Adecoagro S.A. (NYSE:AGRO) Declares $0.17 Dividend

Key Points

• Adecoagro S.A. announced a dividend of $0.17 per share, which offers a significant yield of 443.0%, with the payment scheduled for November 19th.
• The company's dividend payout ratio stands at 32.1%, indicating that earnings sufficiently cover the dividend; analysts project earnings of $1.31 per share for next year.
• Senior analysts have recently downgraded Adecoagro's stock, with Morgan Stanley lowering the target price to $9.50 and a consensus rating of "Strong Sell" from multiple firms.

Adecoagro S.A. (NYSE:AGRO - Get Free Report) announced a dividend on Thursday, October 23rd. Shareholders of record on Monday, November 3rd will be paid a dividend of 0.1749 per share on Wednesday, November 19th. This represents a yield of 443.0%. The ex-dividend date is Monday, November 3rd.

Adecoagro has a dividend payout ratio of 32.1% indicating that its dividend is sufficiently covered by earnings. Analysts expect Adecoagro to earn $1.31 per share next year, which means the company should continue to be able to cover its $0.35 annual dividend with an expected future payout ratio of 26.7%.

Adecoagro Trading Up 4.0%

AGRO stock opened at $7.90 on Friday. The firm has a fifty day moving average price of $8.09 and a 200 day moving average price of $9.04. Adecoagro has a fifty-two week low of $7.42 and a fifty-two week high of $11.86. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.95 and a current ratio of 1.90. The firm has a market cap of $789.42 million, a PE ratio of 22.56 and a beta of 0.60.

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

Analysts Set New Price Targets

A number of research firms recently weighed in on AGRO. Morgan Stanley cut their target price on shares of Adecoagro from $10.00 to $9.50 and set an "underweight" rating for the company in a report on Wednesday, July 16th. UBS Group lowered their price target on Adecoagro from $9.90 to $8.50 and set a "neutral" rating for the company in a research report on Wednesday, September 3rd. Wall Street Zen downgraded Adecoagro from a "hold" rating to a "sell" rating in a research report on Sunday, September 7th. Finally, Weiss Ratings restated a "sell (d+)" rating on shares of Adecoagro in a research report on Wednesday, October 8th. One analyst has rated the stock with a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Strong Sell" and an average target price of $9.60.

Adecoagro Company Profile

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.

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