Adecoagro S.a Intrinsic Value Calculator – Adecoagro S.A. Set to See Strong Growth in 2024
December 29, 2023
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Adecoagro ($NYSE:AGRO) S.A. is a publicly listed agricultural company with operations across multiple countries in South America. It is one of the largest agricultural and food companies in the region and its core business is focused on crop and dairy farming, sugar, ethanol and energy production, as well as land expansion. With a long-term focus on sustainability and responsible agricultural practices, the company has experienced rapid growth over the years and is now well-positioned to capitalize on its position as a major player in the industry. In particular, Adecoagro’s focus on renewable energy production will pay dividends in the future, as rising prices for fossil fuels will cause companies to diversify their energy sources. The company also has a large presence in Brazil, Argentina and Uruguay, which are major agricultural producers in the region, further positioning the stock for strong growth in the coming years.
Lastly, with Adecoagro continuing to expand its operations to other countries in the region, they are increasingly able to capitalize on regional trends in production and consumption of agricultural goods. Overall, Adecoagro S.A‘s stock has the potential to perform strongly in 2024. With their sustainable practices, diverse operations across multiple countries, and focus on renewable energy production, the company is well-positioned to capitalize on industry trends in the coming years. As more investors begin to recognize the potential of the stock, it will continue to grow and be an attractive investment opportunity for years to come.
Stock Price
On Thursday, ADECOAGRO S.A stock opened at $11.2 and closed at $11.1, down by 0.5% from last closing price of 11.1. Despite the minor decline, analysts remain optimistic that the company is set to experience robust growth in 2024. ADECOAGRO S.A is known for its commitment to sustainability and its success in the sugar, ethanol and energy markets, which are set to experience rising demand in the coming years.
The company’s reputation as a trusted provider of environmentally-friendly products and services has enabled it to remain competitive in the market despite challenging economic conditions. With strategic investments in production facilities and an experienced managerial team, ADECOAGRO S.A stands well-positioned to benefit from the upcoming growth in the industry. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Adecoagro S.a. More…
| Total Revenues | Net Income | Net Margin |
| 1.41k | 146.99 | 11.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Adecoagro S.a. More…
| Operations | Investing | Financing |
| 491.05 | -69.22 | -129.57 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Adecoagro S.a. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 3.36k | 2.06k | 11.83 |
Key Ratios Snapshot
Some of the financial key ratios for Adecoagro S.a are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 18.1% | 19.5% | 20.7% |
| FCF Margin | ROE | ROA |
| 18.3% | 14.7% | 5.4% |
Analysis – Adecoagro S.a Intrinsic Value Calculator
GoodWhale has conducted an analysis of ADECOAGRO S.A.’s fundamentals and determined a fair value of the stock around $11.4. We use our proprietary Valuation Line to arrive at this price, which shows the share to be undervalued by 3.0%. Currently, ADECOAGRO S.A. is trading at $11.1, so investors may benefit from buying at this price. More…
Peers
The company faces competition from ASTARTA Holding NV, PT Aman Agrindo Tbk, and Magadh Sugar & Energy ltd, all of which are engaged in similar agricultural activities. With a presence in Brazil, Argentina, Uruguay, Paraguay and other countries, Adecoagro SA has managed to remain competitive in a highly dynamic sector.
– ASTARTA Holding NV ($LTS:0O0C)
ASTARTA Holding NV is an agricultural holding company based in Ukraine. It operates in the agribusiness sector, processing and selling agricultural products produced by its subsidiaries. As of 2022, the company has a market capitalization of 495.91M, making it one of the largest agricultural companies in Ukraine. Its Return on Equity (ROE) of 14.43% indicates that the company is generating returns that are higher than its cost of capital. This suggests that ASTARTA Holding NV is creating value for its shareholders.
– PT Aman Agrindo Tbk ($IDX:GULA)
Magadh Sugar & Energy Ltd is an Indian-based sugar, ethanol, and power generation company. It operates nine sugar mills in the state of Bihar, and has a total sugarcane crushing capacity of over 11,500 tons per day. The company also produces ethanol from molasses and has an installed capacity of 6.2 MW of power generation from bagasse. As of 2022, Magadh Sugar & Energy Ltd has a market capitalization of 4.44 billion and a return on equity of 10.61%. This data indicates that the company is performing well financially and has a strong presence in its industry. Its ability to produce sugar, ethanol, and power from its sugar mills makes it a unique player within its sector.
Summary
Adecoagro S.A. is an attractive investment opportunity due to its strong growth potential. The company is well-positioned to benefit from its presence in multiple markets, including agriculture, land development, sugar and ethanol production, and dairy operations.
In addition, the company has undertaken several strategic initiatives and acquisitions to further grow its presence across South America. Adecoagro has also made investments in technology and equipment upgrades to improve efficiency and gain competitive advantages in the markets it operates in. As a result, the company is expected to experience significant growth over the coming years. With these factors in mind, investors can expect Adecoagro stock to be a promising long-term investment.
