Mosaic (NYSE:MOS) Downgraded by Zacks Investment Research to Hold

Mosaic (NYSE:MOSGet Rating) was downgraded by Zacks Investment Research from a “strong-buy” rating to a “hold” rating in a report released on Tuesday, Zacks.com reports. They currently have a $66.00 price objective on the basic materials company’s stock. Zacks Investment Research‘s target price points to a potential upside of 0.05% from the stock’s previous close.

According to Zacks, “Mosaic’s adjusted earnings and sales for the first quarter of 2022 missed the respective Zacks Consensus Estimate.  It is likely to gain from higher demand for fertilizers. Demand for phosphate and potash in North America has been strong in 2021, and the momentum is likely to continue this year. Strong grower economics and crop commodity prices are driving potash demand globally. The Vale Fertilizantes buyout is also expected to deliver significant synergies. Mosaic is also expected to benefit from its cost-reduction actions. Its efforts to lower debt are also encouraging. Also, the company has outperformed the industry over a year. However, the company is exposed to higher raw material costs due to tight supply. Mosaic also faces certain headwinds in its retail operations in Brazil. The slowdown in China may also affect demand.”

A number of other research analysts have also recently weighed in on MOS. Citigroup lifted their target price on shares of Mosaic from $49.00 to $74.00 and gave the company a “neutral” rating in a research note on Tuesday, March 22nd. Mizuho lifted their target price on shares of Mosaic from $59.00 to $89.00 in a research note on Friday, April 29th. The Goldman Sachs Group upgraded shares of Mosaic from a “neutral” rating to a “buy” rating and set a $83.00 target price on the stock in a research note on Tuesday, March 15th. BNP Paribas cut shares of Mosaic from an “outperform” rating to a “neutral” rating and set a $82.00 target price on the stock. in a research note on Wednesday, April 20th. Finally, Morgan Stanley lifted their target price on shares of Mosaic from $40.00 to $60.00 and gave the company an “equal weight” rating in a research note on Thursday, March 17th. Nine research analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $64.59.

Shares of Mosaic stock traded up $2.89 on Tuesday, hitting $65.97. 217,024 shares of the company’s stock were exchanged, compared to its average volume of 8,751,687. The company has a 50-day simple moving average of $66.17 and a 200-day simple moving average of $49.86. The stock has a market capitalization of $23.88 billion, a PE ratio of 9.37, a PEG ratio of 0.66 and a beta of 1.56. Mosaic has a 1 year low of $28.26 and a 1 year high of $79.28. The company has a debt-to-equity ratio of 0.29, a quick ratio of 0.57 and a current ratio of 1.23.

Mosaic (NYSE:MOSGet Rating) last issued its quarterly earnings results on Monday, May 2nd. The basic materials company reported $2.41 earnings per share for the quarter, topping the consensus estimate of $2.40 by $0.01. Mosaic had a net margin of 18.99% and a return on equity of 23.80%. During the same quarter in the previous year, the firm posted $0.57 EPS. On average, analysts expect that Mosaic will post 13.5 EPS for the current fiscal year.

Mosaic declared that its board has approved a stock buyback plan on Tuesday, February 22nd that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the basic materials company to repurchase up to 6% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

In other Mosaic news, SVP Corrine D. Ricard sold 10,000 shares of the firm’s stock in a transaction dated Monday, March 21st. The stock was sold at an average price of $67.00, for a total transaction of $670,000.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO James Calvin O’rourke sold 27,681 shares of the firm’s stock in a transaction dated Tuesday, April 12th. The stock was sold at an average price of $74.97, for a total value of $2,075,244.57. Following the sale, the chief executive officer now owns 135,220 shares of the company’s stock, valued at $10,137,443.40. The disclosure for this sale can be found here. Insiders have sold 74,612 shares of company stock worth $5,581,640 over the last 90 days. 0.57% of the stock is currently owned by company insiders.

Several institutional investors have recently made changes to their positions in MOS. SJS Investment Consulting Inc. acquired a new position in Mosaic during the 1st quarter worth $28,000. BerganKDV Wealth Management LLC bought a new stake in Mosaic during the first quarter worth about $33,000. High Net Worth Advisory Group LLC bought a new stake in Mosaic during the first quarter worth about $33,000. FourThought Financial LLC grew its stake in shares of Mosaic by 5,000.0% during the first quarter. FourThought Financial LLC now owns 510 shares of the basic materials company’s stock valued at $34,000 after purchasing an additional 500 shares during the last quarter. Finally, JFS Wealth Advisors LLC bought a new stake in shares of Mosaic during the first quarter valued at approximately $35,000. Institutional investors and hedge funds own 82.54% of the company’s stock.

Mosaic Company Profile (Get Rating)

The Mosaic Company, through its subsidiaries, produces and markets concentrated phosphate and potash crop nutrients in North America and internationally. The company operates through three segments: Phosphates, Potash, and Mosaic Fertilizantes. It owns and operates mines, which produce concentrated phosphate crop nutrients, such as diammonium phosphate, monoammonium phosphate, and ammoniated phosphate products; and phosphate-based animal feed ingredients primarily under the Biofos and Nexfos brand names, as well as produces a double sulfate of potash magnesia product under K-Mag brand name.

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