CF Industries’s earnings
CF Industries (CF) is set to announce its 4Q16 earnings after trading hours on February 15, 2017, with estimated earnings per share (or EPS) of -$0.05. In 4Q15, CF Industries reported EPS of $0.76. Negative EPS does not impress fertilizer (MOO) (SPX) investors who want the sector to overcome the weakness in the agribusiness environment.
For a comprehensive overview of the fertilizer industry, please read Agricultural Fertilizer Industry: Your Comprehensive Overview.
Performance so far
Over a one-year period, CF Industries (CF) has returned ~16.6%. CF stock traded at $34.94 on February 8, 2017. Compare this to the VanEck Vectors Agribusiness ETF (MOO), which returned ~23.2% over the same period, and the S&P 500 Index (SPX-INDEX), which returned ~22.0%.
When comparing CF Industries’s performance with its industry peers, we can see that fertilizer stocks that were limping last year have all gained momentum lately. PotashCorp (POT) rose 13.3%, and Agrium (AGU) rose 23%. Terra Nitrogen (TNH) rose 3% over a one-year period.
In this series, we’ll look at analysts’ earnings expectations for CF Industries (CF). We’ll also look at forecasts for some key financial metrics such as revenues, profit margins, and capital outlay over the next 12 months.
We’ll compare CF Industries’s valuation multiple with its peers. We’ll also look at the latest changes in analysts’ recommendations and price targets for the stock.