New Corteva Faces Oversold Potential, Oppenheimer Says

MT Newswires Live
Sep 25

New Corteva (CTVA) shares could run into an oversold position amid disproportionate investor focus on the merits of Vylor (VYLR), Oppenheimer said in a report Thursday.

The company reported a separation of Corteva into two publicly traded companies through the separation of its seed operating segment into Vylor, with shareholders receiving one Vylor share for each Corteva share. The record date is Sept. 24.

RBC analysts said they see value below $12 based on fully-burdened sum-of-the-parts valuation using 6x pro forma 2027 EBITDA estimate.

They said the thesis is not that Crop Protection is suddenly a structurally different business, but that the standalone company combines cyclical upside with a more defensible portfolio than peer comps credit.

"The primary risk is that initial holders retain Vylor while treating New Corteva as the less attractive residual security, temporarily disconnecting valuation from earnings and balance-sheet capacity," the analysts said.

Price: 79.68, Change: -0.74, Percent Change: -0.92

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