CF Industries Holdings, Inc.’s CF shares hit a recent 52-week excessive of $91.06 yesterday, earlier than retracing to shut the session at $90.64.
CF inventory has gained 14.9% over the previous three months, outperforming the Zacks Fertilizers business’s 1.6% rise. It has additionally topped the S&P 500’s roughly 5.7% rise over the identical interval.
Picture Supply: Zacks Funding Analysis
Let’s have a look into the elements which can be driving CF inventory.
CF Inventory Beneficial properties on Wholesome Nitrogen Demand, Decrease Gasoline Prices
CF Industries is benefiting from the rising international demand for nitrogen fertilizers, which is pushed by important agricultural demand. Industrial demand for nitrogen has additionally recovered from the pandemic-related disruptions. International demand is predicted to stay sturdy within the close to future resulting from recovering industrial demand and farmer economics.
Excessive ranges of corn planted acres and low nitrogen channel inventories are anticipated to drive demand for nitrogen in North America. Demand for urea can also be prone to stay sturdy in Brazil on increased corn acres. Demand in India is predicted to be pushed by favorable climate situations for crop manufacturing.
Robust international nitrogen demand and lowered provide availability supported international nitrogen costs within the third quarter of 2024. CF, on its third-quarter name, stated that it anticipates the worldwide supply-demand steadiness to stay constructive, as inventories are believed to be beneath common globally whereas power spreads stay important between North America and high-cost manufacturing in Europe.
The corporate additionally stands to profit from decrease pure gasoline costs. It noticed a decline in pure gasoline prices within the third quarter. The common value of pure gasoline fell to $2.10 per MMBtu within the quarter from $2.54 per MMBtu within the year-ago quarter. The advantages of lowered gasoline prices are anticipated to proceed within the fourth quarter.
Earnings estimates for CF have additionally been going up over the previous 60 days. The Zacks Consensus Estimate for 2024 has elevated by 5.9%. The consensus estimate for the fourth quarter of 2024 has additionally been revised 1.9% upward over the identical timeframe. The favorable estimate revisions instill investor confidence within the inventory.
Discover the newest EPS estimates and surprises on Zacks Earnings Calendar.
CF Industries Holdings, Inc. Value and Consensus
CF Industries Holdings, Inc. price-consensus-chart | CF Industries Holdings, Inc. Quote
CF’s Zacks Rank & Different Key Picks
CF at the moment carries a Zacks Rank #1 (Robust Purchase).
Different top-ranked shares within the Fundamental Supplies area are IAMGOLD Company IAG, Axalta Coating Methods Ltd. AXTA and Ingevity Company NGVT, every carrying a Zacks Rank #2 (Purchase). You’ll be able to see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for IAMGOLD’s current-year earnings has elevated by 24.4% up to now 60 days. IAG beat the consensus estimate in every of the final 4 quarters with the typical shock being 203.4%. Its shares have shot up roughly 136% up to now 12 months.
The Zacks Consensus Estimate for Axalta Coating’s present 12 months earnings is pegged at $2.15, indicating an increase of 36.9% from year-ago ranges. The Zacks Consensus Estimate for AXTA’s present 12 months earnings has elevated 3.9% up to now 60 days. The inventory has rallied round 29% up to now 12 months.
Ingevity beat the consensus estimate in three of the final 4 quarters whereas missed as soon as. On this timeframe, it delivered an earnings shock of 95.4%, on common. NGVT’s shares have gained roughly 23% up to now 12 months.
5 Shares Set to Double
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CF Industries Holdings, Inc. (CF) : Free Stock Analysis Report
Iamgold Corporation (IAG) : Free Stock Analysis Report
Axalta Coating Systems Ltd. (AXTA) : Free Stock Analysis Report
Ingevity Corporation (NGVT) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.
