01:39 PM EDT, 10/03/2025 (MT Newswires) -- Corteva's ( CTVA ) shares may remain under pressure until the agrichemicals company's split is completed in the second half of 2026, KeyBanc Capital Markets said in a client note e-mailed Friday.

On Wednesday, the company disclosed a breakup plan, separating its seed business from the crop protection segment.

Last month, The Wall Street Journal reported that the company was considering a split. The stock, which has fallen nearly 15% since the report was published on Sept. 12, is expected to struggle in "deal purgatory" until the spinoff, according to KeyBanc analysts, including Aleksey Yefremov.

"While investors may like exposure to faster growing seeds, investors may struggle to value crop protection as a separate company until after the spin," Yefremov wrote. "We believe the breakup will remove the valuation support that crop protection now receives due to being together with a faster growing and more differentiated seeds business."

Keybanc downgraded its rating on Corteva ( CTVA ) to sector weight from overweight.

Corteva ( CTVA ) Chief Executive Chuck Magro said in Wednesday's statement that it was "the right time to act to stay ahead of the market."

"This separation will allow both businesses to maximize long-term value creation by focusing on their own priorities," said Magro, who will head the seed business. "As such, we see this separation as the logical next step in their growth trajectory."

KeyBanc analysts, however, expressed reservations about the spinoff.

"While management steered (Corteva ( CTVA )) confidently in the past, we weren't quite sold on the specific reasons for separation at this stage," Yefremov said. "Our take is management described a more challenging crop protection environment in the medium term, which also makes us pause."

Price: 63.43, Change: -0.06, Percent Change: -0.09