xavierarnau/E+ via Getty Images Investment Thesis I recommend holding BrasilAgro ( NYSE: LND ) shares. Brazil is a global power in agribusiness, one of the sectors where the country has competitive advantages such as climate, soil, crop diversification and technology. However, I believe that BrasilAgro's results will remain under pressure in the short and medium term due to the outlook for commodity prices.

Furthermore, the company's projected EV/EBITDA is not cheap given its own track record. Introduction Brazil is an agribusiness powerhouse, and before talking about Brazil's positioning in the world, it is important to highlight that agribusiness has been the main engine of Brazilian economic growth, being responsible for almost 1/4 of Brazil's GDP . Brazil is also the largest net food exporter in the world.

As a reference, in 2022 the country exported more than $123 billion. Brazil is the leader in the export of coffee, corn, sugar, orange juice, meat and chicken, and is also the second largest exporter in the world of ethanol and cotton. In this scenario, we have large agribusiness companies in Brazil, and BrasilAgro is one of the largest companies in terms of arable land in Brazil.

From now on, we will better understand the company's history and business model. History And Business Model BrasilAgro was founded in 2006 , and focuses on the acquisition, development and commercialization of rural properties. After acquiring a farm with the potential to generate value, the c.