With the earnings season ahead of us, it’s time to look at the analysts’ ratings and price target updates for the major fertilizer stocks. So far this year, fertilizer stocks have mostly failed to impress investors. The VanEck Vectors Agribusiness ETF (MOO) has returned about 1.4% YTD (year-to-date), and the SPDR S&P 500 ETF (SPY) has returned about 60 basis points YTD.
Nutrien (NTR) has performed poorly with a YTD loss of 12.0% on the April 18 closing price of $48.20 per share. Following the merger of PotashCorp (POT) and Agrium (AGU), Nutrien is well-positioned to capitalize on the positive momentum in the cyclical fertilizer industry.
CF Industries (CF) has also lost 7.2% YTD while Mosaic (MOS) has lost ~2.3% over the same period. While these companies have experienced YTD losses, fertilizer prices have gained momentum so far this year, as we saw in Fertilizer Prices Were Lower in the Week Ended April 13.
FMC Corp. (FMC) was also in negative territory YTD with a 13.6% loss. Sociedad Química y Minera de Chile S.A. (SQM), which had a strong run last year, lost about 11.3%. Compass Minerals International (CMP) was down 10.5%.
With this performance in mind, let’s look at what the analysts recommend for these stocks along with their price targets.