Alerts
Special Situations
CTVA: Accumulate Here to Gain from Growth Prospects
The agriculture space has seen flooding across the US, foreign exchange and raw material cost volatility, and variable crop prices, but despite all these challenges, Corteva, Inc. (CTVA) demonstrated its strengths in its Q4FY19 and FY19 earnings last week (January 30). The earnings outperformance was supported by cost synergies realized since the Spinoff from DuPont de Nemours, Inc. (DD), with a new share repurchase program, annual dividend and inorganic growth ahead for shareholders.

  • Q4FY19 & FY19 Earnings Outperformance / Above-Market FY20E Guidance / +5% Jump on Results
  • North American Weather (Flooding) Remains a Key Uncertainty / Balanced Out by International Exposure
  • $800m Post-Spin Cost Synergies Realized with an Additional $400m in the Next Two Years
  • New $1bn Share Repurchase Program & $400m Annual Dividend ($220m Distributed Since Spinoff)
  • Investors Recommended to Accumulate at Current Levels / CTVA is a Current ESS Model Portfolio Holding
To continue reading this article and to gain access to other
proprietary research please subscribe to :
Special Situations
Institutional Investors:
To subscribe please call us:    USA: +1 (973) 867 7760    UK: +44 (0) 845 459 7103
or click to subscribe to Edge research
Individual Investors:
Click to subscribe to Special Situations Lite
Need
Help?
To discuss any upcoming notes or for any urgent
assistance, please contact Jonathan Morgan
+44 (0) 845 459 7103 jm@edgecgroup.com