With a market cap of $42.8 billion, Corteva, Inc. (CTVA) is an agricultural company specializing in seed development and crop protection solutions. It operates through two segments: Seed, which provides advanced germplasm, traits, and digital farming solutions, and Crop Protection, which offers herbicides, insecticides, and technologies to enhance crop health.
Shares of the agriculture company have underperformed the broader market over the past 52 weeks. CTVA has risen 17.7% over this time frame, while the broader S&P 500 Index ($SPX) has gained 20.9%. However, CTVA stock has risen 10.7% on a YTD basis, outpacing SPX's nearly 3% YTD gain.
Looking closer, the Indianapolis, Indiana-based company has outperformed the Materials Select Sector SPDR Fund's (XLB) 7.3% rise over the past 52 weeks.
Despite Corteva reporting better-than-expected Q4 revenue of around $4 billion on Feb. 4, its shares fell 2.9% the next day due to a weaker-than-anticipated 2025 earnings forecast. The company projected full-year 2025 operating earnings of $2.70 per share to $2.95 per share, falling short of analysts' expectations. Investors were also concerned about continued price pressure in the crop protection segment, despite volume gains, indicating that profitability challenges may persist.
For the current fiscal year, ending in December 2025, analysts expect CTVA's EPS to grow 15.6% year-over-year to $2.97. The company's earnings surprise history is mixed. It beat the consensus estimates in two of the last four quarters while missing on two other occasions.
Among the 18 analysts covering the stock, the consensus rating is a “Strong Buy.” That’s based on 12 “Strong Buy” ratings, two “Moderate Buys,” and four “Holds.”
On Feb. 11, BofA Securities raised Corteva Inc.'s price target to $73 and maintained a “Buy” rating, citing a solid 2025 outlook despite challenges in the agricultural economy and crop chemical sector.
As of writing, CTVA is trading below the mean price target of $69.06. The Street-high price target of $74 implies a modest potential upside of 17.6% from the current price levels.
