Corteva Inc
Exchange: NYSESector: Basic MaterialsIndustry: Agricultural Inputs
Corteva, Inc. is a global pure-play agriculture company that combines industry-leading innovation, high-touch customer engagement and operational execution to profitably deliver solutions for the world's most pressing agriculture challenges. Corteva generates advantaged market preference through its unique distribution strategy, together with its balanced and globally diverse mix of seed, crop protection, and digital products and services. With some of the most recognized brands in agriculture and a technology pipeline well positioned to drive growth, the company is committed to maximizing productivity for farmers, while working with stakeholders throughout the food system as it fulfills its promise to enrich the lives of those who produce and those who consume, ensuring progress for generations to come.
Current Price
$78.80
-0.24%GoodMoat Value
$95.50
21.2% undervaluedProfile
Valuation (TTM)
Market Cap$52.99B
P/E45.61
EV$50.59B
P/B2.19
Shares Out672.52M
P/Sales2.96
Revenue$17.89B
EV/EBITDA17.85
Corteva Inc (CTVA) Stock Analysis
GoodMoat Analysis
Corteva is a global leader in agricultural seeds and crop protection, but its investment case is currently unfavourable for value investors. It shows a weak moat profile and trades at a premium valuation despite negative revenue growth, failing the initial quality gate of the GoodMoat framework.
Read full analysis
Corteva Inc is a global leader in agricultural science, developing and selling seeds and crop protection products. Applying the GoodMoat Moat Identification framework, the company likely scores low, potentially meeting only a few criteria such as technology leadership in seed genetics, regulatory barriers for pesticides, and a strong brand. However, this is insufficient to suggest a durable competitive advantage, as the industry is capital-intensive and faces significant competitive and pricing pressures. The business fails the initial quality and moat gate of the Decision Framework, as evidenced by weak financial metrics: a high P/E of 50.7, negative revenue growth of -1.7% YoY, and a low ROE of 4.5%, which is far below the 15-20% threshold for high-quality companies. While the free cash flow yield of 5.1% and a modest debt level are positives, the overall quality profile is unfavourable. The stock trades at $82.03, which is a 13% discount to the GoodMoat Target of $94.47, but this does not constitute a sufficient margin of safety given the underlying business quality. For a value investor, the combination of a weak moat score, deteriorating growth, and a premium earnings multiple suggests this is not a company worth investigating further under the current framework. Analysis based on data as of 2024-05-15.
Market Cap$52.99B
Current Price$78.80
P/E Ratio45.61
Forward P/E—
PEG Ratio3.61
EPS$1.60
Book Value$35.90
P/B Ratio2.19
CTVA Financial Charts
FCF vs CAPEX
FCFCAPEX
Cash vs Debt
Net Cash: 1.9B
Revenue
13.8B
FY19
14.2B
FY20
15.7B
FY21
17.5B
FY22
17.2B
FY23
16.9B
FY24
17.4B
FY25
Net Income
—
FY19
681M
FY20
1.8B
FY21
1.1B
FY22
735M
FY23
907M
FY24
1.1B
FY25
CTVA 52-Week Range
$60.70
$85.46
50-Day MA: $81.25200-Day MA: $72.09
Did you know?
Pays a 0.90% dividend yield.
Corteva Inc (CTVA) Financial Summary
Corteva Inc (CTVA) is a Basic Materials company in the Agricultural Inputs industry, listed on NYSE. The stock currently trades at $78.80 with a market capitalization of $52.99B.
Key valuation metrics include a P/E ratio of 45.61, price-to-book ratio of 2.19, and EPS of $1.60. The company reports a profit margin of 6.5% and return on equity of 4.8%.
CTVA Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $52.99B |
| P/E Ratio | 45.61 |
| EPS | $1.60 |
| P/B Ratio | 2.19 |
| P/S Ratio | 2.96 |
| EV/EBITDA | 17.85 |
| Dividend Yield | 0.90% |
| Profit Margin | 6.5% |
| Return on Equity | 4.8% |
| Debt/Equity | 0.11 |
CTVA Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $13.85B | $-959.00M |
| FY20 | $14.22B | $681.00M |
| FY21 | $15.65B | $1.76B |
| FY22 | $17.45B | $1.15B |
| FY23 | $17.23B | $735.00M |
| FY24 | $16.91B | $907.00M |
| FY25 | $17.40B | $1.09B |
Corteva Inc (CTVA) Valuation
Based on GoodMoat's DCF model, Corteva Inc has a fair value estimate of $95.50. At the current price of $78.80, the stock appears 17.5% undervalued relative to our intrinsic value estimate.
CTVA Quality Indicators
Corteva Inc maintains a profit margin of 6.5% and an operating margin of 14.0%. Return on equity stands at 4.8%. The current ratio is 1.43. Debt-to-equity ratio is 0.11.
About Corteva Inc
Corteva, Inc. is a global pure-play agriculture company that combines industry-leading innovation, high-touch customer engagement and operational execution to profitably deliver solutions for the world's most pressing agriculture challenges. Corteva generates advantaged market preference through its unique distribution strategy, together with its balanced and globally diverse mix of seed, crop protection, and digital products and services. With some of the most recognized brands in agriculture and a technology pipeline well positioned to drive growth, the company is committed to maximizing productivity for farmers, while working with stakeholders throughout the food system as it fulfills its promise to enrich the lives of those who produce and those who consume, ensuring progress for generations to come.
CTVA Free Cash Flow
Corteva Inc generated $2.81B in trailing twelve-month free cash flow, representing an FCF yield of 5.31%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
CTVA Shares Outstanding
Corteva Inc has 0.67 billion shares outstanding at a share price of $78.80, giving it a market capitalization of $52.99B.
CTVA Recent Insider Trades
Recent insider transactions at Corteva Inc include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| TITUS BRIAN (See Remarks) | SELL | 4,311 | $330072.58 |