NYSE:CTVA

Stock Analysis Report

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Executive Summary

Corteva, Inc. operates in the agriculture business. More Details


Snowflake Analysis

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Corteva's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CTVA is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CTVA's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-3.0%

CTVA

0.4%

US Chemicals

-4.0%

US Market


1 Year Return

94.6%

CTVA

55.9%

US Chemicals

46.6%

US Market

Return vs Industry: CTVA exceeded the US Chemicals industry which returned 38.9% over the past year.

Return vs Market: CTVA exceeded the US Market which returned 36.2% over the past year.


Shareholder returns

CTVAIndustryMarket
7 Day-3.0%0.4%-4.0%
30 Day2.3%2.0%-4.1%
90 Day16.9%6.3%3.3%
1 Year98.0%94.6%59.3%55.9%49.8%46.6%
3 Yearn/a29.2%9.4%47.8%38.4%
5 Yearn/a96.7%57.3%116.6%92.6%

Long-Term Price Volatility Vs. Market

How volatile is Corteva's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Corteva undervalued compared to its fair value and its price relative to the market?

38.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CTVA ($44.84) is trading below our estimate of fair value ($73.11)

Significantly Below Fair Value: CTVA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CTVA is poor value based on its PE Ratio (45.6x) compared to the US Chemicals industry average (29x).

PE vs Market: CTVA is poor value based on its PE Ratio (45.6x) compared to the US market (21.5x).


Price to Earnings Growth Ratio

PEG Ratio: CTVA is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: CTVA is good value based on its PB Ratio (1.3x) compared to the US Chemicals industry average (2.6x).


Next Steps

Future Growth

How is Corteva forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

20.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CTVA's forecast earnings growth (20.9% per year) is above the savings rate (2%).

Earnings vs Market: CTVA's earnings (20.9% per year) are forecast to grow faster than the US market (19.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CTVA's revenue (4.3% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: CTVA's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CTVA's Return on Equity is forecast to be low in 3 years time (6.9%).


Next Steps

Past Performance

How has Corteva performed over the past 5 years?

-3.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTVA has a large one-off loss of $337.0M impacting its December 31 2020 financial results.

Growing Profit Margin: CTVA became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CTVA has become profitable over the past 5 years, growing earnings by -3.3% per year.

Accelerating Growth: CTVA has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CTVA has become profitable in the last year, making it difficult to compare its past year earnings growth to the Chemicals industry (-1.4%).


Return on Equity

High ROE: CTVA's Return on Equity (3%) is considered low.


Next Steps

Financial Health

How is Corteva's financial position?


Financial Position Analysis

Short Term Liabilities: CTVA's short term assets ($14.8B) exceed its short term liabilities ($8.5B).

Long Term Liabilities: CTVA's short term assets ($14.8B) exceed its long term liabilities ($9.0B).


Debt to Equity History and Analysis

Debt Level: CTVA's debt to equity ratio (4.4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if CTVA's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: CTVA's debt is well covered by operating cash flow (187.6%).

Interest Coverage: CTVA earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Corteva current dividend yield, its reliability and sustainability?

1.16%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CTVA's dividend (1.16%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: CTVA's dividend (1.16%) is low compared to the top 25% of dividend payers in the US market (3.64%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CTVA has been paying a dividend for less than 10 years.

Growing Dividend: CTVA has only been paying a dividend for 2 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.9%), CTVA's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CTVA's dividends in 3 years are forecast to be well covered by earnings (26.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Jim Collins (57 yo)

1.83yrs

Tenure

US$11,357,053

Compensation

Mr. James C. Collins, Jr., also known as Jim, serves as Chief Executive Officer of Corteva, Inc. since May 2019 and has been its Director since May 6, 2019. Mr. Collins serves as Chief Executive Officer an...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD11.36M) is about average for companies of similar size in the US market ($USD10.58M).

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
James Collins
CEO & Director1.83yrsUS$11.36m0.030%
$ 9.9m
Gregory Friedman
Executive VP & CFO1.83yrsUS$5.30m0.0059%
$ 2.0m
Cornel Fuerer
Senior VP1.83yrsUS$3.70m0.0046%
$ 1.5m
Rajan Gajaria
Executive Vice President of Business Platforms1.83yrsUS$4.54m0.0062%
$ 2.1m
Timothy Glenn
Executive VP & Chief Commercial Officer1.83yrsUS$5.31m0.0094%
$ 3.1m
Brian Titus
VP, Controller & Principal Accounting Officer1.75yrsno data0.0026%
$ 861.9k
Samuel Eathington
Senior VP & Chief Technology Officer0.17yrno datano data
Debra King
Senior VP & Chief Information Officerno datano datano data
Meghan Cassidy
Senior VP1.83yrsno data0.0029%
$ 982.2k
Anne Alonzo
Senior VP of External Affairs & Chief Sustainability Officer0.92yrno datano data
Sid Gorham
CEO of Granular & President of Corteva Digital Business Platform3.5yrsno datano data
Megan Britt
Investor Relations Director at DowDuPontno datano datano data

1.8yrs

Average Tenure

52yo

Average Age

Experienced Management: CTVA's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
James Collins
CEO & Director1.83yrsUS$11.36m0.030%
$ 9.9m
Lois Juliber
Independent Director1.75yrsUS$367.53k0.0073%
$ 2.4m
Lee Thomas
Independent Director1.75yrsUS$237.58k0.0037%
$ 1.2m
Gregory Page
Independent Non-Executive Chairman of the Boardno dataUS$424.15k0.0049%
$ 1.6m
Lamberto Andreotti
Independent Director1.75yrsUS$252.16k0.0028%
$ 938.8k
Klaus Engel
Independent Director1.75yrsUS$237.46k0.0025%
$ 825.2k
Marcos Lutz
Independent Director1.75yrsUS$237.43k0.0047%
$ 1.6m
Robert Brown
Independent Director1.75yrsUS$362.04k0.000010%
$ 3.3k
Rebecca Liebert
Independent Director1.75yrsUS$237.46k0.000010%
$ 3.3k
Patrick Ward
Independent Director1.75yrsUS$258.00kno data
Michael Johanns
Independent Director1.75yrsUS$237.58kno data
Nayaki Nayyar
Independent Director1.08yrsno datano data

1.8yrs

Average Tenure

66yo

Average Age

Experienced Board: CTVA's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Corteva, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Corteva, Inc.
  • Ticker: CTVA
  • Exchange: NYSE
  • Founded: NaN
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Market Cap: US$33.408b
  • Shares outstanding: 744.06m
  • Website: https://www.corteva.com

Number of Employees


Location

  • Corteva, Inc.
  • Chestnut Run Plaza 735
  • PO Box 80735
  • Wilmington
  • Delaware
  • 19805-0735
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CTVANYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2019
2X0BST (Boerse-Stuttgart)YesCommon StockDEEURJun 2019
CTVA *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 2019
0A1WLSE (London Stock Exchange)YesCommon StockGBEURJun 2019
2X0DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2019
CTVAWBAG (Wiener Boerse AG)YesCommon StockATEURJun 2019
C1TV34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 4 REPR 1 COM NPVBRBRLOct 2020

Biography

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 yie...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/09 00:44
End of Day Share Price2021/03/08 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.