Brasilagro Cia Brasileira De Propriedades Agricolas (NYSE:LND) and FMC (NYSE:FMC) Head-To-Head Analysis

Brasilagro Cia Brasileira De Propriedades Agricolas (NYSE:LND) and FMC (NYSE:FMC) are both small-cap consumer staples companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Institutional and Insider Ownership

1.2% of Brasilagro Cia Brasileira De Propriedades Agricolas shares are owned by institutional investors. Comparatively, 91.9% of FMC shares are owned by institutional investors. 0.7% of Brasilagro Cia Brasileira De Propriedades Agricolas shares are owned by insiders. Comparatively, 0.8% of FMC shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Brasilagro Cia Brasileira De Propriedades Agricolas and FMC”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brasilagro Cia Brasileira De Propriedades Agricolas	$195.52 million	1.98	$24.08 million	($0.03)	-125.50
FMC	$3.47 billion	0.50	-$2.24 billion	($19.98)	-0.69

Brasilagro Cia Brasileira De Propriedades Agricolas has higher earnings, but lower revenue than FMC. Brasilagro Cia Brasileira De Propriedades Agricolas is trading at a lower price-to-earnings ratio than FMC, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Brasilagro Cia Brasileira De Propriedades Agricolas has a beta of 0.03, suggesting that its stock price is 97% less volatile than the S&P 500. Comparatively, FMC has a beta of 0.39, suggesting that its stock price is 61% less volatile than the S&P 500.

Dividends

Brasilagro Cia Brasileira De Propriedades Agricolas pays an annual dividend of $0.12 per share and has a dividend yield of 3.2%. FMC pays an annual dividend of $0.32 per share and has a dividend yield of 2.3%. Brasilagro Cia Brasileira De Propriedades Agricolas pays out -400.0% of its earnings in the form of a dividend. FMC pays out -1.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Brasilagro Cia Brasileira De Propriedades Agricolas is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Brasilagro Cia Brasileira De Propriedades Agricolas and FMC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brasilagro Cia Brasileira De Propriedades Agricolas	-1.81%	-0.84%	-0.46%
FMC	-72.93%	10.53%	2.95%

Analyst Recommendations

This is a summary of current ratings and recommmendations for Brasilagro Cia Brasileira De Propriedades Agricolas and FMC, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brasilagro Cia Brasileira De Propriedades Agricolas	1	1	0	0	1.50
FMC	3	9	2	0	1.93

FMC has a consensus target price of $20.46, suggesting a potential upside of 49.03%. Given FMC’s stronger consensus rating and higher possible upside, analysts clearly believe FMC is more favorable than Brasilagro Cia Brasileira De Propriedades Agricolas.

Summary

FMC beats Brasilagro Cia Brasileira De Propriedades Agricolas on 10 of the 16 factors compared between the two stocks.

About Brasilagro Cia Brasileira De Propriedades Agricolas

BrasilAgro – Companhia Brasileira de Propriedades Agrícolas engages in the acquisition, development, exploration, and sale of rural properties suitable for agricultural activities in Brazil and internationally. It operates through six segments: Real Estate, Grains, Sugarcane, livestock, Cotton, and Other. The company involved in the cultivation of soybean, corn, sesame, and cotton, as well as sugarcane; and production and sale of beef calves after weaning. It also imports and exports agricultural products, livestock, and forestry activities and inputs; purchases, sells, and/or rents rural/urban properties; provides real estate brokerage services; and manages third-party assets. It operates farms through own and leased lands. BrasilAgro – Companhia Brasileira de Propriedades Agrícolas was incorporated in 2005 and is headquartered in São Paulo, Brazil.

About FMC

FMC Corporation, an agricultural sciences company, provides crop protection, plant health, and professional pest and turf management products. It develops, markets, and sells crop protection chemicals that includes insecticides, herbicides, and fungicides; and biologicals, crop nutrition, and seed treatment products, which are used in agriculture to enhance crop yield and quality by controlling a range of insects, weeds, and diseases, as well as in non-agricultural markets for pest control. The company markets its products through its own sales organization and through alliance partners, independent distributors, and sales representatives. It operates in North America, Latin America, Europe, the Middle East, Africa, and Asia. The company was founded in 1883 and is headquartered in Philadelphia, Pennsylvania.