Adecoagro (NYSE:AGRO) & Pinnacle Food Group (NASDAQ:PFAI) Financial Review

Adecoagro (NYSE:AGRO) and Pinnacle Food Group (NASDAQ:PFAI) are both small-cap consumer staples companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, risk, analyst recommendations, valuation, profitability, earnings and dividends.

Valuation and Earnings

This table compares Adecoagro and Pinnacle Food Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Adecoagro	$1.52 billion	0.50	$92.34 million	$0.35	21.73
Pinnacle Food Group	$3.29 million	8.89	$290,000.00	N/A	N/A

Adecoagro has higher revenue and earnings than Pinnacle Food Group.

Profitability

This table compares Adecoagro and Pinnacle Food Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Adecoagro	1.67%	3.10%	1.36%
Pinnacle Food Group	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings for Adecoagro and Pinnacle Food Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Adecoagro	3	1	0	0	1.25
Pinnacle Food Group	1	0	0	0	1.00

Adecoagro currently has a consensus price target of $9.60, indicating a potential upside of 26.23%. Given Adecoagro’s stronger consensus rating and higher probable upside, equities analysts clearly believe Adecoagro is more favorable than Pinnacle Food Group.

Institutional & Insider Ownership

45.3% of Adecoagro shares are owned by institutional investors. 6.7% of Adecoagro shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Adecoagro beats Pinnacle Food Group on 9 of the 10 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 Pinnacle Food Group

Our Mission We are committed to becoming a leader in the field of smart farming solution services, focusing on vertical and hydroponic farming. Our goal is to promote sustainable food security by developing and building customized smart farming systems based on the systematic integration of technology, hardware and software, coupled with a full range of integrated technical and supply services (Farming as a Service, or FaaS). We currently sell hydroponic growing systems and technical support services to individual households and community groups and are developing a hydroponic growing system for urban farms. Our hydroponic growing systems include various sensors, growing trays, racks for growing trays, growing baskets, light panels, water tanks and consumables such as seeds, grow sponges and nutrient solutions. We also provide advice, agricultural data intelligence, controllable data applications that assist users to manage growing conditions, environmental design consulting, equipment installation, and agricultural technical support to the users of our equipment. We intend to provide such equipment and services to urban farms (such as organic vegetable farms) in early 2025 and to smart greenhouses and large-scale farming systems later in 2025. Our core technology is based on real-time remote data monitoring, utilizing off-the-shelf sensors we have purchased from third parties. Based on the data received from the installed sensors and analyzed at a data center using big data structures and machine learning training models developed for us by third parties, we provide data intelligence to users of our hydroponic growing systems through our mobile application. The sensors installed on our hydroponic growing systems extract a large amount of data from the growth process of the vegetables. This data is transmitted to our data center, where it is processed using big data structures and machine learning models. While the data structures and machine learning models were initially developed by third parties, we continuously fine-tune them based on the environmental data obtained from our hydroponic growing systems. As the data grows over time, we periodically update and retrain the models to incorporate new patterns observed in the feedback loop. The recommendations we provide through our mobile application are both data-driven and highly customized to each user’s specific growing environment. Our customers can access real-time insights and personalized summary data through our mobile application, enabling them to make informed decisions and optimize their planting. Prior to entering the smart farming solution business in 2023, we were engaged in the sale of ginseng and provided consulting services with respect to its cultivation. We ceased to sell ginseng and provide consulting service with respect to its cultivation in 2023 to concentrate on our smart farming solution business. Our principal executive offices are located in Vancouver, Canada.