Corteva upgraded to Buy at Loop Capital on ‘compelling’ growth drivers

As previously reported, Loop Capital analyst Chris Kapsch upgraded Corteva (CTVA) to Buy from Hold with a price target of $65, up from $57. The company’s earnings guidance for 2024 was “ahead of expectations and encouraging,” says the analyst, who adds that the bridge to accelerating growth through 2025 and Corteva’s reaffirmation of its prior 21%-23% EBITDA margin target for next year “underscores the compelling structural and secular nature” of the company’s growth drivers. A U.S. Court’s ruling late last week to vacate the EPA’s approvals for dicamba from competitors Bayer’s (BAYRY) Monsanto and BASF (BASFY) will likely spur increased demand for Corteva’s Enlist-based seed platforms and Enlist-branded herbicide, the analyst added.