Valued at a market cap of $38.8 billion, Corteva, Inc. (CTVA) provides agriculture products and crop protection solutions focused on the agriculture industry. Based in Indianapolis, Indiana, the company supplies products to the agricultural input industry, which protect against weeds, insects, and other pests and diseases, as well as enhance crop health.
Companies worth more than $10 billion are generally labeled as “large-cap” stocks, and Corteva fits this criterion perfectly. It is a major American agricultural chemical and seed company renowned for its industry-leading innovation and technology pipeline.
CTVA shares are trading 4.5% below their 52-week high of $58.76, which they hit on May 10. The stock has gained 8.8% over the past three months, surpassing the S&P 500 Index’s ($SPX) 3.6% returns over the same time frame.
In the longer term, CTVA stock is up 17.1% on a YTD basis, lagging behind SPX’s 18% gains. Moreover, shares of CTVA have gained 8% over the past 52 weeks, underperforming SPX’s 26% returns over the same time frame.
To confirm its bullish trend, CTVA has been trading above its 200-day and 50-day moving average since mid-August.
CTVA’s shares have gained more than 1% following its better-than-expected Q2 earnings release on Jul. 31. CTVA’s adjusted earnings of $1.83 per share exceeded Wall Street's expectations of $1.74. Its revenues of $6.11 billion also surpassed estimates of $6.10 billion. The company updated its full-year guidance and expects earnings in the range of $2.60 to $2.80 per share, with revenue in the range of $17.2 billion to $17.5 billion.
CTVA has outperformed its rival, FMC Corporation (FMC), which gained marginally on a YTD basis and declined 16% in the past 52 weeks.
Given the stock's strong recent price performance, analysts are moderately optimistic about CTVA's prospects. The stock has a consensus rating of "Moderate Buy" from 21 analysts in coverage. The mean price target of $62.95 suggests an 11.9% premium to its current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
