Everything that we’ve covered in this series has probably already been priced into CF Industries’s (CF) stock price. The ongoing weakness in the agribusiness environment is evident in the earnings of fertilizer companies such as Mosaic (MOS), Intrepid Potash (IPI), and CVR Partners (UAN). So, how confident are analysts in their recommendations for CF Industries?
On February 10, 2017, six analysts recommended either a “strong buy” or a “buy” for CF Industries (CF) stock. The above graph shows that the confidence analysts have in CF Industries has softened since December 2016. The majority still recommend a “hold” for the stock, and two recommend a “sell” over the next 12 months.
CF Industries’s (CF) price target has been revised upward. In December 2016, its price target for the next 12 months was $27.49. However, it rose gradually to $31.60 in January 2017.
On February 8, 2017, CF Industries’s price was revised up to $32.18 while the stock was trading above that price target at $34.67 per share. Although it appears that investors could be more confident than analysts, we’ll leave that to you to decide.
If CF Industries beats expectations when it releases its earnings after trading hours on February 15, 2017, the stock could see an upward trend. Be sure to watch for Market Realist’s analysis following its earnings release. In the meantime, you can get updates on the agricultural fertilizer industry (SOIL) (DJIA-Index) on our Agricultural Fertilizers page.