8 Best Fertilizer Stocks To Buy Now

6. Lavoro Limited (NASDAQ:LVRO)

Average Upside Potential According to Analysts: 17.88%

Lavoro Limited (NASDAQ:LVRO) is Brazil’s largest agricultural input retailer and a leading provider of biological inputs. The company operates in Brazil, Colombia, and Uruguay, offering a comprehensive portfolio that empowers farmers to adopt innovative solutions and enhance productivity. Lavoro Limited’s (NASDAQ:LVRO) Crop Care business segment is a vertically integrated producer of specialty fertilizers, crop protection products, and proprietary biological crop inputs.

The company’s strategy includes a strong focus on mergers and acquisitions. Since its inception in 2017, Lavoro Limited (NASDAQ:LVRO) has completed 24 acquisitions, quickly becoming a leader in agricultural input distribution in Brazil and Colombia. The company is also focused on strengthening its own brands of agrochemicals, foliar, fertilizers, and biological products.

In its fiscal fourth quarter of 2024, which ended on June 30, 2024, Lavoro Limited (NASDAQ:LVRO) reported a revenue of $1.89 billion, a 5% increase from the previous year. This growth was driven by market share gains and increased sales volumes, despite facing significant challenges in the Brazilian agribusiness sector, where the agricultural inputs retail market declined. The Crop Care segment stood out with a remarkable revenue increase of 24%, reaching $150.7 million for FY2024, and a gross profit of $56.1 million.

In Q4 2024 alone, Lavoro Limited’s (NASDAQ:LVRO) Crop Care revenue surged by 87% year-over-year to $19.9 million. This growth was primarily fueled by strong performance in specialty fertilizers and crop protection products.

LVRO ranks among the best fertilizer stocks to buy. Despite the challenging environment, the company’s ability to gain market share and improve its financial performance highlights its resilience. Lavoro Limited (NASDAQ:LVRO) presents an attractive opportunity for investors looking to buy into a growing fertilizer stock with significant potential for future growth.