Corteva Posts Solid Q4 Earnings, Issues FY 2024 Guidance, Announces $1.0B Repurchase Plan — Stock Rises
Portfolio Pulse from Ryan Gustafson
Corteva Inc. (NYSE:CTVA) reported Q4 adjusted earnings of $0.15 per share, beating estimates of $0.06, but down from $0.16 year-over-year. Sales were $3.71 billion, exceeding expectations of $3.62 billion, yet down 3.08% from last year. The company experienced a net sales decrease of 3% and an 8% organic sales decrease, with a 9% volume decline in Latin America. Operating EBITDA increased by 4% to $386 million. Corteva forecasts 2024 net sales of $17.4-$17.7 billion, with adjusted earnings of $2.70-$2.90 per share, below the $3.01 estimate. The company announced a $1.0 billion share repurchase plan for 2024. After the earnings release, CTVA shares rose 4.55% to $47.55 in after-hours trading.
January 31, 2024 | 11:00 pm
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POSITIVE IMPACT
Corteva reported higher than expected Q4 earnings and sales, but provided 2024 guidance below analyst estimates. They also announced a $1.0 billion share repurchase plan.
The positive earnings report and sales figures, combined with the announcement of a significant share repurchase plan, are likely to instill investor confidence and could lead to a short-term increase in stock price. However, the lower than expected guidance for 2024 may temper some of the positive sentiment.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100