CRESY - Cresud: Excellent Real Estate Business And A Positive Outlook
2025-08-14 15:48:40 ET
Investment Thesis
I grant Cresud (CRESY) a Buy rating. I believe that the company exhibits a positive outlook in the following years. To begin with, the Argentinian Government has reduced export taxes on agricultural products. Currently, corn is taxed at 9.5% and soybeans at 26%. At this level and without currency control, the Argentinian agricultural production is projected to increase by 29.50% between 2024 and 2035. The Government plans to completely eliminate the export taxes on agricultural products. This decision will have a positive effect on Cresud's net income. Furthermore, commodity prices are reaching the levels observed between 2014 and 2020, a period of low prices. Consequently, since agricultural commodity prices are cyclicals, Cresud could benefit from higher prices of these raw materials in the upcoming years....
Cresud: Excellent Real Estate Business And A Positive Outlook