO SA (AGRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AGRO - LU0584671464 - Common Stock
7.99 USD
+0.05 (+0.63%)
7.99 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to AGRO. AGRO was compared to 87 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
In the past year AGRO was profitable.
In the past year AGRO had a positive cash flow from operations.
AGRO had positive earnings in each of the past 5 years.
In the past 5 years AGRO always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 0.64%, AGRO perfoms like the industry average, outperforming 47.13% of the companies in the same industry.
AGRO's Return On Equity of 1.71% is in line compared to the rest of the industry. AGRO outperforms 47.13% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.13%, AGRO is doing worse than 62.07% 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 28.50%.
| 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
The Profit Margin of AGRO (1.69%) is comparable to the rest of the 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's Gross Margin of 17.72% is in line compared to the rest of the industry. AGRO outperforms 48.28% of its industry peers.
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.
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
AGRO has a better debt/assets ratio than last year.
2.2 Solvency
AGRO has an Altman-Z score of 1.16. This is a bad value and indicates that AGRO is not financially healthy and even has some risk of bankruptcy.
AGRO has a Altman-Z score of 1.16. This is in the lower half of the industry: AGRO underperforms 67.82% 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.
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.
AGRO has a worse Debt to Equity ratio (1.00) than 72.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 30.19 | ||
| Altman-Z | 1.16 |
ROIC/WACC0.03
WACC3.95%
2.3 Liquidity
A Current Ratio of 2.80 indicates that AGRO has no problem at all paying its short term obligations.
The Current ratio of AGRO (2.80) is better than 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.
The Quick ratio of AGRO (1.56) is better than 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.
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 decrease in Earnings Per Share. The EPS will decrease by -0.85% on average per year.
AGRO is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.01% yearly.
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
The EPS growth rate is accelerating: in the next years the growth will be better 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
Based on the Price/Earnings ratio of 17.76, the valuation of AGRO can be described as rather expensive.
AGRO's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of AGRO to the average of the S&P500 Index (26.92), we can say AGRO is valued slightly cheaper.
AGRO is valuated reasonably with a Price/Forward Earnings ratio of 10.17.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AGRO indicates a rather cheap valuation: AGRO is cheaper than 86.21% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.46. AGRO is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 10.17 |
4.2 Price Multiples
AGRO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AGRO is cheaper than 82.76% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AGRO is valued a bit cheaper than the industry average as 71.26% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.04 | ||
| EV/EBITDA | 6.37 |
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.
AGRO's Dividend Yield is a higher than the industry average which is at 2.42.
AGRO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| 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%
7.99
+0.05 (+0.63%)
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 Cap799.72M
Revenue(TTM)1.38B
Net Income(TTM)23.40M
Analysts48
Price Target10.2 (27.66%)
Short Float %5.17%
Short Ratio1.79
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-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)-6.54%
PT rev (3m)-9.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-106.67%
EPS NY rev (1m)29.41%
EPS NY rev (3m)29.41%
Revenue NQ rev (1m)-0.29%
Revenue NQ rev (3m)-0.29%
Revenue NY rev (1m)-9.22%
Revenue NY rev (3m)-4.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.76 | ||
| Fwd PE | 10.17 | ||
| P/S | 0.58 | ||
| P/FCF | 15.04 | ||
| P/OCF | 2.65 | ||
| P/B | 0.58 | ||
| P/tB | 0.6 | ||
| EV/EBITDA | 6.37 |
EPS(TTM)0.45
EY5.63%
EPS(NY)0.79
Fwd EY9.83%
FCF(TTM)0.53
FCFY6.65%
OCF(TTM)3.02
OCFY37.78%
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 | 1.16 |
F-Score5
WACC3.95%
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.
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 17.76 and the Price/Book (PB) ratio is 0.58.
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%.