18 Feb 10 Best Small Cap Agriculture Stocks To Buy

Pump and dump scams work by rapidly increasing the share price and driving gullible investors to purchase the shares. However, the stock is dumped by the scammers later, who then end up profiting while others take a loss. Starboard continues to own more than one million shares of CTVA stock. Of the 25 analysts covering its stock, 17 rate it Buy or Overweight, with a median target price of $70, 22% higher than its current share price.

• Its presence is balanced both geographically around the world, as well as from a crop exposure standpoint, with soybeans being the largest at roughly 20% of total revenue.
• Its offerings include clothing, pet supplies, trailers and accessories, lawn & garden supplies, heating systems, tools, fencing, lawnmowers, and power generators.
• Fertilizers are in short supply, with 28% of fertilizers made from nitrogen coming from Russia and Ukraine, creating a surge that makes these stocks excellent hedges against rising inflation and fundamentally sound.
• Deere grew its earnings-per-share 42%, from $6.81 to $9.65, and beat the analysts’ consensus by a massive $1.01.
• The proximity to markets compares favorably with conventional produce, which is often imported from abroad or shipped from California.

Although both top- and bottom-lines were amiss, with EPS of $2.41 missing by $0.01 and revenue of $3.92B missing by $125.99M (70.75% YoY), MOS should continue to see business boom given the favorable market backdrop. Continued demand for potash should only create more upside in the profitability figures and reemphasize its financial performance. According to Seeking Alpha Contributor Jason Wong, «In 2020, the sales price per ton of IPI potash was $250.» Fertilizers are setting price records, with a current average price for potash at $875/ton. The stock recently surged upward and has another $5 to go until it reaches target prices. It might not be hyperbolic to assume it could reach the $92 high-water mark analysts have assigned it.

Vertical farming (growth)

This technology is still in its infancy and can create new possibilities for society. Much of its focus is on tech-enabled “precision farming,” which enables growers to monitor fields and apply crop protection and nutrients in exactly the right amounts based on satellite-generated data. Precision farming has been widely adopted in major growing regions like Europe, South America and China. Also supportive is the recent phase 1 trade deal with China (projected to further boost U.S. grain and oilseed crop sales). What’s more, ag commodity analysts forecast the stellar recent performance in the grains and oilseeds to continue in 2022. Soybean prices are soaring as the export outlook improves on “robust” demand from top buyer China.

As farmers purchase more and more land for their crops, they’ll also want the best crop yield products and services. That’s the overarching reason investors should consider investing in FMC. The company provides crop protection, plant health, precision agriculture and pest solutions that farmers require to maximize their yields.

From a price of $ 48.16, the stock closed the year at $ 75.2, representing a 56 % appreciation during the year. Investors are now looking for the finest solar energy stocks to invest in. From a price of $ 50.41, the stock closed the year at $ 67.59, representing a 34 % appreciation during the year. “Natural gas accounts what is trend trading for approximately 40% of total production costs for nitrogen products, if gas prices increase in Europe, that means competitors will have to increase the prices of nitrogen products. Consequently, in the US, CF Industries will also be able to raise its own costs, without having to meaningfully increase its input costs.

The results of any hypothetical projections can and may differ from actual investment results had the strategies been deployed in actual securities accounts. One example of a major technology developed by MSD Animal Health is a sound collection device that uses artificial intelligence technology to detect Bovine Respiratory Disease in cows called Whisper On Arrival. MSD Animal Health was named best animal health company in North America by market intelligence firm IHS Markit, so gaining exposure to that division through Merck shares could make it a good investment. Vertical farming is the latest agricultural technology to sweep the market. Investors are betting big on stocks such as AppHarvest and Local Bounti (LOCL 1.96%), a hybrid between vertical farming and hydroponics. In vertical farming operations, companies use shelves and artificial light to grow produce, minimizing land and water consumption.

In fact, Nutrien produces over 25 million tons of those nutrients to sell to more than 500,000 customers. The company reported recorded net earnings hitting $1.1 billion in Q2. That confidence has seen target prices rising as well as analysts pushing TEX stock into overweight territory. The company manufactures equipment used in farming, construction, forestry and large-scale landscaping. The $1.2 billion in revenues the company recorded during Q2 represented an 8% increase year-over-year.

Headquartered in Philadelphia, Pennsylvania, the company has a rich history dating back to 1883 when inventor John Bean set out to build a better insecticide spray pump. Over the decades, through acquisitions, FMC became a disparate collection of chemical companies. FMC has transformed itself to solely focus on crop chemicals, having acquired DuPont’s crop chemicals portfolio in 2017, and completed the separation of its lithium business in 2019. FMC is now one of the largest patented crop protection companies globally.

The firm is divided into two major segments (ag and construction), and while shutdowns have impacted the latter, its Ag & Turf business has impressively weathered the pandemic. The stock closed the year at $ 9.5, representing a 1.6-fold increase during the year. In 2022, the stock started at $ 161 and last closed at $ 40.87, representing a whopping 75 % decline to date. The share of CF industries has been following a bullish trend since 2021. It started off at $ 38.71 and closed the year at $ 70.78, representing an 83 % appreciation during the year. In 2022, the stock spiked high from $ 47.28 to $ 62.9 and then dipped to $ 52.

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I must add that I would not allocate more than 15% of your total portfolio towards these stocks. Given the multibagger returns potential, this allocation can create significant wealth without outsized risk. With any investment, you must research and choose an investment that makes sense for your portfolio. Beyond lawn care and plant food, they sell indoor grow light systems and commercial products for more extensive growing operations. FMC Corporation is a worldwide company with operations in 50 countries. In 2022, 32% of company revenue came from South America, followed by Asia and the South Pacific with 25% of revenue.

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Year-to-date commodity performance is astounding, as showcased by the below chart. The stock has been trending upward with a +60% YTD increase, and over the last year, it’s seen a +100% share price jump. IPI’s overall Valuation grade is B+ and indicates this stock is trading at a discount, with current P/E ratios of 3.95x, more than 75% below its sector peers. FMC is in neither the agricultural real estate nor equipment sectors, but again should see increasing demand theoretically.

The 4 Best Agriculture Stocks for 2022

Agriculture stocks are a compelling place to look for long-term stock investments. That’s because the demand drivers of the industry make it extremely likely to be around far into the future. For the quarter, the company reported revenue of $1.34 billion, an increase of 4% versus the first quarter of 2022, and adjusted earnings per diluted share of $1.77, down 6% versus the same quarter previous year. FMC Corporation is an agricultural sciences company that provides crop protection, plant health, and professional pest and turf management products.

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In addition to long-term investors, dividend investing can be appealing to some short-term investors through a dividend capture strategy. It involves purchasing a stock just before it goes ex-dividend and then selling it shortly thereafter, typically after the dividend is received. This strategy aims thinkmarkets forex broker review to capture the dividend income while minimizing exposure to the stock’s price fluctuations. To learn more about this investment approach, have a look at our article Dividend Capture Strategy Stocks To Buy. There are many ways to gain exposure to farmland without going out and buying a farm yourself.

With year-over-year revenue growth above 58%, forward operating cash flow growth +351%, and a growing balance sheet, it’s no wonder company executives are optimistic for 2022 and beyond, given the current landscape. Mention a surge axes forex broker review in farming equipment sales and Deere will be part of most conversations. Fortunately DE stock has capitalized on the positive forces underpinning the industry. AGCO proved its strength when it posted Q2 results back in late July.

Along those lines, companies that make agricultural planting and harvesting equipment are expected to grow at a 9% annual clip until 2025. AGCO Corp. (AGCO) is the world’s largest manufacturer of machinery and equipment focused solely on the ag industry, and its tractors and combine harvesters are widely used by farmers globally. FMC Corporation, an agricultural sciences company, provides crop protection, plant health, and professional pest and turf management products. The company markets its products through its own sales organization and through alliance partners, independent distributors, and sales representatives. It operates in North America, Latin America, Europe, the Middle East, Africa, and Asia.