Risk factor
Low price volatility
Profitability factor
Very poor margins and returns
About
Alico, Inc., along with its affiliated entities, functions as a prominent agribusiness and land management enterprise primarily within the United States. The company's operations are strategically divided into two core segments: Alico Citrus, and Land Management and Other Operations. The Alico Citrus division is dedicated to the cultivation of citrus trees, supplying fruit for both the fresh produce market and various processed citrus products. Meanwhile, the Land Management and Other Operations segment is responsible for the ownership and oversight of extensive land holdings in Collier, Glades, and Hendry Counties. This segment also generates income by leasing its properties for diverse purposes, including recreational activities, livestock grazing, conservation efforts, and mining ventures. As of September 30, 2021, Alico controlled a substantial portfolio of 83,000 acres situated across eight Florida counties: Charlotte, Collier, DeSoto, Glades, Hardee, Hendry, Highlands, and Polk. The company was established in 1960 and its corporate headquarters are located in Fort Myers, Florida.
Company Valuation
Considering past and projected metrics, the stock is moderately 'expensive' compared to its peers. Specifically, the stock is 'expensive' on P/E, undervalued on EV/EBITD.
Target Price
The average target price of ALCO is 45.0 and suggests 17.4% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to incr