Corteva Inc. (CTVA) Testing Investors’ Patience Right Now


    SSgA Funds Management, Inc. recently announced the acquisition of new stake in Corteva Inc. (NYSE:CTVA). The institutional investor has increased its shareholding in the Basic Materials company by 2.93% to 43.9 million shares with purchase of 1.25 million shares. This fresh investment now brings its stake to 5.87% valued currently at $1.25 billion. In addition, Aristotle Capital Management LLC raised its holdings by 0.72 million to 25.65 million shares. And Invesco Advisers, Inc. has lifted its position by 0.14% or 27627.0 shares – to 19.86 million shares.

    With over 3.79 million Corteva Inc. (CTVA) shares trading Tuesday and a closing price of $29.44 on the day, the dollar volume was approximately $111.54 million. The shares have shown a positive weekly performance of 2.76% and its price on 09/01/20 gained nearly 3.12%. Currently, there are 749.20M common shares owned by the public and among those 747.93M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 25 analysts who have offered their price forecasts for CTVA have a consensus price objective of $30.64. The analysts have set the share’s price value over the next 12 months at a high of $40.00 and a low of $24.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Corteva Inc. stock is 2.50 for the next 12 months. The average price target is 3.41% above its last price level and an upside to the estimated low will see the stock lose -22.67% over that period. But an upside of 26.4% will see the stock hit the forecast high price target while mean target price for the stock is $30.00.

    Insiders at the company have transacted a total of 81 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 43 of these insider trades were purchases, accounting for 189,138 shares. Insider sales of the common stock occurred on 38 occasions, with total insider shares sold totaling 261,225 shares.

    The top 3 mutual fund holders in Corteva Inc. are Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and Vanguard Mid Cap Index Fund. Vanguard Total Stock Market Index owns 21.28 million shares of the company’s stock, all valued at over $607.78 million. The company sold 65237.0 shares recently to bring their total holdings to about 2.84% of the shares outstanding. Vanguard 500 Index Fund sold 91150.0 shares to see its total holdings shrink to 15.43 million shares valued at over $440.68 million and representing 2.06% of the shares outstanding. Vanguard Mid Cap Index Fund sold 69745.0 shares to bring its total holdings to over 9.19 million shares at a value of $262.59 million. Vanguard Mid Cap Index Fund now owns shares totaling to 1.23% of the shares outstanding.

    Shares of Corteva Inc. (NYSE: CTVA) opened at $28.58, up $0.03 from a prior closing price of $28.55. However, the script later closed the day at $29.44, up 3.12%. The company’s stock has a 5-day price change of 2.76% and 3.30% over the past three months. CTVA shares are trading -0.41% year to date (YTD), with the 12-month market performance up to 4.29% higher. It has a 12-month low price of $20.38 and touched a high of $32.08 over the same period. Currently, 3.79 million shares have been traded, compared to an average intraday trading volume of 4.64 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 5.69%, 6.50%, and 9.21% respectively.

    Institutional ownership of Corteva Inc. (NYSE: CTVA) shares accounts for 81.00% of the company’s 749.20M shares outstanding. Mutual fund holders own 40.26%, while other institutional holders and individual stakeholders account for 40.67% and 0.21% respectively.

    It has a market capitalization of $21.87B. The stock’s trailing 12-month PE ratio is 47.26, while the earnings-per-share (ttm) stands at $0.62. The company has a PEG of 8.89 and a Quick Ratio of 1.40 with the debt-to-equity ratio at 0.07. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.70% over the week and 3.17% over the month.

    Analysts forecast that Corteva Inc. (CTVA) will achieve an EPS of -$0.42 for the current quarter, -$0.07 for the next quarter and $1.64 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.49 while analysts give the company a high EPS estimate of -$0.3. Comparatively, EPS for the current quarter was -$0.39 a year ago. Earnings per share for the fiscal year are expected to increase by 95.80%, and 19.77% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 25 brokerage firm advisors rate Corteva Inc. (CTVA) as a “Moderate Buy” at a consensus score of 2.50. Specifically, 11 Wall Street analysts polled rate the stock as a buy, while 11 of the 25 advise that investors “hold,” and 1 rated it as a “Sell.”

    Looking at the support for the CTVA, a number of firms have released research notes about the stock. KeyBanc Capital Markets stated their Overweight rating for the stock in a research note on August 11, 2020, with the firm’s price target at $31. BofA Securities coverage for the Corteva Inc. (CTVA) stock in a research note released on August 10, 2020 offered a Neutral rating with a price target of $28. BofA Securities was of a view on July 13, 2020 that the stock is Buy, while Cleveland Research gave the stock Neutral rating on June 26, 2020, issuing a price target of. Vertical Research on their part issued Buy rating on June 16, 2020.


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