Linas Agro Group AB (LNA1L; Nasdaq Vilnius)

Lithuania based agricultural holding company currently trading close to an all time low valuation due to recent unfavorable climate conditions negatively impacting company’s earnings. We expect unfavorable weather patterns and hence company’s earnings to mean revert in the near future.

MCap 96M

PE negative (5Y average is 7,5)

PBv 0.57

PS 0.13

DY 1.2% (5Y average)

ROE 3% (5Y average)

Compound annual growth rate (CAGR) is 5%

Yearly stock trading volume is less than 3% making it an overlooked stock.

Established in 1991. The company started its business with the export of the oilseed rape to Western Europe. The Group has been growing naturally and through acquisitions, engaging in new activities.

Currently, Linas Agro Group AB controls 38 subsidiaries in Lithuania, Latvia, Estonia and the Ukraine, having over 2,100 employees.

Listed on NASDAQ Vilnius since 2010.

Linas Agro Group AB activities are structured into five basic segments: The Grains and Oilseeds segment includes wheat, barley, rapeseed, sunflower and linseed, among others; The Feedstuffs segment’s activities include international supply of and trade in secondary products of the food industry, such as sunflower cake, sunflower meal and others; The Agricultural segment covers supplies of such products for crop production as seeds, fertilizers, plant protection products, and agricultural machinery; The Farming segment covers primary production of agricultural produce, including diary production, as well as cultivation of grains, rape and sugar beet, and the Other Products and services segment covers sales of solid biofuel.

Company shareholders, who own 5% or more of issuer’s capital: Akola ApS (Denmark) 69%, Darius Zubas (CEO) 11%.

Financials and other info:

Long Linas Agro Group AB as of 01/21/2020

Purchase price: 0.61 Eu