Sociedad Química y Minera de Chile (SQM) performed below Nutrien (NTR), Mosaic (MOS), and CF Industries (CF), which we looked at in the earlier parts of this series. SQM has fallen 7.6% in June and is down almost 21% YTD (year-to-date).
The mean consensus analyst rating for SQM remained unchanged in June at 2.2 with an overall “buy” recommendation for the next 12 months. However, similar to FMC (FMC), SQM’s ratings have moved closer to a “buy” recommendation from the rating of 2.5 at the beginning of the year.
Of the 12 analysts in the above chart, three have recommended a “strong buy” for the stock. Four have recommended a “buy” month-over-month, and five have maintained a “hold” for the next 12-month period.
The current consensus price target for SQM is $59.30, which translates to an upside of almost 23.1% over the closing price of $48.20 on June 25. The price was lower than the mean price target of $59.80 in May.
Bear in mind that SQM has an exposure to lithium, unlike the fertilizer companies (XLB) we’ve discussed so far in this series.