RBC Capital raised its price target on Corteva (NYSE:CTVA) to $85 from $74, reaffirming an Outperform rating as confidence grows in the company’s long-term earnings trajectory and strategic execution.
The updated forecast reflects modest upward revisions to EBITDA estimates for fiscal 2025 and 2026, with projections now at $3.78 billion and $4.1 billion, respectively. This comes on the heels of a solid first-quarter performance that supports the credibility of Corteva’s 2025 guidance and 2027 strategic targets.
RBC highlights several tailwinds that could drive further upside. These include a recovery in Brazilian seed plantings, reduced currency headwinds, and potential share gains from farmers switching away from Dicamba herbicides. The firm also points to improving margins from cost discipline, operational efficiencies, and lower royalty payments, which collectively enhance the earnings outlook.
Valuation has been adjusted to reflect 2026 EBITDA at 14 times, up from the previous basis of 2025. Additionally, Corteva’s $1 billion share repurchase plan set for 2025 adds to the bullish case, reinforcing shareholder returns as part of the company’s capital allocation strategy. Overall, RBC sees Corteva as well-positioned to outperform as it benefits from both internal execution and favorable industry dynamics.
