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S&P/ASX All Ordinaries Index (ASX: XAO) is in the green on Tuesday, up 0.08% to 8,873.8 points.
Morgans has updated its ratings and 12-month price targets on three ASX agriculture shares following their FY25 reports.
Let’s take a look.
Neferm is an agrochemical and seed technology company with customers all over the world.
Neferm shares are trading at $2.39, down 2.85% today and down 34% year-to-date.
Morgans has a Buy rating on Nifurm shares with a 12-month price target following the company’s fiscal year 25 results.
The broker commented:
Although NUF’s FY25 result was weak, it was slightly above guidance.
Solid crop protection results were overshadowed by the performance of poor seed technologies. Gearing was too high at 2.7x, however it was better than feared. Outlook’s comments were encouraging.
In FY26, material income is expected to increase and leverage ratio to decrease. We have upgraded our forecast. Now that there is confidence in the future of seed technologies, the industry’s operating conditions have improved and there is a clear path to balance sheet deleveraging, we upgrade NUF to a BUY recommendation and a 20-3.20 price target.
Ameedin provides all types of farming products as well as advisory, financial and real estate services.
Elderly’s shares closed at $7.28, up 0.14% on Tuesday and up 1% for 2025.
Recently, the broker maintained its buy rating on Senior after the company released its FY25 results.
Morgans says there are a number of drivers in place in FY26 that should enable seniors to deliver strong growth.
The broker upgraded its price target on the ASX agriculture share to $8.65 from $8.50.
Morgans commented:
ELD’s FY25 result was in line with its guidance. As was well guided, 2H25 was weak due to drought.
Outlook comments were optimistic, 1Q26 is off to a strong start and FY26 should benefit from a positive outlook of rains, sales prices, acquisitions and turnaround plans.
GrainCorp offers grain handling, storage and logistics services as well as trading and marketing. It also processes soybeans to produce vegetable oil and other food products.
GreenCorp shares are trading at $8.09, up 0.4% on the day and up 9.6% on the year.
Morgans believes the ASX agriculture share is overvalued after falling 8.4 per cent over the past month.
The broker maintained a collect rating on GreenCorp shares following the company’s FY25 results.
Morgans said:
While it could be argued that the FY25 P&L result was of lower quality due to a one-off, operating cash flow was materially stronger than expected, undermining GNC’s strong underlying cash position.
This allowed the company to deliver an attractive final dividend to shareholders.
In line with its international peers’ recent outlook commentary, GNC said the margin environment is likely to remain subdued in FY26. Hence the consensus estimate was very high.
Importantly, payments to the insurance company will not occur in big crop years, allowing GNC to take advantage of strong fixed costs when crop production problems around the world eventually occur.
