Corteva Splitting Up: One Preferred Keeps Its Strong Buy Rating

Corteva, Inc. is splitting into two companies, with preferred stocks assigned to the new Corteva entity. Both CTA.PR.A and CTA.PR.B preferreds offer yields above 6.4%, investment-grade ratings, and cumulative dividends, with low call risk due to high call prices. Despite uncertainty from the split, strong equity coverage and net income over 40x dividend requirements support a minimum Buy rating for both preferred shares. CTA-B is rated a Strong Buy, CT-A a Buy.