Adecoagro (NYSE:AGRO) Hits New 1-Year Low - What's Next?

Key Points

• Adecoagro's stock reached a new 52-week low of $8.15, closing last at $8.38, which is a 9% decline from previous levels.
• Multiple analysts have downgraded Adecoagro's rating, with consensus now at "Sell" and an average price target reduced to $10.07.
• Despite missing earnings estimates, hedge funds have increased their stakes in Adecoagro, with notable increases from Lazard Asset Management and HRT Financial.

Adecoagro S.A. (NYSE:AGRO - Get Free Report) shares reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $8.15 and last traded at $8.38, with a volume of 1986595 shares trading hands. The stock had previously closed at $9.20.

Wall Street Analysts Forecast Growth

AGRO has been the topic of several analyst reports. UBS Group cut their target price on Adecoagro from $10.50 to $9.90 and set a "neutral" rating on the stock in a research note on Tuesday, April 29th. Wall Street Zen lowered Adecoagro from a "hold" rating to a "sell" rating in a research note on Friday. Finally, Morgan Stanley cut their target price on Adecoagro from $10.00 to $9.50 and set an "underweight" rating on the stock in a research note on Wednesday, July 16th. One equities research analyst has rated the stock with a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Adecoagro presently has a consensus rating of "Sell" and an average target price of $10.07.

Adecoagro Price Performance

The stock has a 50 day moving average price of $9.22 and a two-hundred day moving average price of $9.85. The firm has a market cap of $868.44 million, a PE ratio of 24.81 and a beta of 0.72. The company has a quick ratio of 0.95, a current ratio of 1.90 and a debt-to-equity ratio of 0.48.

Adecoagro (NYSE:AGRO - Get Free Report) last issued its earnings results on Monday, August 18th. The company reported ($0.14) EPS for the quarter, missing analysts' consensus estimates of $0.26 by ($0.40). The firm had revenue of $405.66 million during the quarter, compared to analysts' expectations of $402.00 million. Adecoagro had a net margin of 2.30% and a return on equity of 3.24%. As a group, equities analysts expect that Adecoagro S.A. will post 1.24 earnings per share for the current year.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in AGRO. NBC Securities Inc. raised its stake in Adecoagro by 143,775.0% in the 1st quarter. NBC Securities Inc. now owns 5,755 shares of the company's stock valued at $64,000 after purchasing an additional 5,751 shares during the last quarter. Lazard Asset Management LLC increased its stake in shares of Adecoagro by 26.3% in the 4th quarter. Lazard Asset Management LLC now owns 13,406 shares of the company's stock worth $126,000 after acquiring an additional 2,794 shares during the last quarter. State of Wyoming acquired a new stake in shares of Adecoagro in the 1st quarter worth $133,000. Vise Technologies Inc. acquired a new stake in shares of Adecoagro in the 4th quarter worth $153,000. Finally, R Squared Ltd increased its stake in shares of Adecoagro by 103.0% in the 1st quarter. R Squared Ltd now owns 15,128 shares of the company's stock worth $169,000 after acquiring an additional 7,676 shares during the last quarter. 45.25% of the stock is owned by institutional investors and hedge funds.

About Adecoagro

Adecoagro SA operates as an agro-industrial company in South America. The company mainly operates through three segments: Farming; Sugar, Ethanol and Energy; and Land Transformation. It engages in farming crops, rice and other agricultural products, dairy operations, and land transformation activities, as well as sugar, ethanol, and energy production activities.