Adecoagro (NYSE:AGRO) & Grown Rogue International (OTCMKTS:GRUSF) Financial Analysis

Adecoagro (NYSE:AGRO) and Grown Rogue International (OTCMKTS:GRUSF) are both small-cap consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, earnings, institutional ownership and dividends.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Adecoagro and Grown Rogue International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Adecoagro	1	1	2	0	2.25
Grown Rogue International	0	0	0	0	N/A

Adecoagro currently has a consensus price target of $12.17, suggesting a potential upside of 21.91%. Given Adecoagro’s higher possible upside, analysts plainly believe Adecoagro is more favorable than Grown Rogue International.

Profitability

This table compares Adecoagro and Grown Rogue International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Adecoagro	19.18%	10.55%	4.23%
Grown Rogue International	-1.70%	-3.71%	-1.67%

Risk & Volatility

Adecoagro has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500. Comparatively, Grown Rogue International has a beta of 0.54, suggesting that its stock price is 46% less volatile than the S&P 500.

Valuation and Earnings

This table compares Adecoagro and Grown Rogue International’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Adecoagro	$1.30 billion	0.80	$226.29 million	$2.36	4.23
Grown Rogue International	$23.35 million	7.13	-$130,000.00	$0.01	80.08

Adecoagro has higher revenue and earnings than Grown Rogue International. Adecoagro is trading at a lower price-to-earnings ratio than Grown Rogue International, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

45.3% of Adecoagro shares are owned by institutional investors. Comparatively, 9.3% of Grown Rogue International shares are owned by institutional investors. 6.7% of Adecoagro shares are owned by company insiders. Comparatively, 23.2% of Grown Rogue International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Adecoagro beats Grown Rogue International on 10 of the 13 factors compared between the two stocks.

About Adecoagro

Adecoagro S.A. operates as an agro-industrial company in South America. The company mainly operates through three segments: Farming; Sugar, Ethanol and Energy; and Land Transformation. It engages in farming crops, rice and other agricultural products, dairy operations, and land transformation activities, as well as sugar, ethanol, and energy production activities. The company is involved in the planting, harvesting, and sale of grains, oilseeds, and fibers, including wheat, corn, soybeans, peanuts, cotton, sunflowers, and others; provision of grain warehousing/conditioning, handling, and drying services to third parties; and purchase and sale of crops produced by third parties. It also plants, harvests, processes, and markets rice; and produces and sells raw milk, UHT, cheese, and powder milk. In addition, the company engages in the cultivating and transforming of sugarcane into ethanol, sugar, and electricity. Further, it is involved in the identification and acquisition of underdeveloped and undermanaged farmland, and the realization of value through the strategic disposition of assets. Adecoagro S.A. was founded in 2002 and is based in Luxembourg, Luxembourg.

About Grown Rogue International

Grown Rogue International Inc., together with its subsidiaries, produces and sells cannabis products in the United States. It offers a range of cultivars for consumers, such as indicas, sativas, and hybrids; strain-specific prepackaged flowers; and pre-roll pack products, as well as provides consulting services. The company sells its products through direct-to-retail delivery and third-party delivery, wholesalers, and processors. Grown Rogue International Inc. is headquartered in Medford, Oregon.