Adecoagro (NYSE:AGRO) Stock Price Up 4.9% - Time to Buy?

Key Points

• Adecoagro shares rose 4.9% to about $8.89 in Friday trading, though trading volume was 61% below its average.
• Analyst sentiment is mixed but skews cautious: the consensus rating is “Reduce”, with an average price target of $11.62. UBS cut its target to $13.20 but maintained a Buy rating.
• The company missed quarterly EPS estimates, reporting $0.19 versus the $0.40 consensus, despite revenue of $1.18 billion exceeding expectations. Adecoagro also announced a $0.1213-per-share dividend.

Shares of Adecoagro S.A. (NYSE:AGRO - Get Free Report) shot up 4.9% on Friday. The stock traded as high as $8.86 and last traded at $8.8850. Approximately 385,445 shares traded hands during mid-day trading, a decline of 61% from the average daily volume of 982,315 shares. The stock had previously closed at $8.47.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on AGRO. UBS Group dropped their price target on Adecoagro from $15.20 to $13.20 and set a "buy" rating on the stock in a research report on Thursday, August 27th. Santander began coverage on Adecoagro in a report on Monday, September 14th. They issued a "neutral" rating for the company. Finally, Weiss Ratings restated a "sell (d+)" rating on shares of Adecoagro in a report on Monday, October 12th. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Adecoagro currently has a consensus rating of "Reduce" and an average price target of $11.62.

Adecoagro Trading Up 4.5%

The company has a market capitalization of $1.26 billion, a PE ratio of 15.28 and a beta of 0.01. The company's fifty day moving average is $10.37 and its 200-day moving average is $10.99. The company has a debt-to-equity ratio of 0.84, a current ratio of 1.73 and a quick ratio of 0.89.

Adecoagro (NYSE:AGRO - Get Free Report) last posted its earnings results on Wednesday, November 11th. The company reported $0.19 earnings per share for the quarter, missing analysts' consensus estimates of $0.40 by ($0.21). The company had revenue of $1.18 billion for the quarter, compared to analysts' expectations of $674.76 million. Adecoagro had a return on equity of 0.30% and a net margin of 4.38%. On average, analysts anticipate that Adecoagro S.A. will post 1.11 EPS for the current fiscal year.

Adecoagro Announces Dividend

The business also recently disclosed a dividend, which will be paid on Thursday, November 19th. Investors of record on Thursday, November 5th will be paid a dividend of $0.1213 per share. This represents a dividend yield of 267.0%. The ex-dividend date is Thursday, November 5th. Adecoagro's dividend payout ratio is 72.73%.

Institutional Investors Weigh In On Adecoagro

Institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. bought a new position in Adecoagro in the second quarter worth about $1,990,000. Amundi lifted its position in shares of Adecoagro by 718.5% during the second quarter. Amundi now owns 782,432 shares of the company's stock valued at $7,472,000 after buying an additional 686,835 shares during the last quarter. PDT Partners LLC bought a new stake in shares of Adecoagro in the 2nd quarter valued at about $2,465,000. PenderFund Capital Management Ltd. bought a new stake in shares of Adecoagro in the 2nd quarter valued at about $2,388,000. Finally, WINTON GROUP Ltd purchased a new position in shares of Adecoagro in the 2nd quarter worth approximately $438,000. Institutional investors own 45.25% of the company's stock.

About Adecoagro

Adecoagro is a South American agribusiness company that produces food and renewable energy. Its operations span farming, dairy, rice, and sugar and ethanol production. The company grows crops such as soybeans, corn, and wheat, and produces rice and milk. In Brazil, it processes sugarcane into sugar, ethanol, and renewable electricity. Adecoagro operates in Argentina, Brazil, and Uruguay. Founded in 2002, it combines agricultural production with processing and energy generation across its regional operations.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.