#7 - Corteva (NYSE:CTVA)
The last agriculture technology stock on our list is Corteva (NYSE:CTVA). Corteva is a company in the emerging agriscience sector. If you’re not familiar with it, you may be familiar with Dupont de Nemours (NYSE:DD). Corteva was the latter company’s agricultural unit before being spun off in 2019. The company is has a comprehensive portfolio of products including digital solutions that are helping their customers protect their crops and generate higher yields.
Unlike many stocks in this presentation, CTVA stock does look slightly overvalued right now. However, the company is posting YOY growth in revenue and earnings, and both numbers are expected to continue to rise in the next five years.
Analysts give the stock an 11% upside from its current price. And although the company has only been trading publicly for a few years, it has already started to increase its dividend.
About Corteva
Corteva, Inc operates in the agriculture business. It operates through two segments, Seed and Crop Protection. The Seed segment develops and supplies advanced germplasm and traits that produce optimum yield for farms. It offers trait technologies that enhance resistance to weather, disease, insects, and herbicides used to control weeds, as well as food and nutritional characteristics.
Read More - Current Price
- $59.40
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 15 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $64.26 (8.2% Upside)
As you can see, the agriculture technology sector is diverse. If you're more comfortable buying into funds at this time, there are several options available. One of the largest exchange-traded funds that specializes in agriculture is the iShares MSCI Agriculture Producers ETF (NYSEARCA:VEGI). Recently shares were trading at an all-time high.
Agriculture technology stocks give investors an opportunity to buy companies that offer stable earnings, healthy cash flow and, in many cases, dividends. These aren't going to be the superstars of your portfolio in terms of growth. However, this recent correction may be allowing investors to recalibrate their growth expectations.
This is likely to bring quality dividend stocks back in fashion. Over time, these stocks help to smooth out the volatility in your portfolio.
And if you're looking for another reason to buy agriculture stocks, consider that they are among the ultimate consumer staples. There will always be demand for their products and services. Even if you're not actively buying, these stocks merit consideration for your watch list.
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