The Andersons (ANDE) reported third-quarter earnings of 7 cents per share, well below the Zacks Consensus Estimate of 39 cents and the prior-year EPS of 70 cents per share. Apart from the Grain & Ethanol Group, all other segments at ANDE posted an operating loss for the quarter.
Revenue declined 33.6% to $601.0 million from $905.7 million in the year-ago period for The Andersons, primarily due to lower grain and plant nutrient prices. The current economic slowdown is having an adverse impact on all of the company’s businesses.
We do not expect a significant turnaround in any of these businesses in the near term. We are downgrading our recommendation on The Andersons to Underperform.Zacks Investment Research
