Adecoagro (NYSE:AGRO) and Village Farms International (NASDAQ:VFF) are both small-cap consumer staples companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, earnings, profitability, analyst recommendations, risk and institutional ownership.
Earnings and Valuation
This table compares Adecoagro and Village Farms International's gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Adecoagro | $887.14 million | 1.19 | $-770,000.00 | $0.34 | 26.56 |
Village Farms International | $144.57 million | 6.23 | $2.33 million | $0.05 | 226.40 |
Village Farms International has lower revenue, but higher earnings than Adecoagro. Adecoagro is trading at a lower price-to-earnings ratio than Village Farms International, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and price targets for Adecoagro and Village Farms International, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Adecoagro | 0 | 1 | 1 | 0 | 2.50 |
Village Farms International | 0 | 1 | 4 | 1 | 3.00 |
Adecoagro currently has a consensus price target of $6.00, indicating a potential downside of 33.55%. Village Farms International has a consensus price target of $23.3333, indicating a potential upside of 106.12%. Given Village Farms International's stronger consensus rating and higher possible upside, analysts clearly believe Village Farms International is more favorable than Adecoagro.
Insider & Institutional Ownership
53.6% of Adecoagro shares are owned by institutional investors. Comparatively, 14.2% of Village Farms International shares are owned by institutional investors. 20.4% of Village Farms International shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Profitability
This table compares Adecoagro and Village Farms International's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Adecoagro | -4.53% | 10.33% | 4.01% |
Village Farms International | -1.66% | -4.93% | -3.55% |
Volatility & Risk
Adecoagro has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500. Comparatively, Village Farms International has a beta of 4.02, meaning that its share price is 302% more volatile than the S&P 500.
Summary
Village Farms International beats Adecoagro on 9 of the 15 factors compared between the two stocks.