Brasilagro Brazilian Agric Real Estate Co Sponsored ADR (Brazil) (LND)

FairStock Score: 64/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Buffett/Graham-style investor, I look first for a durable business and a margin of safety. BrasilAgro is an asset-heavy agricultural land company in Brazil, Paraguay, and Bolivia, with operations spanning real estate, grains, sugarcane, cattle, cotton, and other segments. At $3.77 on 2026-10-13, market cap is $401.5M. The FairStock P/B is 0.95, so the stock trades just below stated book value. That is the main attraction. But the earnings picture is poor: in the fiscal 2026 second quarter, revenue was $253.9M and net income was -$13.9M, a -5.49% margin. FairStock's P/E is -20.94, ROE -4.28%, ROCE -1.30%, and trailing free cash flow is -$22.2M, a -5.5% FCF yield. Debt-to-equity is 0.71, and the Altman Z-Score of 0.35 signals meaningful financial distress risk. The Piotroski F-Score of 6/9 is middling, not a clear green shoot. A 3.95% dividend yield is attractive only if profits and cash flow recover. Beta is -0.05, suggesting little historical market correlation, but that does not remove operating risk. The company's asset base may be worth more than the market price, but without positive returns on capital and free cash flow, the discount can persist. I would want to see the land sales and farming operations convert revenue into net income and cash. Growth in revenue means little if the bottom line remains negative. This is a speculative asset play, not a high-quality compounder.

In plain English: BrasilAgro owns, develops, and sells farmland and also produces grains, sugarcane, cattle, and cotton in South America. The business looks weak right now: in the 2026 second quarter it reported $253.9 million of revenue but a $13.9 million net loss, and it is not producing spare cash after investments. At the 2026-10-13 closing price of $3.77, the shares trade near the accounting value of the company's assets, which may look inexpensive, but the losses and debt make it a risky-looking situation.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer