Adecoagro going strong
We’ve already discussed Adecoagro SA (NYSE:AGRO) in our analysis of George Soros’s best small-cap stock picks (which may be the best way to “monkey” hedge funds), and it’s worth noting that the agricultural holding company is still a top five pick in his portfolio. High-value arable land is the key driving force behind this stock, and Adecoagro has plenty of it. The company owns more than three-dozen properties in Brazil, Uruguay and Argentina, where farmland prices have followed a favorable trend similar to price levels in the U.S.
Trading at parity with their book value, shares of Adecoagro are obviously cheap at the moment, which is a trait that most of Soros’s high-conviction investments share. It’s easy to understand why the billionaire hedge fund manager is so bullish.
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