AGRO - Adecoagro Continues To Invest In Growth Amid Brutal Commodity Pressures
My biggest issue with investing in Adecoagro (AGRO) has always been its vulnerability to commodity price swings, and those swings have been hammering the company and the stock over the last year. At the same time, management has continued to invest in projects that it believes will deliver meaningful long-term growth — the latest being the acquisition of Argentina’s largest dairy processor. Adecoagro has shown that it can run its diverse operations well, but efficient operations in sugar, ethanol, and farming can only go so far in the face of commodity price pressure.