Cresud Sociedad (CRESY) AI Stock Analysis

• Market Cap: $649.90M
• Dividend Yield: 11.11%
• Average Volume (3M): 198.12K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 0.24
• Revenue Growth: -3.07%
• EPS Growth: -18.57%
• Country: US
• Employees: 2,760
• Sector: Industrials
• Sector Strength: 85
• Industry: Conglomerates
• EPS (TTM): 1.59
• Shares Outstanding: 61,407,430
• 10 Day Avg. Volume: 252,930
• 30 Day Avg. Volume: 198,117
• PEG Ratio: -0.61
• Price to Book (P/B): 5.69
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 68.59
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 55 Neutral
• Price Target: $11.50 ▲(8.29%Upside)

Cresud Sociedad's stock score is weighed down by its financial performance, particularly due to declining profitability and liquidity challenges. These factors are partially offset by a favorable valuation with a low P/E ratio and strong dividend yield, which may attract value investors. Technical indicators show no clear trend, suggesting the stock may remain range-bound in the near term unless financial conditions improve.

Cresud Sociedad Business Overview & Revenue Model

Company Description

Cresud Sociedad Anónima Comercial, Inmobiliaria, Financiera y Agropecuaria, an agricultural company, produces basic agricultural commodities in Brazil and other Latin American countries. It operates through Agricultural Business, and Urban Properties and Investment Business segments. The Agricultural Business segment is involved in the planting, harvesting, and sale of crops, such as wheat, corn, soybeans, cotton, and sunflower, as well as sugarcane; sale of grain derivatives, including flour and oil; breeding, purchasing, and/or fattening of cattle for sale to meat processors and local livestock auction markets; provision of agricultural services; leasing of farms to third parties; disposal and development of farmlands; and brokerage activities. The Urban Properties and Investment Business segment leases, rents, and services commercial and other spaces in shopping malls; leases offices and other rental spaces; develops, maintains, and sells undeveloped parcels of land and/or trading properties; and operates hotels, as well as engages in the entertainment activities. The company was incorporated in 1936 and is headquartered in Buenos Aires, Argentina.

How the Company Makes Money

Cresud generates revenue through a diversified portfolio of agricultural operations. The primary revenue streams include the cultivation and sale of crops such as corn, wheat, soybeans, and sugarcane. Additionally, Cresud derives income from its cattle-raising activities, which include the production and sale of beef and milk. The company's real estate segment, which involves the acquisition, development, and sale of agricultural land, contributes significantly to its earnings. Cresud also benefits from its strategic investments in related agricultural businesses and partnerships that enhance its operational efficiency and market reach.

Cresud Sociedad Financial Statement Overview

Summary

Cresud Sociedad exhibits strong revenue growth but is hindered by declining profitability and high leverage. The negative margins and cash flow challenges suggest operational inefficiencies and liquidity risks. While the balance sheet provides some stability through equity, the overall financial health is pressured by risk factors that need addressing for future resilience.

Income Statement

Cresud Sociedad's revenue has shown a strong growth trajectory, with a significant increase in the TTM (Trailing-Twelve-Months) period. However, the company is facing declining profitability, as indicated by the negative EBIT and EBITDA margins in the TTM, which reflect operational challenges and cost pressures. The net profit margin is also negative, indicating a loss-making position in the latest period.

Balance Sheet

The balance sheet shows a high level of debt relative to equity, with a debt-to-equity ratio that indicates significant leverage, presenting potential financial risk. The equity ratio suggests moderate shareholder equity in relation to total assets, providing some stability. However, the declining ROE reflects challenges in generating returns for shareholders.

Cash Flow

Cash flow analysis reveals negative free cash flow growth, indicating pressures on liquidity. The operating cash flow to net income ratio is unfavorable, highlighting difficulties in converting earnings into cash. Despite a strong historical operating cash position, recent declines pose concerns.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
831.91B	711.37B	707.41B	767.70B	149.93B	82.24B
	Gross Profit
289.06B	291.55B	269.60B	340.10B	79.39B	35.00B
	EBIT
-570.91B	-136.24B	-75.75B	346.23B	35.08B	107.95B
	EBITDA
-241.87B	103.58B	113.72B	54.11B	92.86B	104.03B
	Net Income Common Stockholders
-53.90B	78.46B	162.99B	297.05B	-44.43B	9.68B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
311.18B	260.74B	307.47B	116.39B	47.46B	183.99B
	Total Assets
3.96T	3.47T	3.97T	1.14T	556.18B	1.03T
	Total Debt
1.11T	902.31B	1.06T	325.05B	204.69B	660.37B
	Net Debt
1.01T	787.68B	916.86B	249.79B	159.55B	508.78B
	Total Liabilities
2.30T	1.91T	2.18T	695.11B	382.54B	848.31B
	Stockholders Equity
739.25B	696.24B	779.00B	177.43B	53.20B	37.79B
Cash Flow		Free Cash Flow
-68.94B	-11.93B	64.67B	141.53B	23.97B	84.39B
	Operating Cash Flow
-528.00M	68.61B	133.65B	174.66B	31.42B	88.01B
	Investing Cash Flow
-23.99B	92.57B	55.42B	103.27B	258.54B	111.46B
	Financing Cash Flow
-55.70B	-208.53B	-337.14B	-296.48B	-189.64B	-191.05B

Cresud Sociedad Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRESY, the sentiment is Negative. The current price of 10.62 is below the 20-day moving average (MA) of 11.65, below the 50-day MA of 11.35, and below the 200-day MA of 10.87, indicating a bearish trend. The MACD of -0.15 indicates Positive momentum. The RSI at 37.53 is Neutral, neither overbought nor oversold. The STOCH value of 10.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CRESY.

Cresud Sociedad Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$4.47B	12.21	5.40%	3.65%	4.14%	-12.00%
IRS	60 Neutral	$1.07B	7.54	11.71%	6.91%	-0.52%	―
CRESY	55 Neutral	$649.90M	6.07	12.81%	11.11%	-3.07%	-18.57%
SEB	54 Neutral	$2.62B	26.74	2.09%	0.33%	-0.31%	-58.07%
TRC	46 Neutral	$431.71M	201.51	0.46%	―	7.04%	268.20%