Ag Growth International (TSE:AFN) Trading Down 20.6% – What’s Next?

Shares of Ag Growth International Inc. (TSE:AFN) dropped 20.6% on Thursday . The company traded as low as C$14.55 and last traded at C$14.92. 660,356 shares were traded during trading, an increase of 435% from the average daily volume of 123,498 shares. The stock had previously closed at C$18.80.

Key Headlines Impacting Ag Growth International

Here are the key news stories impacting Ag Growth International this week:

• Positive Sentiment: Despite reducing its target to C$20 from C$30, RBC retained an “outperform” rating. The revised target still implies considerable potential upside from recent levels. Ticker Report analyst rating
• Positive Sentiment: Desjardins lowered its target to C$20 from C$25 but maintained a “buy” rating, suggesting the firm views the recent weakness as an opportunity if the company’s performance improves. BayStreet.CA analyst ratings
• Neutral Sentiment: National Bank Financial cut its target to C$19 from C$20 and kept a “sector perform” rating, while ATB Cormark reduced its target to C$18 from C$25 and also rated the shares “sector perform.” These ratings indicate expectations for performance broadly in line with the sector. BayStreet.CA analyst ratings
• Negative Sentiment: The widespread target cuts point to lower near-term expectations across the analyst community, even though the revised targets remain above the current share price.
• Negative Sentiment: Ag Growth reported a quarterly loss of C$2.06 per share on revenue of C$323.18 million. Its negative 3.80% net margin and 20.06% negative return on equity reinforce concerns about profitability and financial performance. Ag Growth International quarterly earnings report

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on AFN shares. Canadian Imperial Bank of Commerce lifted their price target on Ag Growth International from C$19.00 to C$23.00 in a research report on Friday, May 1st. National Bank Financial lowered their price objective on shares of Ag Growth International from C$20.00 to C$19.00 and set a “sector perform” rating for the company in a report on Friday. ATB Cormark Capital Markets decreased their price objective on Ag Growth International from C$25.00 to C$18.00 and set a “sector perform” rating on the stock in a report on Friday. Royal Bank Of Canada decreased their target price on shares of Ag Growth International from C$30.00 to C$20.00 and set an “outperform” rating on the stock in a research note on Friday. Finally, TD boosted their price target on Ag Growth International from C$22.00 to C$30.00 and gave the company a “buy” rating in a report on Tuesday, May 12th. Four analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of C$23.56.

Ag Growth International Stock Down 6.2%

The firm has a market capitalization of C$253.30 million, a P/E ratio of -2.16, a P/E/G ratio of 1.30 and a beta of 0.99. The company has a fifty day simple moving average of C$20.33 and a 200 day simple moving average of C$23.13. The company has a quick ratio of 0.84, a current ratio of 1.30 and a debt-to-equity ratio of 541.43.

Ag Growth International (TSE:AFN) last announced its quarterly earnings results on Wednesday, July 29th. The company reported C($2.06) earnings per share for the quarter. Ag Growth International had a negative net margin of 8.43% and a negative return on equity of 48.31%. The firm had revenue of C$323.18 million for the quarter. On average, equities analysts expect that Ag Growth International Inc. will post 6.5761006 EPS for the current fiscal year.

Insider Buying and Selling

In other Ag Growth International news, Director Rohit Bhardwaj acquired 8,500 shares of the business’s stock in a transaction dated Monday, May 11th. The stock was purchased at an average price of C$24.00 per share, with a total value of C$204,000.00. Following the transaction, the director directly owned 28,500 shares in the company, valued at approximately C$684,000. The trade was a 42.50% increase in their position. Corporate insiders own 1.06% of the company’s stock.

About Ag Growth International

Ag Growth International Inc manufactures portable and stationary grain handling, storage, and conditioning equipment, including augers, belt conveyors, grain storage bins, grain handling accessories, grain aeration equipment, and grain drying systems. The company operates mainly in Portable handling, permanent handling, storage and conditioning, livestock, and manufacturing sectors. Some of its brands are batco, wheatheart, westfield, storm, rem, hi roller, union iron, hsi, tramco, ptm, vis, nuvision, twister, grain guard, airlanco, westeel, frame, and entringer.