ADECOAGRO SA (AGRO) Stock Fundamental Analysis
NYSE:AGRO - LU0584671464 - Common Stock
8.42 USD
-0.01 (-0.12%)
8.4 USD
-0.02 (-0.24%)
Overall AGRO gets a fundamental rating of 4 out of 10. We evaluated AGRO against 90 industry peers in the Food Products industry. AGRO has a medium profitability rating, but doesn't score so well on its financial health evaluation. 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.
In the past year AGRO had a positive cash flow from operations.
In the past 5 years AGRO has always 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 43.33% of its industry peers.
AGRO has a Return On Equity (2.62%) which is in line with its industry peers.
AGRO has a Return On Invested Capital of 0.90%. This is comparable to the rest of the industry: AGRO outperforms 43.33% of its industry peers.
AGRO had an Average Return On Invested Capital over the past 3 years of 2.02%. This is significantly below the industry average of 27.81%.
| 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 55.56% 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 (2.16%) which is comparable to the rest of the industry.
AGRO's Operating Margin has declined in the last couple of years.
AGRO has a Gross Margin (18.66%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of AGRO has declined.
| 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.
AGRO has less shares outstanding than it did 5 years ago.
AGRO has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.25, we must say that AGRO is in the distress zone and has some risk of bankruptcy.
AGRO has a Altman-Z score of 1.25. This is in the lower half of the industry: AGRO underperforms 66.67% of its industry peers.
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.
AGRO has a Debt to FCF ratio (16.91) which is in line with its industry peers.
AGRO has a Debt/Equity ratio of 0.73. This is a neutral value indicating AGRO is somewhat dependend on debt financing.
AGRO has a Debt to Equity ratio (0.73) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 16.91 | ||
| Altman-Z | 1.25 |
ROIC/WACC0.23
WACC3.99%
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.
AGRO's Current ratio of 1.90 is in line compared to the rest of the industry. AGRO outperforms 60.00% of its industry peers.
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 in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
The earnings per share for AGRO have decreased strongly by -82.43% in the last year.
Measured over the past years, AGRO shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.45% on average per year.
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
AGRO is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.94% yearly.
Based on estimates for the next years, AGRO will show a decrease in Revenue. The Revenue will decrease by -2.19% on average per year.
EPS Next Y-40.5%
EPS Next 2Y-16.87%
EPS Next 3Y-8.94%
EPS Next 5YN/A
Revenue Next Year-5.81%
Revenue Next 2Y-2.37%
Revenue Next 3Y-2.19%
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
With a Price/Earnings ratio of 17.91, AGRO is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of AGRO indicates a somewhat cheap valuation: AGRO is cheaper than 62.22% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.14. AGRO is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 10.93, which indicates a very decent valuation of AGRO.
83.33% of the companies in the same industry are more expensive than AGRO, based on the Price/Forward Earnings ratio.
AGRO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.91 | ||
| Fwd PE | 10.93 |
4.2 Price Multiples
AGRO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AGRO is cheaper than 83.33% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AGRO is valued cheaply inside the industry as 81.11% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.22 | ||
| EV/EBITDA | 6 |
4.3 Compensation for Growth
A cheap valuation may be justified as AGRO's earnings are expected to decrease with -8.94% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-16.87%
EPS Next 3Y-8.94%
5. Dividend
5.1 Amount
AGRO has a Yearly Dividend Yield of 3.98%.
Compared to an average industry Dividend Yield of 4.61, AGRO pays a better dividend. On top of this AGRO pays more dividend than 82.22% 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 | 3.98% |
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
97.37% of the earnings are spent on dividend by AGRO. This is not a sustainable payout ratio.
DP97.37%
EPS Next 2Y-16.87%
EPS Next 3Y-8.94%
8.42
-0.01 (-0.12%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners37.3%
Inst Owner Change-64.89%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap841.92M
Analysts48
Price Target11.57 (37.41%)
Short Float %2.35%
Short Ratio1.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.98% |
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)-0.35%
PT rev (3m)-6.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)32%
EPS NY rev (1m)2.36%
EPS NY rev (3m)-15.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.21%
Revenue NY rev (1m)-2.33%
Revenue NY rev (3m)-1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.91 | ||
| Fwd PE | 10.93 | ||
| P/S | 0.55 | ||
| P/FCF | 11.22 | ||
| P/OCF | 2.6 | ||
| P/B | 0.61 | ||
| P/tB | 0.63 | ||
| EV/EBITDA | 6 |
EPS(TTM)0.47
EY5.58%
EPS(NY)0.77
Fwd EY9.15%
FCF(TTM)0.75
FCFY8.91%
OCF(TTM)3.24
OCFY38.43%
SpS15.41
BVpS13.72
TBVpS13.34
PEG (NY)N/A
PEG (5Y)N/A
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%
ROICexcg growth 3Y-15.11%
ROICexcg 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 | 1.25 |
F-Score6
WACC3.99%
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-40.5%
EPS Next 2Y-16.87%
EPS Next 3Y-8.94%
EPS Next 5YN/A
Revenue 1Y (TTM)17.51%
Revenue growth 3Y10.27%
Revenue growth 5Y10.89%
Sales Q2Q%-6.09%
Revenue Next Year-5.81%
Revenue Next 2Y-2.37%
Revenue Next 3Y-2.19%
Revenue Next 5YN/A
EBIT growth 1Y-57.71%
EBIT growth 3Y-4.1%
EBIT growth 5Y3.51%
EBIT Next Year64.59%
EBIT Next 3Y21.12%
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%