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Farmland Partners Inc. (FPI)

NYSE - NYSE Delayed Price. Currency in USD
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12.64+0.12 (+0.96%)
At close: 4:00PM EDT
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  • B
    Biotex
    Congrats to FPI for obtaining the retraction and compensatory damages from Rota the shorter. Now, if we could just add a little jail time, maybe that would dissuade these types of liars/cheats/scammers from engaging in such activities in the future.
  • O
    Owen
    FPI vs FPIPB? Is the only difference that PB is preferred stock?
  • A
    Anonymous
    Does anybody own FPIpB? I read the latest qtr transcript, Pittman has bought back quite a full of them for under $26... and it is callable this October and he said 6% is expensive and wants to get rid of them so I sold half my holdings... I wanted to hold them for the rest of my life but I see the writing on the wall
  • j
    jack
    I hope someone can help me out. When I calculate the book value, instead of $9.52
    I get (974,000,000 - 533,000,000 / 30,000,000 ) = 14.7 ( cost - expense / number of shares ) What am I doing wrong?
  • B
    Biotex
    Why are they diluting us by selling stock to the new guy? If he wants a substantial stake in the company, can't he make open market purchases? I don't get it...
  • B
    Bradley
    farmland values vary cropland much higher than pastureland irrigated much higher than non-irrigated
    prices vary by state listing here from indiana

    Farmland Values
    Indiana farmland prices increased in 2020, following several years of modest declines from the 2014 peak. The 2020 Purdue Farmland Values and Cash Rent Survey indicated that high quality land values increased by 4.5% to $8,579. Average quality land values increased by 3.2% to $7,236, and poor quality land values increased by 6.3% to $5,746. It is important to note that the price increases between June 2019 and June 2020 were concentrated in last half of 2019, and prices moderated slightly from December 2019 to June 2020 (Kuethe and Dobbins, 2020). The majority of Purdue Land Values and Cash Rent Survey respondents anticipated the modest declines to continue through the remainder of 2020.



    Farmland prices are determined by a complex set of economic forces, including expected returns from agricultural production, the cost of borrowing (or interest rates), and potential growth in future returns. As of this writing, recent results from the Purdue University-CME Group Ag Economy Barometer suggest farmers are optimistic for both current and future expectations of the agricultural economy which should place positive momentum on farmland values. In addition, the current economic certainty should ensure that interest rates and the costs of borrowing remain low. Low interest rates also provide support to farmland prices. Finally, given the high levels of uncertainty, many prospective buyers may choose to hold current farmland investments and delay potential sales. For several years, the limited supply of farmland on the market has bolstered sales prices. Thus, a number of forces are expected to provide positive support for farmland prices which may result in higher values in 2021.

    However, one of the key lessons of 2020 is that many expectations will go unrealized and economic conditions can change quickly. The high degree of economic uncertainty will likely remain as long as the nation and our economy struggles with COVID-19. In addition, a change in Presidential Administration and Congress in early 2021 may impact a number of important policy decisions related to agriculture, the environment, energy, and trade. It is still far too early to tell how these changes will work their way through the land market.

    There is a belief that farmland is the residual claimant of the farm sector. That is, the economic returns to agricultural production accrue to farmland. As shown in Figure 1, farmland prices rise and fall according to general trends in commodity prices and the cost of production. If our relationships with major trading partners and the demand for fuel, food, and fiber provided by agricultural commodities continues to improve, farmland prices will capture these changes. However, if trade and consumption patterns are adversely affected by broader economic uncertainty, farmland prices would also be expected to decline.



    Cash Rental Rates


    Over the last decade, cash rental rates across Indiana increased dramatically during the commodity price boom but then moderated as operating margins tightened. Since 2016, cash rental rates have held relatively steady, yet the most recent Purdue Land Values and Cash Rent survey reported an increase in cash rental rates from 2019 to 2020 (Kuethe and Dobbins, 2020). When 2020 cash rental rates were set, many farmers and landowners justified higher rental rates given decreasing variable costs of production and an optimistic view of the agricultural sector going into the 2020 growing season. For example, the Purdue Ag Barometer suggested more optimistic future expectations coming out of the 2019 growing season. However, as we all know, the economic conditions of 2020 were made surprisingly difficult following the emergence of COVID-19 in early Spring.



    Figure 2 Indiana cash rents from the Purdue Farmland Value Survey for 2010 - 2020 by land quality
  • E
    Eugene
    Despite the earnings release later today and conference call tomorrow, and the potential price volatility associated before and after, I decided to take a small position in this company. Farmers and ranchers have been beaten up pretty good for the past 6 or 7 years, but I think that is about to change. Why? Primarily the weakening dollar and the potential benefit to exporting in general, ag in particular. Of course, usable farm land should increase as well. Secondarily, and I am not really a chartist, in the conventional sense that is, but the price pattern of FPI clearly broke a 5 year bearish trend using point and figure analysis. It occurred in June marking a shift in sentiment from bearish to bullish. jmho.
  • J
    Jack M
    Could somebody please correct my dumb farmer math: $347.35 million / 156,500 acres = $2219 /acre. Add the debt onto that cost: $508 million / 156,500 acres = $3246/acre + $2219 = a total cost of $5465/acre through investing in FPI. I'm not a financial guy so I'm sure I've probably made a mistake here, eh? This seems way too cheap of a cost to own an acre of prime USA farmland. I'm farming in Canada and in my area land is worth $25,000/acre ($20,000 USD) and our growing season is far shorter. Most of us FPI investors realize that the real rate of inflation is far higher than the government tells us. Asia is consuming more meat and agricultural commodity prices are moving higher. So how do we play the currency debasement? Do we spend $58k on a bitcoin? Or do we spend that same money and buy FPI and essentially own over 10 acres of beautiful productive farmland? What type of alternative reality do we live in? I love this stock and have been adding to my position today. GLTA longs!!!
    Bullish
  • y
    yf_user
    "Court Orders Rota Fortunae to Reveal True Identity and Comply with Discovery Requests; Denies Rota Fortunae's Motion to Dismiss" https://finance.yahoo.com/news/farmland-partners-inc-announces-court-103000451.html
  • R
    Ronald
    I got scared out of my shares. I admit - it very likely could end up being a bad move. However, I am a relatively young retiree who lives on dividend income. I did not like what I read - that they fired the auditor, the CEO flies a Corporate Jet, like 3 or 4 board members quit. I got scared and sold. Better to lose a chunk of my investment - and reinvest else-where, than lose the whole thing. I wish remaining shareholders luck and I hope this is not true and the stock goes back up. It is the middle of July and I want to have a fun summer and did not want to be stressed out reading about FPI around the clock. I hope the best for FPI shareholders and if the stock recovers, maybe one day I'll jump back in. They don't make any more land - so I thought owning a farmland reit was a sound income investment - with possibility of capital appreciation. Meanwhile I put the remaining money in to KDP which is the new company the combined Doctor Pepper Snapple and Keurig. A lot of iconic brands and a good dividend. Brand new so hopefully I'll see capital appreciation. Good Luck All.
  • K
    Kevin
    Wow... just wow. Seems the huddled masses have figured this out. Considering Bill Gates has been investing heavily in farmland I would be too.

    I can't believe how cheap the options are... not for long!
  • j
    jack
    Something strange going on. This is not the usual movement of this stock.
  • K
    Kevin
    Question... good inflation hedge?
  • B
    Brecht
    Farmland Partners Loans Are 'Concerning, But Immaterial,' Analyst Says In Upgrade

    The Analyst

    B. Riley FBR analyst Craig Kucera upgraded Farmland Partners from Neutral to Buy and cut the price target from $8.50 to $8.

    The Thesis

    The catalyst behind Farmland Partners’ selloff was a Seeking Alpha article claiming the company is self-dealing by making loans to related third parties that kick back the cash as rent.

    Farmland Partners CEO Paul Pittman said in a press release there is “utterly no risk of insolvency” and that the article, written by a short seller, is “fundamentally inaccurate and misleading."

    Farmland launched its loan program in 2015. As of the first quarter this year, it represents less than 1 percent of its undepreciated assets. Only 1 percent of the company's revenue in 2017 was attributable to the program.
  • B
    Bradley
    selling off as RSI hit 88 yesterday......Do any of the posters know the location of FP land
  • A
    Anonymous
    Foreign Investors have bought up the equivalent land area as the State of Tennessee.

    https://www.agriculture.com/farm-management/farm-land/foreign-investment-in-us-farmland-on-the-rise

    This paragraph caught my attention. One would think they are buying fertile land rather than the badlands.

    "The database shows that between 2004 and 2014, the amount of agricultural land held by foreign investors doubled from 13.7 million acres to 27.3 million acres — an area roughly the size of Tennessee."

    FL
    Over the past decade, foreign companies have been investing in agricultural land in the United States at a record pace, according to a Midwest Center for Investigative Reporting analysis of USDA data.
    Over the past decade, foreign companies have been investing in agricultural land in the United States at a record pace, according to a Midwest Center for Investigative Reporting analysis of USDA data.
    www.agriculture.com
  • R
    Ronald
    How we doing with FPI? I own a bunch. I was hoping owning Farmland is safe. Any comments appreciated.
  • K
    Kevin
    Big options positiion growing... $17.50 Aug 8 calls. More accumulation today. Bullish put/call ratio.
    Going higher.
  • B
    Bradley
    disappointed in earnings report but 2021 looks good
    Neutral
  • n
    neal
    We believe FPI is artificially increasing revenues by making loans to related-party tenants who round-trip the cash back to FPI as rent; 310% of 2017 earnings c
    We believe FPI is artificially increasing revenues by making loans to related-party tenants who round-trip the cash back to FPI as rent; 310% of 2017 earnings c
    seekingalpha.com