Last week, the VanEck Vectors Agribusiness ETF (MOO) closed 40 basis points higher from the start of the week. The S&P 500 Index (SPY) ended 62 basis points higher over the same period. When we dig into last week’s performance of some of the major fertilizer stocks, we see mixed movements.
For the week ended October 27, 2017, four of the eight fertilizer stocks in the above chart ended the week in positive territory. The other four ended in negative territory.
CVR Partners (UAN) emerged as the top gainer with its stock rising 13.4% to $3.50 at the end of last week, followed by Intrepid Potash (IPI), which rose 6.7% and closed at $3.80. CF Industries (CF) rose 2.2% to $37.10 at the end of last week, and Israel Chemicals (ICL) rose 1.9% to close at $4.30.
Among the companies that ended in negative territory, Terra Nitrogen (TNH) emerged as the top loser, falling 2.5% to $77. PotashCorp (POT), which released its earnings on October 26, 2017, fell at the end of last week by 1.0% to $19.10. Agrium (AGU) was next with its stock falling 45 basis points to $107.30. Mosaic (MOS) followed with a weekly loss of 43 basis points, closing at $20.90.
Read our analysis on PotashCorp’s 3Q17 earnings at How PotashCorp’s 3Q17 Results Pulled down the Stock.
YTD (year-to-date), Intrepid Potash continues to dominate other stocks with a return of 83.0%, while CF Industries has returned 16.0%. Agrium was next with a YTD return of 7.0%, followed by PotashCorp with a 5.5% return and Israel Chemicals with a 4.0% return.
In contrast, CVR Partners emerged as the top loser YTD with its stock falling 45.0%, followed by Mosaic with a 29.0% fall and Terra Nitrogen with a 26.6% fall.
MOO, the benchmark index, returned 16.8% over the same period, and the S&P 500 Index returned 14.4%.
In this series, we’ll look at the weekly movements in the prices of nitrogen, phosphate, and potassium fertilizers. Let’s start with urea, the nitrogen fertilizer.