Adecoagro (AGRO) Outpaces Stock Market Gains: What You Should Know

In the latest trading session, Adecoagro (AGRO) closed at $7.23, marking a +1.97% move from the previous day. This change outpaced the S&P 500's 1.92% gain on the day. Elsewhere, the Dow gained 2.15%, while the tech-heavy Nasdaq added 0.12%.

Coming into today, shares of the producer of agricultural products and renewable energy had lost 22.17% in the past month. In that same time, the Consumer Staples sector gained 3.92%, while the S&P 500 gained 1.54%.

Adecoagro will be looking to display strength as it nears its next earnings release.

AGRO's full-year Zacks Consensus Estimates are calling for earnings of $1.38 per share and revenue of $1.4 billion. These results would represent year-over-year changes of -2.13% and +27.17%, respectively.

Any recent changes to analyst estimates for Adecoagro should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 3.16% lower within the past month. Adecoagro is currently a Zacks Rank #3 (Hold).

In terms of valuation, Adecoagro is currently trading at a Forward P/E ratio of 5.14. This represents a discount compared to its industry's average Forward P/E of 20.21.

The Agriculture - Operations industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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