How Did Fertilizer Stocks Perform in the Week Ended September 23?

Last week was mostly negative for agricultural fertilizer (FXZ) stocks. However, the representative benchmark index, the VanEck Vectors Agribusiness ETF (MOO), ended the week in positive territory. It rose 1.6% to $49.80, while the broad market index, the S&P 500 (SPY), ended the week with a rise of 1.2%. Five of the seven stocks in the graph below ended the week lower last week.

Intrepid Potash (IPI) emerged as the top loser last week, falling as much as 7.8% to $1.06 per share. If PotashCorp (POT) and Agrium (AGU) go through, it will negatively impact Intrepid Potash. PotashCorp ended the week flat at ~$16, while Agrium ended the week with a rise of 1.8% to $91.70.

Nitrogen producers CF Industries (CF) and CVR Partners (UAN) fell 4.4% to $22.60 and 4% to $5.20, respectively. Terra Nitrogen (TNH) ended the week flat at $112 per share.

Mosaic (MOS), the largest producer of phosphate fertilizers, fell 1.8% to $24.80 per share. Israel Chemicals (ICL), which produces phosphate and potash, rose 2.8% to $4.10 per share.

Now let’s see how these companies have done YTD (year-to-date).

Intrepid Potash stock continues to fall. It has fallen as much as 65.5% YTD. It’s followed by CF Industries, which has fallen 44% YTD. CVR Partners has fallen 34.5%, making these three stocks the top losers in the agribusiness space. Mosaic, PotashCorp, and Israel Chemicals are also in negative territory with their stocks falling 12.7%, 8%, and 1.7%, respectively, YTD.

Terra Nitrogen and Agrium are the only two companies in the above group that have had positive returns YTD. They’ve risen 7.3% and 3.1%, respectively.

In this weekly series, we’ll track how prices for key fertilizers moved last week, which ended September 23, 2016. Prices are key for the success of these fertilizer companies.

Let’s start with ammonia in the next part.