Numbers & Narratives – March 17, 2021

Numbers & Narratives – March 17, 2021

Quick collection of ag stock stats and stories


#11 and #29: Deere ($DE) and Scotts Miracle-Gro ($SMG) rankings in the March 15 Investor’s Business Daily IBD 50 weekly computer-generated list. Deere slipped two spots from the previous week and maintained its “extended” label at $369.49. Scotts, which moved up 12 slots from the previous week, was given a sell signal at $200.98 the previous week, but at $223.77 this week was flagged as “forming right side of possible base.” Subscribe to IBD here.

#8 and #18: Deere ($DE) and Nutrien ($NTR) rankings in the March 15 Investor’s Business Daily IBD Big Cap 20. IBD noted that Nutrien made a third test of its 10-week moving average last week after breaking out at $42.16.

34,988: Number of Deere shares sold by ARK Autonomous Technology & Robotics ETF (ARKQ) last week. Combined, the shares sold represent roughly 0.4% of the ETF. ARK makes its daily buy/sell information available to all investors here.

Stocktwits momentum: Among agriculture stocks with more than 300 followers on Stocktwits, the 5 largest percentage increase in followers for the week of March 8, 2021 to March 15, 2021 were:

Bioceres Crop Solutions ($BIOX): +28.0%

AppHarvest ($APPH): +11.9%

GreenGro Technologies ($GRNH): +4.8%

Mosaic ($MOS): +3.6%

Marrone Bio Innovations ($MBII): +1.8%


Nutrien ($NTR): At last week’s World Agri-Tech Innovation Summit, Nutrien CEO Chuck Magro headlined the session titled, “How can Corporates Play a Bigger Role In Sustainable Agriculture?” Lazard’s Head of Agribusiness Brook Cunningham hosted the discussion. In November, Nutrien announced a pilot program for carbon farming, targeting 100,000 acres in the U.S. and Canada. During last week’s session, Magro said the pilot’s approach is “to sequester carbon, measure it properly, then work toward monetizing it with farmer customers.” When asked what he’s hearing from the financial community, Magro said investors “want to see much more than glossy brochures” – they want to see “adjusting of the core business model.” Nutrien’s primary objective for farmers, Magro said, was “getting (farmers) paid to manage carbon.” When asked how Nutrien approaches the innovation ecosystem, Magro said the company bolsters its own internal R&D with use of VC LPs, direct investment in startups, and a “very robust M&A strategy.” Magro said investors should expect more of the same successful approach as the company expands its carbon pilot globally.

Note: The World Agri-Tech virtual summit is active until April 10 on desktop and mobile app, and attendees can watch/rewatch content on demand. Read the Ag Stock Investor preview here. Visit the World Agri-Tech Innovation Summit page for details about access to the U.S. sessions, and visit the new World Agri-Tech South America Summit (June 29-30) page and World Agri-Tech Innovation Summit (September 28-29) page.

Bioceres Crop Solutions ($BIOX): Also at last week’s World Agri-Tech Innovation Summit, Bioceres Crop Solutions ($BIOX) Director Ari Freisinger took part in the “Biology with Purpose: Opportunities at the Intersection of Biology, Agriculture & Food” panel moderated by Vipula Shukla of the Bill & Melinda Gates Foundation. Consistent with the event theme “Towards Net Zero Agriculture and Supply Chain Resilience,” questions for companies on the panel (including Joyn Bio, Inari, and Zymergen) focused on ESG topics. Of particular note to investors is Freisinger’s emphasis that Bioceres is working with key stakeholders throughout the Argentina and Brazil value chains to ensure successful launches of the company’s HB4 (drought tolerant) wheat and soybeans. On the company’s Feb. 11 earnings call, CEO Federico Trucco said he expects the company to receive an update from Brazil regulators regarding import approval of HB4 wheat by May.

Bioceres’ greenhouse gas story is particularly compelling for ESG investors. Freisinger highlighted the HB4 trait’s ability to minimize CO2 footprint as part of a holistic systems approach. Specifically, combining HB4 and the company’s biological products (inoculants and biofertilizers) results in a “far lower environmental footprint” when combined with no-till and crop rotation. Freisinger said pairing summer soy with winter wheat, even with areas of water stress, can fix up to 1.6 tons of CO2 in the soil per hectare per year.

Bioceres closed Tuesday (3/16/21) at $11.10, up 40.5% in the five trading sessions after Freisinger’s appearance at World Agri-Tech – with a 32% gain between March 15-16. On Tuesday, the company announced it was acquiring a stake in Moolec Science and entering the alternative food market.

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