Is CTVA a high-quality business?

AlphaMadera's AlphaQuality grade scores Corteva, Inc. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how CTVA compares to a Buffett-style quality bar.

What is Corteva, Inc.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to CTVA based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes CTVA a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

CTVA - Corteva, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $88.17 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Cyclical & Capital-Intensive

AlphaQuality — archetype-weighted quantitative grade

B- 62.8 / 100 composite

Composite Grade

Composite of six pillars weighted for cyclical & capital-intensive businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 15%

C- 50.6

5yr Avg ROIC 4.6% 33/100
Operating Margin Trend +1.46 pp/yr 92/100

Capital Efficiency

Weight: 15%

C 53.3

5yr Avg ROE 4.7% 33/100
5yr Share-Count CAGR -2.4% 90/100

Growth Quality

Weight: 10%

D- 31.5

5yr Revenue CAGR 2.7% 42/100
5yr EPS CAGR -9.4% 1/100
Revenue-Growth Years (5) 3/5 60/100

Cash Generation

Weight: 15%

B+ 78.5

5yr FCF Margin 9.5% 68/100
5yr FCF/NI Conversion 1.47x 91/100

Balance Sheet

Weight: 25%

A- 84.2

Net Debt / EBITDA -0.63x 98/100
Interest Coverage (EBIT/Int) 10.38x 86/100
Altman Z-Score 2.51 57/100

Stability

Weight: 20%

C 56.6

EPS Volatility (σ/μ) 0.55 26/100
Piotroski F-Score 9 100/100
Negative-Revenue Years (5) 2/5 60/100

3 of 3 gurus held; 1 added; 2 trimmed; 1 full exit.

Holders: 3
Avg Δ position: -24.7%
New buys: 0
Full exits: 1

Dalio sold -100%
Wood decreased -96%
Greenblatt increased +67%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (15%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (10%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (25%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (20%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.