In the latest close session, Adecoagro (AGRO) was down 1.81% at $8.70. The stock's change was less than the S&P 500's daily gain of 0.54%. On the other hand, the Dow registered a gain of 1.05%, and the technology-centric Nasdaq increased by 0.56%.
Prior to today's trading, shares of the producer of agricultural products and renewable energy had gained 14.18% outpaced the Consumer Staples sector's gain of 5.75% and the S&P 500's gain of 0.74%.
The upcoming earnings release of Adecoagro will be of great interest to investors.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.22 per share and revenue of $941.5 million, indicating changes of -89.11% and 0%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Adecoagro. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 55.13% increase. Right now, Adecoagro possesses a Zacks Rank of #1 (Strong Buy).
Looking at valuation, Adecoagro is presently trading at a Forward P/E ratio of 7.32. Its industry sports an average Forward P/E of 15.1, so one might conclude that Adecoagro is trading at a discount comparatively.
The Agriculture - Operations industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Adecoagro S.A. (AGRO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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