Seeking Alpha
Editor's notes: With recent investments propelling free cash flow margins toward double-digits, AVD looks to be significantly undervalued compared to peers. 40% potential upside.

American Vanguard (AVD) has long been a volatile small-cap stock. Some of that can be chalked up to the vagaries of the agricultural chemicals market, a business where the likes of FMC Corp. (FMC) have also had ample ups and downs. Some of it, too, can be attributed to the fact that investors in agricultural stocks often seem to look and think no further than the next harvest, so planting, weather, and harvest data can make these stocks move in the opposite direction of fundamentals.

To that end, I think it's worth checking out American Vanguard today. Although I do have some long-term concerns about the company's position vis a vis new GM crops...

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