AgriFORCE Growing Systems (NASDAQ:AGRI) & Lavoro (NASDAQ:LVRO) Head to Head Comparison

AgriFORCE Growing Systems (NASDAQ:AGRI) and Lavoro (NASDAQ:LVRO) are both small-cap consumer staples companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Profitability

This table compares AgriFORCE Growing Systems and Lavoro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AgriFORCE Growing Systems	N/A	-193.94%	-84.08%
Lavoro	N/A	N/A	N/A

Institutional & Insider Ownership

8.2% of AgriFORCE Growing Systems shares are held by institutional investors. Comparatively, 2.5% of Lavoro shares are held by institutional investors. 6.7% of AgriFORCE Growing Systems shares are held 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.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for AgriFORCE Growing Systems and Lavoro, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AgriFORCE Growing Systems	1	0	0	0	1.00
Lavoro	3	1	0	0	1.25

Lavoro has a consensus price target of $3.44, suggesting a potential upside of 158.46%. Given Lavoro’s stronger consensus rating and higher probable upside, analysts clearly believe Lavoro is more favorable than AgriFORCE Growing Systems.

Earnings and Valuation

This table compares AgriFORCE Growing Systems and Lavoro”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AgriFORCE Growing Systems	$70,000.00	60.26	-$16.27 million	($36.94)	-0.09
Lavoro	$1.89 billion	0.08	-$152.49 million	($1.63)	-0.82

AgriFORCE Growing Systems has higher earnings, but lower revenue than Lavoro. Lavoro is trading at a lower price-to-earnings ratio than AgriFORCE Growing Systems, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

AgriFORCE Growing Systems has a beta of -0.04, meaning that its share price is 104% less volatile than the S&P 500. Comparatively, Lavoro has a beta of 0.49, meaning that its share price is 51% less volatile than the S&P 500.

Summary

Lavoro beats AgriFORCE Growing Systems on 7 of the 12 factors compared between the two stocks.

About AgriFORCE Growing Systems

AgriFORCE Growing Systems Ltd., an agriculture-focused technology company, focuses on the development and commercialization of plant-based ingredients and products that deliver healthier and nutritious solutions. The company operates in two divisions, AgriFORCE Solutions and AgriFORCE Brands. It also offers management advisory services and holds intellectual property, as well as engages in the real estate holding and development activities. The company was formerly known as Canivate Growing Systems Ltd. and changed its name to AgriFORCE Growing Systems Ltd. in November 2019. AgriFORCE Growing Systems Ltd. was incorporated in 2017 and is headquartered in Vancouver, Canada.

About Lavoro

Lavoro Limited operates as an agricultural inputs retailer. The company operates through three segments: Brazil Cluster, LATAM Cluster, and Crop Care Cluster. It distributes agricultural inputs, such as crop protection, seeds, fertilizers, foliar fertilizers, biologicals, adjuvants, organominerals, and others for the agricultural industry. The company also produces specialty fertilizers, crop protection products, and biological crop inputs. It operates in Brazil, Colombia, and Uruguay. The company sells its products through its physical stores and digital channel. Lavoro Limited was founded in 2017 and is headquartered in São Paulo, Brazil.