Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Cresud Sociedad Anónima, Comercial, Inmobiliaria, Financiera y Agropecuaria (Cresud S.A.) is an agricultural enterprise primarily involved in the cultivation and production of commodities across Brazil and other Latin American nations. Its diverse operations span two core segments: the Agricultural Business and the Urban Properties and Investments division. Within its agricultural arm, Cresud cultivates and sells a wide range of crops, including soybeans, sugarcane, wheat, corn, oilseeds, sunflowers, sorghum, and peanuts. The company also processes grains into derivatives like flour and oil, and manages livestock through the breeding, purchasing, and fattening of cattle destined for slaughterhouses and supermarkets. Furthermore, it provides agricultural services and leases out its farm properties for diverse activities such as crop production, animal husbandry, and seed cultivation. Complementing its farming endeavors, the Urban Properties segment focuses on the acquisition, development, and management of urban real estate assets, encompassing shopping centers, office buildings, and hotels. Cresud was founded in 1936 and maintains its headquarters in Buenos Aires, Argentina.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. Specifically, the stock is 'cheap' on P/E, undervalued on EV/EBITD